Opposition leader Alex Borg on Thursday dismissed remarks made by former Housing Minister Roderick Galdes that the PN's announced measures to assist first-time property buyers, which were publicised the evening prior, copy the existing Equity Sharing Scheme and are "nothing new."
On Thursday morning, the ex-Housing Minister wrote on Facebook that the Opposition's pitched housing scheme is "nothing new".
"Don't you know that in 2019, we launched the Equity Sharing Scheme which covers ALL interests (not half of them) up to €100,000 (not €45,000), for people aged 25 and over?" Galdes wrote.
Galdes added that the PL administration also gave youths a stamp duty exemption, €10,000 assistance spread over 10 years (the first-time buyers' scheme), and an interest payment over 20 years, "not for 10 years like your proposal."
The former Minister concluded that he "was expecting better after 13 years in the Opposition" and that the PN could have come up with a better scheme than what they announced.
When asked for comments about Galdes' reaction by this newsroom, Borg said that "Galdes, who was blocked by his own Labour Party executive, unfortunately after all his years in housing, seems that he doesn't even know his own schemes."
Borg said that the Nationalist Party's proposal "has nothing to do with the Equity Sharing Scheme" and that Galdes' remarks show that he "doesn't even know the Equity Sharing model."
The Opposition leader said through the Equity Sharing Scheme, the Government of Malta becomes a partial shareholder of the property following its sale. Meanwhile, PN's proposal will not see government become shareholders with youths purchasing their home.
"We did not say we will become shareholders with youths buying their home," Borg said, "We want youths to be the sole owners of their own property, so that it is fully theirs. Through the scheme we announced, we will be helping them with the interest and not in the purchase of the property."
He also clarified that the PN's pledge is a scheme that helps first-time buyers with the interest payments on a mortgage.
"We will be giving back half of the interest paid over a span of 10 years to alleviate one of the greatest burdens that, oftentimes, they struggle to keep up with," Borg said.
On Wednesday evening, the Nationalist Party announced two measures to help first-time property buyers: that a PN government would provide a rebate covering half of the total interest payments paid in the first decade of a home loan and, secondly, that first-time buyers would be able to receive interest-free assistance by the government to cover the deposit on properties costing up to €450,000.
The Equity Sharing Scheme is designed to aid individuals aged 25 and over who cannot take a home loan due to their age and income or cannot afford to purchase a residence without assistance from the Housing Authority. It provides access to properties worth up to €250,000 (or €350,000 if applicants aged 40 and above are purchasing the remaining share of their former matrimonial home from their former partner at law).
Through the Equity Sharing Scheme, applicants purchase at least 50% of the marked property themselves, leaving the Housing Authority to cover the remaining percentage, though the Authority's share cannot exceed €100,000 in value. After 20 years, applicants must purchase the Housing Authority's share at the same price it originally paid for it.