The hint from the Governor of the Central Bank at the weekend that lending curbs may not be as severe as those originally proposed will come as a relief to a market in “a state of shock”, according to the Institute of Professional Auctioneers & Valuers.
Pat Davitt, Chief Executive of the organisation said, “The measures as proposed are draconian and if implemented would have disruptive effects.”
He said it was important all stakeholders take the opportunity to submit their views to the Central Bank before the December 8 deadline “to ensure that reason prevails.”
Mr Davitt said his organisation wants to see the development of a sustainable housing market.
“We do believe the Central Bank needs to keep a very close watching brief and intervene if lending shows signs of heading into danger territory.
“Any such measures should be introduced gradually, take account of disposable rather than gross income, acknowledge realties such as the high rent levels aspiring buyers are paying and that while many may not have a great deal of disposable income in the current environment they are likely to be early in their careers with an improving situation over time.”