Giving people 'huge, unsustainable mortgages' is not the answer to the housing crisis.
That's according to Brendan Burgess, founder of askaboutmoney.com
He was speaking as the Institute of Professional Auctioneers & Valuers (IPAV) has suggested banks should be allowed to offer 50-year mortgages.
It is also calling for the general limit of 3.5-times gross salary to be increased to 4.5.
But Brendan told The Hard Shoulder this isn't the way to go.
"We have a problem at the moment with very high house prices in Ireland, which are unaffordable for a lot of people.
"Last month the ESRI brought out a report which said that half of all people aged between 25 and 35 today will be still renting when they're 65.
"That compares with today - only 10% of people who are in retirement are renting.
"So there's a very serious problem, but the solution to the problem is not to give them huge, unsustainable mortgages.
"The solution to the problem is to address the very high cost of building houses in Ireland".
Brendan says there is more that should be done.
"The Government could take a number of steps which would bring down the price of houses.
"That's what we should be doing - instead of saying 'We'll give you a 50-year mortgage and we'll tie you to your home for 50 years'.
"That's not a good idea".
Construction workers wearing hard hats on scaffolding of a housing development in March 2021. Picture by: Eamonn Farrell/RollingNews.ieAnd he says paying for a home over five decades makes no sense.
"You're getting the same house, you're just paying an awful lot more for it.
"And you're going to be paying for it over 50 years instead of paying for it over 30 years.
"It's not the right solution.
"The right solution is that when people set out to take a mortgage, they should have it paid off by retirement ideally."
He adds: "The solution is to bring down the price of houses, not to throw more money at it".
