Dáil Éireann Debate, Tuesday - 14 May 2024
374. Deputy Pearse Doherty asked the Minister for Housing, Local Government and Heritage the reason the Housing Agency made a decision not to purchase properties offered to it for sale (details supplied) in County Donegal; and if he will make a statement on the matter. [21476/24]
View answerThe Cost Rental Tenant In-Situ (CRTiS) scheme was introduced on 1 April 2023 for tenants in private rental homes who are at risk of homelessness because a landlord has served a valid Notice of Termination due to an intention to sell the property. The Local Authority conducts the initial assessment for eligibility of the tenant for this scheme and refers potential cases to the Housing Agency, which is responsible for administering and managing the scheme on behalf of my Department.
Before making an offer, the Housing Agency considers whether the overall capital cost of the property is within the Acquisition Cost Guidelines (ACGs) issued by my Department for each Local Authority area and whether necessary repairs and upgrades can be safely completed with tenants in situ. These ACGs are updated by my Department on an annual basis and provide cost guidelines for the acquisition by housing authorities of second hand properties for the provision of social housing.
While my Department does not have any direct involvement in the assessment of individual applications, some of the main reasons why properties are not approved for acquisition by the Housing Agency under the scheme include vendor expectations of the value of the property being in excess of the Housing Agency's independent valuation, the vendor expectation and/or the market value of the property is in excess of the ACGs for the relevant Local Authority area, the condition of the property and the amount of works required to bring it to an acceptable standard make it too difficult for the Housing Agency to pursue the acquisition further or the vendor withdraws or wants to take the property to the market.
As a result, not every home will be eligible for acquisition within the constraints of these factors. The Housing Agency is mindful of the purpose of the CRTiS scheme, which is to assist tenants at risk of homelessness, the need to ensure value for money in the expenditure of public funds, and the goal that acquired homes be suitable for use as Cost Rental housing over the long term.
Tenants at risk of homelessness should continue to engage directly with the Housing Department in their Local Authority area who can advise them in relation to their immediate and long-term accommodation options.
