Minister welcomes efforts to stimulate housing market

Commenting on the announcement the Minister, Nelson McCausland said: “I recognise the difficult hurdles many homebuyers currently face in negotiating their way up the housing ladder. Though the correction in house prices in Northern Ireland means homes have become more affordable, the availability of mortgage credit has been seen by many as a stumbling block.

“Ministers met banking industry representatives late in 2011 and I am heartened by announcements such as that by the Bank of Ireland that demonstrates the industry’s commitment to working with the Executive to make more funding and a greater range of mortgage products available to consumers.”

The Bank of Ireland is one of the banks that provide private finance to the Northern Ireland Co-Ownership Housing Association (NICHA) which is used by the Association to supplement the funding provided by the Department for Social Development to assist first-time, and returning, homebuyers onto the housing ladder through the Co-Ownership Scheme.

In October 2011, the Executive allocated an additional £10million of funding towards affordable homes in 2011/12 year and a further £10million per year up to 2014-15. This funding helped more families in Northern Ireland purchase their first home last year and will do so for a number of years to come.

The Minister continued: “There has never been a better time for first-time buyers to take that first step on the housing ladder and I am pleased we can help people make that first step through affordable housing schemes like the Co-Ownership Scheme; a scheme that continues to attract widespread support from many quarters, including the increased funding from my Department and the financial backing of institutions such as the Bank of Ireland.”