How the new plan works
Published 21/07/2010 | 05:00
A SINGLE person earning at least €25,000 but no more than €55,000 a year qualifies. A couple can earn between €25,000 and €75,000. The applicant rents a fully-furnished property at an agreed monthly rent of up to 20pc less than the market rate. For a two-bedroom apartment in Rialto, the monthly rent will be €760. The market rate is €950. A deposit of two months rent is payable on signing the letting agreement. The person 'renting' then has three years to decide if they want to buy the property. The purchase price is agreed when the tenant moves in, meaning that if house prices rise the tenant will not be affected. The cost of a two-bed unit in Rialto is €162,000, which is 20pc cheaper than the market value for similar properties. If a tenant decides to buy the property, 80pc of the rent paid to the local authority is offset against the purchase price. The furnishings are included in the price.