Exemptions to mortgage lending rules fell during the Covid-19 pandemic but there was no sign of a deterioration in borrower credit quality, according to a report from the Central Bank. Only 5 per cent of lending to first-time buyers can exceed the permitted 09 per cent loan to value measure. In terms of loan to income – where the threshold is 3.5 times income – exemptions are allowed for 20 per cent of lending to first-time buyers and 10 per cent of existing homeowners. Dublin homes accounted for over 50 per cent of all exemptions, with a further quarter coming in the rest of Leinster. The average first-time buyer with an exemption was 33 years old while those without exemptions tended to be two years older.

Source: The Irish Times June 09, 2021 01:52 UTC