Debate contribution: First-time Buyers: Support

Debate contribution by Mr Mark Durkan on 3 February 2025.

MLA

Mr Mark Durkan

Party at the time

Social Democratic and Labour Party

Date

3 February 2025

Type

Debate contribution

Business

Opposition Business

Heading

First-time Buyers: Support

Assembly identifier

Official Report component 4774580

Read the official Assembly record

Text

I beg to move

I propose the motion and acknowledge the increasing difficulties facing first-time buyers, making what was once a common rite of passage for many an impossible dream for more. For generations before us, homeownership was seen as the foundation of security and the springboard to stable lives and a sense of belonging in society and established communities. That has become a pipe dream. It is no longer a goal for those trapped in the instability of the private rental sector, who face rising costs, short-term leases and little hope of saving for a home of their own. After much delay, we saw and welcomed the introduction of an intermediate rent scheme that, I hope, will improve long-term rental options and give tenants stability. That is part of a long-awaited housing supply strategy that talks about unlocking supply but makes no mention of support for first-time buyers. It promises 100,000 homes over 15 years without, in our view, a real road map to get us there.

I fail to see how that figure will ever be attained at a time when we would be lucky to hit half of this year’s target of 2,000 social homes and the rate of housebuilding is at a 60-year low. Addressing the impact of water issues on housing development barely gets a mention, yet that drives up costs for first-time buyers and all buyers and renters of property across the North.

Another flaw in the strategy is the exclusion of any mention of empty homes or of a desire to bring 21,000 vacant properties back into use. That approach would not just alleviate pressure on new builds but avoid the complexities of water infrastructure connections. The delivery of adequate housing supply is contingent on having a suite of comprehensive reforms, including a help-to-buy scheme. One cannot thrive without the other. The average house price in the North is rising faster than wages. In 2023, the average monthly rent across the North was £817, which was a 5% increase on the previous six months. It has mushroomed again since then. It is barmy that there can be 50 applicants for one rental property. Entry into private rental, never mind homeownership, is laden with barriers. In my constituency, we recently saw £900 a month charged for a two-up two-down, the quality of which left quite a bit to be desired. That was almost double what it cost less than five years ago. Extortionate rental costs make private renting impossible, including for people who are in full-time employment. They push people out of their home and on to the social housing list. Improving access to homeownership would reduce demand on rental properties and therefore reduce demand on social housing. It is hard to understand how people who currently pay £1,200 or £1,300 a month on rent are considered by lenders to be unable to afford an £800 mortgage payment. We have to try to make that make sense. Co-ownership has been pushed by successive Ministers as being the be-all and end-all. It certainly has value, but there has been little consideration of alternative support. Co-ownership provides an entry point into the housing market, but it does not work for everyone, because buyers face limited financing options. Rising rents and interest rates can make the scheme less affordable over time, while reselling can prove complicated. We also have a rent-to-own scheme, which is run by Co-ownership, but it is not much used, probably because it is not, or has not been, much use. An equity-based — it is important that it be equity-based — help-to-buy scheme would provide a much-needed lifeline that would reduce the upfront deposit and lower the amount that buyers needed to borrow. It would prove to be an investment for the Executive and ensure that funds could be reinvested to support future buyers. That, in turn, would boost construction, create jobs and stimulate the housing market. Such a scheme cannot work in isolation, however. Rather, it needs to be one element of a wider suite of interventions that would increase housing supply and deliver a sustainable housing market. Although we agree with the sentiment of amendment No 2, we are fairly ambivalent about whether it is made, and we will oppose amendment No 1, which we believe dilutes the intent of the motion and, effectively and unsurprisingly, lets the Minister off the hook.

731 words. Text as published by the Northern Ireland Assembly.

Assessment

Not flagged

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Assessed 21 October 2026 at 11:53 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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