Local councils to enter leasing arrangements with in-trouble homeowners
The Finance Minister Michael Noonan has said local councils will enter into leasing arrangements with struggling homeowners on a case-by-case, confidential basis after the publication of the Keane report into mortgage arrears.
The Minister launched the report this morning.
The Keane report does not recommend a blanket debt-forgiveness scheme, instead favouring a "mortgage-to-rent" initiative where homeowners will be allowed to remain in and rent their homes despite losing ownership of them.
The report will be put to the Dáil for a two-day debate next week.
Minister Noonan, who called the issue of mortgage arrears a "very pressing social problem for many families", said local authorities would not purchase the homes, but would enter into leasing arrangements with families.
Pilot schemes will be arranged shortly to test the initiative's effectiveness.
