Tenant Purchase Scheme

The 1995 Tenant Purchase scheme has enabled 10,000 families to
purchase their own home over the past 10 years. However, since 2008
applications to the scheme have dwindled significantly, with just 195 purchases made nationwide in 2010.

This fall off in applications presents us with an opportunity to
reform tenant purchase and introduce a more progressive system,
without interfering with the plans of hundreds of families.

With that goal in mind I am bringing the current Tenant Purchase
Scheme to a close on 31st December next. That is the final date for
submitting applications under the scheme and housing authorities will have a year in which to finalise sales after that. Applications to the scheme will not be accepted after the 31st December.

I intend to extend the scope the ‘Incremental Purchase Scheme’ to
replace the current tenant purchase model. One of the advantages of
the Incremental Purchase Scheme is that discounts are related to
family income, rather than length of tenure as is the current system.
The Incremental Purchase Scheme also incentivises families to remain
in their community following the purchase. I intend to extend the
terms of the Incremental Purchase Scheme to all housing authority
stock, not just new houses as is currently the case.

I’ll introduce these important changes in the forthcoming Housing
Bill, which I expect to publish in 2013.

In the meantime, if any of your constituents are considering tenant
purchase it is important that they complete the application before the end of the year.

I hope this information is of interest to you. If you’ve any comments or suggestions how tenant purchase can be improved please drop me a line at jan.osullivan@environ.ie