IPAV PRESS RELEASE |
07th December 2006 |
Budget Gains for First-Time Buyers Wiped Out - Auctioneers |
| Auctioneers said the Budget changes for first-time buyers have been wiped out already by today’s ECB interest rate increase and the expected increase next year. |
| The Chief Executive of the Institute of Professional Auctioneers and Valuers (IPAV), Fintan McNamara, said when combined, both rates would neutralise any gains for first-time buyers before the Budget changes are even implemented. |
| “For most first-time buyers, the financial situation will be the same as it was before the Budget,” he said. “There is no real gain for those who either wish to get onto the property ladder or for those already living in their first home.” |
| Mr McNamara said he very much regretted the Minister for Finance’s failure to tackle Stamp Duty reform in the Budget. |
| “The elimination of Stamp Duty on second-hand homes for all first-time buyers would not have caused house prices to rise significantly given that the market has stabilised in recent months." |
| “If the Minister had combined the mortgage interest relief measure with a doubling of the current tax relief on the Rent-a-Room scheme, for example, he would have encouraged young people to purchase in areas where there are already schools and other facilities,” he said. “It is regrettable that the Minster chose not to do so.” |
| Mr McNamara said he hoped Mr Cowen might consider including this measure in the upcoming Finance Bill. |
| Ends. |
For further information please contact: Fintan McNamara on 01-6785685 or Tim Ryan on 087-2471423 |