All's unfair in tax and mortgages
Published 09/12/2012 | 05:00
Madam – The property tax is the correct solution for raising revenues and can be bench-marked with other European countries. If Irish citizens are struggling with their double over-valued 2007 mortgages, then the not-fit-for-purpose mortgages must be restructured.
In 2007, buy-to-let mortgages were valued at 40 times the annual rent. Average homes were valued at 10 times the average wage. Built-in safety factors for borrowers were removed in favour of bank bonuses for lending staff.
Double-valued property was packaged and promoted as affordable to all. The Government colluded and looked the other way. The opposition of the day sat on their hands and did nothing.