Mortgage to Rent Scheme and Abhaile help homeowners stay in their homes
Citizens Information Board (CIB) welcomes today’s announcement by Ministers Eoghan Murphy and Damien English of Home For Life Ltd as a new participant in the Mortgage to Rent (MTR) scheme, which is one of a range of solutions being offered by MABS, the gateway to debt advice. Both MTR and the Abhaile Scheme are working towards the same goal - to keep people in their homes wherever possible.
MTR lets homeowners in mortgage difficulty remain in their home by renting it as a social housing tenant. Under the scheme, an Approved Housing Body (also known as housing associations or voluntary housing associations) or a designated private company buys the home. The scheme is overseen and administered by the Housing Agency.
The MTR scheme is available for homeowners who are in arrears on their home mortgage, are eligible for social housing support and whose mortgage is deemed unsustainable by their lender. The key benefits to borrowers of the revised scheme are:
- Sustainable and affordable – rent will stay consistent with income – if income drops, rent will; if income increases, rent will too
- Option to buy home back if a borrower’s situation changes or they can source finance
- Potential residual debt (outstanding mortgage debt) write off
- You can approach your lender and ask to be considered for MTR rather than waiting for the lender to recommend the scheme to you
Today’s announcement coincides with the launch of the dedicated Mortgage to Rent website [www.mortgagetorent.ie]. This is another welcome development and a great tool to help increase borrowers’ awareness and understanding of MTR. It complements other improvements made to the MTR scheme following a review last year.
Speaking about today’s announcements, Bobby Barbour, Communications Manager of Abhaile in Citizens Information Board said:
“Abhaile and Mortgage to Rent together can now offer a more holistic approach to keeping borrowers in their homes. Abhaile advisers will assist you in progressing your Mortgage to Rent Application with your lender. They can act on your behalf and offer support and advice throughout the process.”
Michael Laffey, Regional Manager with MABS, added that, “such schemes offer hope to those in debt. Worry and fear take a huge toll on people in such situations and knowing that there are supports available, will help to reduce that toll.”
Click here for the range of financial and legal services and supports available through the Abhaile scheme.
For more information on the Mortgage to Rent Scheme visit the Mortgage to Rent website or contact the MABS Helpline on 0761 07 2000. Call between 9 am to 8 pm Monday – Friday or log on to mabs.ie/abhaile to find out more.