Budget 2017 | Property Insurance | Insurance
It’s that time of year again! And we all like to speculate on what will come up in the budget. We always assume Cigarettes and Fuel will go up; but what other surprises will there be in store?
There is a lot of speculation about the Property market. There are obvious problems for first-time buyers, many needing to find big deposits when they are also paying record rents.
Rumour has it that a new scheme for an income tax rebate enabling first-time buyers to save money for a deposit with the refund expected to be in the range of €5,000 to €15,000.
The scheme, which is expected to be linked to the price of a home, rather than earnings, has already come in for criticism as it is likely to be limited to new builds. The thinking behind this is that it will encourage more developers to enter the market as well as assisting prospective homeowners.
And what about a reduced VAT rate of 9 per cent (down from 13.5 per cent) for developers on new affordable houses and apartments. The Finance Minister is hoping that this will encourage increased building activity.
The Irish Property Owners’ Association says that about 40,000 private landlords deserted the rental sector between 2012 and 2015, which has added to the rental crisis. One issue which might persuade landlords to remain in the market is to reduce taxes and remove the cap on tax-deductible mortgage interest.
The time is near, and we can only speculate on Budget 2017.
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