Local authority mortgages to get interest rate cut

B

Brooklyn

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The Housing Minister confirmed this week in a reply to Dessie Ellis TD that the .25% interest rate cut will be passed on to local authority mortgage holders.

Just thought I'd share the good news :)
 
No they haven't. My mortage is still the same since
03/10/11
01/11/11
and now
01/12/11
 
Hi Brooklyn

Do you have a link?

I thought Willie Penrose is the ex Minister for Housing. Have they appointed a new Minister?

I imagine that they will have to pass on the cut.

Brendan
 
Brendan Burgess said:
I imagine that they will have to pass on the cut.
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Technically they don't have to follow the ECB rate and they haven't always, but most of the time they do.

It never happens the first month after the rate changes though. It should come into effect as of 1st January.
 
They delay the interest rate cuts but the rises happen instantaineously.... I'll check January and see if they pass on the cut. If not, who will protest....? And since no one is saying anything about it, I dont think they will be in a hurry pass on the cut. Current rate from DCC is 3.25%, what is the ECB rate? Are DCC still making big profits on "Affordable Housing"? I think so.
 
zen said:
They delay the interest rate cuts but the rises happen instantaineously....
Click to expand...

No, they don't. The cuts and rises almost always come into effect not on the first of the month after the ECB change, but the first of the month after that.

Current rate from DCC is 3.25%, what is the ECB rate? Are DCC still making big profits on "Affordable Housing"? I think so.
Click to expand...

DCC doesn't have a say in this, it's the Housing Finance Agency that decides whether or not to pass on the rate changes. It's also the Housing Finance Agency and not DCC that "profits" from the interest you're paying since it was they who advanced the finance to DCC in the first place.
 
If my memory is correct I believe the increase was pretty much instantaineoulsy regardless, we'll see what happens.Interesting about the Housing Finance Agency, I didn't know about that, are you sure? I believed the loan came from DCC as thats who I'm paying. How did you find out about this?
 
I've been tracking this for a long time Zen, it's nearly always with a month's delay. That's bureaucracy for you. And where do you think DCC gets the money for the loans? Local Government isn't sufficiently well funded in this country for them to be able to afford it on their own.

I've posted a lot of Parliamentary Questions on this site in which the Minister explains how it works, here is an example.
 
!
Tks Brooklyn
I checked the HFA! Unreal, here I am 6 years after buying that property and the trail is never ending between finding out that the developer was the architect who was the builder and best friends with the initial management agent (who we BOOTED out the door at one of our AGMs) was also the manager for the leinster rugby team. Then finding out the solicitor was acting in the interest of DCC by giving false information about 100% annuity mortgages that are so tight I not only do I know how much it will cost me in the long run (with mortgage protection and varialbe rates that cant be fixed) but now I find out that the root of the loan is not even DCC!!! DCC also changed the post codes from D8 to D10 on the property at the time of signing. There is only so much you can check out but even then, you never know the entire facts. Thanks for the link, I'll check it out
p.s another cut today, hopefully that will be passed on too!
 
The November interest rate cut was not passed on but I was over in the civic offices (DCC) last week and the Guy I spoke to confirmed that there will be a .25% cut in February 2012.
 
Has anyone received the letter yet outlining what the reducations are?

I thought there was gonna be two reducations - 0.25% + the mortgage interest relief increase.
 
No I haven't, nor has my mortgage come out yet, it should have come on the first of Jan. I'll check tomorrow.

You should be receiving 2 notifications of reductions....

Also you should get an end of year statement which will give you the dreaded redemption balance.
 
Just checked my balance. My mortgage went UP by 10euros....
 
Mine came down by €7, I take it that this is the increase in mortgage interest relief.
 
Mine went down by €20 which would be consistent with a .25% cut... what did they tell you Nathan?
 
Incidentally the Minister also said in the Dáil just before Christmas that the December cut would be passed on. If people still haven't got their November cut I'll see about getting a question raised about that...
 
Brookly
I sent a mail to [email protected] asking if they have any intentions of passing on the cuts.

I notice that all the banks were named and shamed for not doing so. How do City Councels get off lightly, in saying that, you got a reduction!
 
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