Government must provide for debt restructuring
Local TD Denis Naughten has highlighted the fact that 719 homes in County Roscommon are in mortgage arrears of three months, with 518 now in arrears of at least 6 months – based on an analysis of figures recently released by the Central Bank.
“These families are in a dire situation and the additional costs of returning to school, along with recent interest rate hikes will force many more people into significant arrears,” stated Denis Naughten.
“On top of these figures, a further 900 families have restructured their mortgages, with approximately half of them being in arrears.”
Deputy Naughten added: “With these families, and thousands more who are struggling to manage financially, having paid €6,000m specifically to address mortgage arrears families should not now have to pay on the double and should be provided with some help.
“The Government must immediately introduce measures which would allow the banks to take equity or part ownership in a home, which would then allow families to continue to service their mortgage without having the full value of the loan written off.
“This would leave families in a position where they can maintain a roof over their heads while still protecting the taxpayer from further exposure if homes are repossessed and families forced to seek council housing.
“Ignoring this problem is a false economy. We already spend more than half a billion euro on rent supplement and have massive waiting lists for local authority housing. Failure to help people to stay in their homes will only result in the State having to support them in one way or another.
“No-one believes that mortgage-dodgers should be bailed out. But there are many genuine cases and the number of these is rising all the time. They need assistance and they need it now.”