Central Bank Consultation - Policy for mortgage lending


#1292

#1293

Finally someone has stood up to the bullshit:

“The mortgage measures have been effective in strengthening borrower and lender resilience and in limiting the potential for an adverse credit-house price spiral to emerge,” the Bank said.

Without the rules house prices would be even higher.

The regulators have estimated prices would be between 15pc and 25pc higher than at present.

Buyers would also be more indebted without the limits, Mr Makhlouf said.

And the Central Bank denied claims the rules are constraining house building.

Supply is the issue in the property market, not the lending rules, it said.


#1294

Taoiseach should butt out of running of the CB


#1295

I have some empathy here wrt to Leo’s position, he can’t be seen as heartless when 10’s of thousands feel hard done by and caught in a rental trap. It’s not like he has any real influence here either?


#1296

Well the Gov picks the Governor so they could put in a patsy…


#1297

or a hurley


#1298

I doubt they had full control over the appointment…


#1299

Tom Parlon would be great at this gig ?


#1300

Have we jumped the shark here?..

The decision by the Central Bank to not change the rules on mortgage lending in the next 12 months could lead to the return of ghost estates, according to the Construction Industry Federation (CIF).

CIF said its developers are seeing a slow down in demand due to potential buyers being ‘locked out of the market’.

CIF’s James BEnson said many couples can’t come up with the required deposit under the Central Bank’s current rules: "If we look at Greater Dublin Area, you’re talking an average house price of €386,000.

When you do the figures on that, you need to have a combined income of in excess of €93,000 to secure a mortgage, even with the Help To Buy Scheme.

"Outside Dublin, into the regions, you’re looking at an average house price of €320,000. Teachers or nurses and Gardai- they don’t have that combined income throughout Ireland so therefore they’re locked out of the market.


#1301

Somersaulted backwards over it while juggling garden gnomes, I’d have said.

Where’s the constant stream of media pieces on the dire need to reduce the ridiculous cost of building?