A state agency has called on the Irish government to provide more support to first time buyers.

The Affordable Homes Partnership said first time buyers particularly need help with growing deposit percentages.

Many mortgage providers no longer offer 100% loans, meaning most new buyers can expect to fork out at lease 10% of the total cost of the purchase as a deposit.

-- Advertisement --

The Affordable Homes Partnership has suggested that some banks are now requesting 20% up front.

The agency has insisted many prospective buyers cannot enter the market due to their lack of funds. In turn contributing to the current stagnant position of the supply and demand chain.

Instead the agency has asked that the government devises a system whereby home owners can lend the funds from the state and pay it back over a number of years.

The Partnership Chairman, Des Geraghty, said the changes would help people cope with the credit crunch.

(PR/JM)