Local authority home loan borrowers in need of assistance during the Covid-19 crisis will now have a mortgage payment break of up to three months under new measures just announced by Minister for Housing, Planning and Local Government, Eoghan Murphy TD.
The approach being rolled out in the local authority sector will ensure that no additional costs to the original home loan balance will arise for borrowers who avail of these measures, as borrowers are not charged interest for the period of the break.
Work has focused on ensuring a simplified application process that can be accessed and processed quickly, so that borrowers in distress can access this payment break quickly. This break is available to those who have already faced mortgage difficulties due to the Covid-19 emergency and those who may encounter difficulties in the near future.
“We have also consulted with the Housing Finance Agency (HFA) to ensure that any local authority experiencing cash flow difficulties arising out of this measure will receive the necessary support from the HFA,” noted Minister Murphy.
“It’s essential that local authorities are supported in providing essential services during these difficult times,” the Minister added. His department is continuing to work with the Department of Finance in relation to potential further measures that may be needed in the future.
Local authority borrowers facing difficulties due to Covid-19 are being urged by the Housing Department to contact their local authority as soon as possible, in particular, to access the application form and information that will be available on each local authority’s website.