Incremental Purchase Scheme (IPS) Flashcards Preview

Home Economics: 13.7 - Housing > Incremental Purchase Scheme (IPS) > Flashcards

Flashcards in Incremental Purchase Scheme (IPS) Deck (17)
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1

What does IPS stand for?

Incremental Purchase Scheme

2

What is the aim of IPS?

It aims to provide an affordable route to homeownership for households in receipt of social housing support for a minimum of one year and earning at least 15,000 euro annually

3

The IPS provides an affordable route to homeownership for who?

for households in receipt of social housing support for a minimum of one year and earning at least 15,000 euro annually

4

How long does a household have to be in receipt of social housing support in order to avail of IPS?

A minimum of one year

5

How much should a household earn in order to avail of IPS?

At least 15,000

6

What does IPS provide?

An affordable route to homeownership

7

What housing does IPS apply to?

New-build social housing or approved houses only

8

How much does an IPS applicant receive in relation to the total price of the house?

They receive a discount of 40-60% on the total price

9

How is the discount percentage determined?

It depends on annual income

10

How much does the eligible applicant have to pay if they receive a 60% discount?

They only have to purchase the remaining 40% balance

11

How must the eligible applicant purchase the balance?

They must take out a mortgage with a lending agency

12

Who does the applicant pay the balance to?

The local authorities

13

What must the applicant pay to the local authorities over the next 20-30 years?

An incremental purchase charge on the discounted amount

14

For how long does the applicant have to pay an incremental purchase charge on the discounted amount to the local authorities?

20-30 years

15

For how long do the payments to the local authority stay the same amount?

The price stays the same for the first five years but then they drop annually until the charge is fully paid

16

Does the applicant have to repay the full balance to the local authority?

Yes and the incremental purchase charge over the next 20-30 years

17

Write a note on the Incremental Purchase Scheme.
(6)

Affordable route to homeownership for households in receipt of social housing support (how to qualify?)

Only applies to new-build social housing or approved houses

Discount of 60-40%

Applicant repays balance to the local authority

Applicant pays an incremental purchase charge to the local authority

Charge remains the same for five years then drops annually until the charge is fully paid