Central Bank cools market ...as it freezes out families
Published 06/07/2015 | 02:30
Designed to cool down the Dublin property market, the Central Bank's restrictions on mortgage lending that were introduced at the start of this year were always going to impact most on demand for average city family homes.
Not enough homes were being built for the family market and something had to be done to halt rampant city inflation, which had reached six times the European average late last year.
The Bank's tactic was to introduce lending restrictions - including mandatory deposits of 20pc - which would simply prevent people buying homes in the first place.