How Fianna Fail have been inflating house prices in the past 2 years

cars14

1.      Limiting House Supply:  Today, 25 August 2021 only 3023 houses for sale on Daft and only 292 new houses for sale on Daft.

2.      REITs have been buying up homes so that first time buyers cannot buy them. REIT do not have to pay taxes on profits. Fianna Fail and Minister Darragh O Brien does not tax REIT on their rental profits. See Rory Hearne article

https://www.thejournal.ie/readme/ireland-investment-housing-5428746-May2021/

 

3.      The State (Councils) buying up houses and competing against first time buyers. In July THE HOUSING MINISTER has written to all local authorities in Ireland this week, encouraging them to begin buying up vacant properties in their areas

https://www.thejournal.ie/housing-minister-local-authorities-buy-up-new-properties-5155602-Jul2020/

4.      Help to Buy: The Government does not keep the taxes paid by homebuyers and instead allows homebuyers to give these taxes to Builders. It can mean up to 30,000 been given to builders per house. (Enhanced Help to Buy). Fianna Fail and  Minister O Brien increased the figure up to 30,000 euro from 20,000 euro. This is bad for the taxpayer as it means we have to pay high taxes to make up for the tax that is going to the builders and as everyone is availing of it, it is just raising house prices.  https://www.revenue.ie/en/property/help-to-buy-incentive/index.aspx

5.      500 Million Gift to Builders: Fianna Fail and  Minister Darragh O Brien wants to give 500million in 2021 to Builders as a gift if they build houses. This seem mad as they are builders, isn’t that what they do for a living. Next, do we give Teachers and Cleaners a gift of 500 million as well as their wages if they turn up to work? https://www.independent.ie/business/personal-finance/property-mortgages/500m-for-developers-to-coax-them-back-to-building-40752781.html

6.      Shared Equity Scheme Fianna Fail and  Minister Darragh O Brien brought in this scheme.  In this scheme the Government buys a proportion of your home and you are to buy it off them later. Again, this increases house prices. If everyone does a Shared Equity Scheme, it raises prices and does not raise supply. https://www.gov.ie/en/press-release/a8178-minister-obrien-welcomes-cabinet-approval-for-the-publication-of-affordable-housing-bill-2021/

7.      HAP: The Government through HAP Pays high rent for houses on hundreds of thousand of houses therby increasing the rental prices for those that do not get HAP. Why not just reduce HAP rates across the system? It is not fair having to compete against the State when you have to pay rent yourself.

https://cc.bingj.com/cache.aspx?q=hap+costs+ireland&d=4863221771667131&mkt=en-IE&setlang=en-GB&w=AmKChKm0hkWjiZlRScBQsqAGbbd9NghP

8.Owning and Controlling the Banks that provide the Mortgages: The Government owns the vast majority of the Banks. It owns

AIB: 75% Stake

Permanent TSB: 75% Stake

Bank Of Ireland: 14%

KBC, Rabobank, Bank of Scotland and Ulster Bank are leaving or left Ireland. The Government and also control many of their decisions. Banks have to do as they are told. Many foreign owned banks just leave Ireland as it is not best for them to be operating here.

The solution: Monitor the banks so they are not giving out loans that people cannot pay back

https://www.gov.ie/en/publication/066a28-banks/

 

 

How has Fianna Fail and  Minister Darragh O Brien not been questioned on this? Why did Sinn Fein or Fine Gael not question all of this?

All this combined to make Ireland one of the most expensive countries in the world to buy a house, Foisting huge levels of debt on ordinary people.   The real beneficiaries of this are REITS, Landlords and Developers.

lawred2

I'd have issue with most of those policies

But not buying up vacant properties

Ray Palmer

there is no explanations why these are all specific to FF. Limiting house supply, prove they did this and it was intentional.

Ashida

My idea is that any of the three parties (FF/FG/SF) played its part in creating this situation, none excluded

Sweet.Science

https://www.boards.ie/discussion/comment/117801898#Comment_117801898

By vacant it means up for sale

Smouse156

Most of the above are Fine Gael’s anti home ownership policies that have been going on for years.

Fianna Fáil have come up with a few hair brained Brickie schemes such as Shared Equity but they seem to be finally trying to solve the housing crisis after years of Fine Gael trying to bring back the 1800s where everyone was a poor tenant or landlord.

Sinn Féin are huge contributors to the housing crisis by voting down every development the brickies are trying to build. They’re doing it cynically too to make the housing crisis even worse and get more “anger” support.

Personally I was happy to see the land value tax proposals in the upcoming bill as this is the number one issue with affordability but it will take me a long time to forgive FF for closing construction for a second time which has cost us thousands of homes and more price rises. First time was understandable, second time was unforgivable!