LOUTH TD Fergus O’Dowd has welcomed the decision by the Minister for Finance Michael Noonan to increase mortgage interest relief for those who bought their first home at the height of the property bubble.
Mortgage interest relief has been increased to 30% for first-time buyers who purchased in 2004-08, up from the current sliding scale of 20% to 25%.
“I have raised this issue with the Minister on a number of occasions, as it is something that is of huge importance to families who are struggling to meet their mortgage repayments,” said Minister O’Dowd.
“Many people who bought their first home at the peak of the property bubble have either lost their jobs or have had their incomes severely reduced.”
The Minister of State added: “They are struggling to meet their monthly mortgage repayments and this initiative will give them a vital lifeline.
“The Minister for Finance is directly focussing on the negative equity generation, who feel so damaged after the economic turmoil of recent years.
“It will help a significant cohort of people and is a step in the right direction.”