A view of the Aviva stadium in Dublin, Source: Gabriel Ramos / Unsplash

Irish cities will sell cheap ready-to-build plots to alleviate the housing crisis

Irish cities will sell cheap ready-to-build plots to alleviate the housing crisis

The idea behind the scheme is to offer affordable options for would-be homeowners during a time of intense housing shortage

Today, the Irish government launched the ‘Ready to Build’ scheme, aiming to curb the raging housing crisis across the republic. Under the scheme, cities and towns would have the possibility to put up vacant plots on the market at a reduced price. The catch is that the people who buy them would be obliged to live there.

As TheMayor.EU reported earlier, in August Ireland had only 300 properties to rent in the entire country, signaling a multifaceted crisis at all levels of the sector which unfolds as more and more students tried to make their way to Dublin for the academic year.

At the same time, in 2021, the government launched the Housing for All plan, aiming to increase the supply of properties and to alleviate the market. This is what the Ready to Build scheme aims to change, by offering undervalued property to the market.

How it works

The ready-to-build scheme has a couple of prerequisites and limitations to how a property can be put on the market. For example, the plot that local authorities would sell needs to have all building clearance permits, electricity and sewer connections.

Furthermore, authorities can deduct the cost of preparing the property for building from the discounted price that eventually hits the market. However, each property can only be discounted by up to 30,000 euros.

This, considering that some of these plots are in densely populated cities, could lead to the purchasing price still being a barrier for many would-be homeowners, considering that after they purchase the land, they would still need to develop the property.

At the same time, plots purchased through the ready-to-build scheme will require the owners to live on the premises. This move is intended to protect the market from wealthy investors snatching up undervalued properties.

Minister of State for Planning and Local Government, Peter Burke, was quoted in a statement by the government, explaining that the scheme could help to fill out gaps in the building stock while adding a shot of vibrant enthusiasm across neighbourhoods.



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