Fine Gael is urging the Central Bank to consider rent being paid by young people when they are applying for a new mortgage.

Longford/Westmeath TD, Gabrielle Mc Fadden, is concerned about plans forcing young people to produce a 20% deposit before they can be considered.

She said: "How can we expect a young person or a young couple to ever save for a deposit when at the same time, they are paying exorbitant rent?

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"Essentially, what these young people are doing is paying someone else's mortgage when they should be paying their own.

"I believe that if a young person has a good track record of paying significant rent over a five-to-seven year period for example, that proven ability to pay should have considerable value. In this context, that should mean they only have to pay a 10% deposit when applying for a first-time mortgage."

(CD/JP)