Central Bank and mortgages

A chara, – Siptu president Jack O'Connor states that new Central Bank rules on mortgage lending "will confine house purchasing to the rich" (January 20th).

Perhaps a better situation to the current one we find ourselves in where house purchasing is confined to those who can’t afford it. – Is mise,

GARETH T CLIFFORD,

Stillorgan,

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Co Dublin.

Sir,– The Central Bank is quite right to try to prevent house buyers from being stampeded into buying houses at crazy prices – and don’t tell me that couldn’t happen again.

However, those who point out the difficulty of coming up with a 20 per cent deposit also have a point.

The solution may be a system which is more nuanced than the crude 20 per cent proposed.

Take, for the sake of argument, a price of €275,000. Up to that price you must come up with 10 per cent. For every €10,000 above that you must come up with another 1 per cent.

There is nothing sacred about the figures but I think the idea is worth considering. – Yours, etc,

BRENDAN CASSERLY,

Bishopstown,

Cork.