Disappointed as social housing income limits remain unchanged

THE failure to amend income limits for social housing has again been bemoaned by a Mayo councillor.

The income limit for a couple with two children remains at €27,500.

Westport-based Councillor Christy Hyland has expressed his disappointment that it has still not been reviewed after 10 years at this limit.

A new local authority home loan scheme has been announced. However, he noted that applicants require a large deposit.

The last such mortgage scheme - Rebuilding Ireland - fell as people did not qualify without a 10% deposit, and he noted the hardship of trying to save while paying out rent.

At the monthly meeting of Mayo County Council, Councillor Donna Sheridan asked the council to write to the Minister for Housing about the new local authority home loan on an income threshold issue of concern to her.

Other than in the major cities, a single applicant has to have a salary of €50,000 or less. In the major cities it goes up to €65,000.

If a single person in Mayo applies, if they earn between €50,000 and €65,000 they can only get a maximum of €214,000 based on it being a 25-year loan at the lower interest rate of 2.4%.

Yet, the maximum we're meant to be allowed borrow in Mayo and outside the major areas is €225,000.

The cap should be raised to €65,000 of earnings, she said. It is discriminating against those who wish to go into the lower fixed rate over 25 years. People don't want to go into a 30-year mortgage.

Why should someone in Dublin be able to borrow up to €225,000 over 25 years at a lower interest rate than the same amount in Mayo, asked Councillor Sheridan.

It seemed discriminatory and she requested the council write to the minister for the income threshold to be extended.