Advertisement
If you have a new account but are having problems posting or verifying your account, please email us on hello@boards.ie for help. Thanks :)
Hello all! Please ensure that you are posting a new thread or question in the appropriate forum. The Feedback forum is overwhelmed with questions that are having to be moved elsewhere. If you need help to verify your account contact hello@boards.ie

affordable housing offer

Options
13»

Comments

  • Options
    #62
    jdivision
    Registered Users Posts: 4,260 ✭✭✭jdivision


    iguana wrote:
    But they would have brokered that deal with an understanding that they would get back money. This money would have been earmarked for something else.
    .
    No they wouldn't because if you sell after a certain amount of time there is no clawback. They also have no idea what the market price would be if you were to sell or even when you would sell.


  • Options
    #63
    The_Conductor
    Moderators, Society & Culture Moderators Posts: 32,280 Mod ✭✭✭✭The_Conductor


    jdivision wrote:
    No they wouldn't because if you sell after a certain amount of time there is no clawback. They also have no idea what the market price would be if you were to sell or even when you would sell.
    Absolute values are used in the clawback calculations- inflation is not factored in. So- in a flat market, with inflation rates of 5% real values is falling by 5% p.a. but absolute values are a constant. To avail of no-clawback, you have to keep the property for a 10 year period- in a falling or a constant market you could end up stuck for a significant sum, even though your property has fallen in real values.


  • Options
    #64
    jdivision
    Registered Users Posts: 4,260 ✭✭✭jdivision


    smccarrick wrote:
    Absolute values are used in the clawback calculations- inflation is not factored in.
    Who suggested it was. I was highlighting that iguana's post was factually incorrect.


  • Options
    #65
    podge018
    Registered Users Posts: 1,817 ✭✭✭podge018


    Ha ha, the lads are clutching at straws now. :D

    No matter how we answer your questions you come back with a "but... but...", let it go, have you a want in you or something?


  • Options
    #66
    iguana
    Moderators, Entertainment Moderators Posts: 12,915 Mod ✭✭✭✭iguana


    jdivision wrote:
    No they wouldn't because if you sell after a certain amount of time there is no clawback. They also have no idea what the market price would be if you were to sell or even when you would sell.

    All businesses, councils included, work on projected budgets and estimates of possible incomes over, usually, 5 year periods. Councils often have plans in the pipeline that rely on projected incomes and if those incomes don't come in to being those projects get downscaled or cancelled. At which point the taxpayer suffers.

    Very few people will live in an Irish apartment for 20 years, so the councils would most certainly be expecting clawback on a number of the properties. However I can believe that there was possibly no proper precautions taken against negative equity as it may not have been forseen.

    But the assertation that if a seller of an affordable property sells at the amount they bought for nobody loses out is wrong. Those who paid full price for similar properties suffer if they want to sell and the tax-payer suffers as the council has less than projected income.


  • Advertisement
Advertisement