8 April 2024
By Mary Bermingham
mary@TheCork.ie
Staged payments rather than lump sum when works are completed should be implemented
Fianna Fáil MEP Billy Kelleher has said that the Government should consider changes to how the Croí Cónaithe scheme operates to ensure that it remains highly attractive to potential property owners.
Kelleher was commenting after it was reported that only 3% of applicants for grants under the Vacant Property Refurbishment Scheme have received payments by the end of 2023.
File photo of an old building in Cork being converted into modern apartments
“While many of the applications are being approved, payment is being delayed until all the works are completed.
“This is very off-putting for would-be applicants. Many do not have the cash reserves to fund the development works needed to complete the project while at the same time paying a mortgage.
“Builders also do not have the cash reserves to fund a project, including materials and salaries, while waiting for the grant money to be issued.
“Staged payments, similar to what happens with self-build mortgages, would, I believe, make this scheme even more attractive.
“The scheme needs to be attractive to all potential homeowners, and not just those who have the cash reserves to fund the renovation works until the grant is paid out.
“The Croí Cónaithe scheme is an excellent scheme but we can make it more enticing for many more people if it’s tweaked a bit.
“Junior Housing Minister O’Donnell’s comments that staged payments may be looked into when the scheme is reviewed in the middle of 2025 just doesn’t cut it.
“Waiting another 12 months or more to amend the scheme to make it more attractive makes no sense to me. It’s unnecessary and impacts on the Government’s overall Housing for All targets and commitments,” concluded Kelleher.