Tenant Purchase II

HOUSING (MISCELLANEOUS PROVISIONS) ACT 2014

PART 3

Purchase of Houses by Tenants

Section 21

Interpretation (Part 3)

21. In this Part—

“adjusted market value” means, in a case where the site on which a house was built was provided to the housing authority by the purchaser for a nominal sum, the market value of the house excluding an amount equal to the excess (if any) of the market value of the site over such sum;

“affordable house” means an affordable house provided under Part V of the Planning and Development Act 2000 or Part 2 of the Housing (Miscellaneous Provisions) Act 2002 or an affordable dwelling F2[purchased under an affordable dwelling purchase arrangement under Part 2 of the Affordable Housing Act 2021], as the case may be, and cognate words shall be construed accordingly;

“allocation scheme” has the meaning given to it by section 22 of the Act of 2009;

“charged period” has the meaning given to it by section 26 ;

“charged share” has the meaning given to it by section 26 ;

“charging order” has the meaning given to it by section 26 ;

“common areas, structures, works or services” means areas, structures, works and services that are, or are intended to be, common to dwellings and enjoyed therewith, including where relevant access and side roads, architectural features, circulation areas, footpaths, internal common stairways, open spaces, parking areas, utility rooms and that portion of the roof or exterior of any building not intended to form or not forming part of any individual dwelling;

“discount” has the meaning given to it by section 26 ;

“dwelling”, subject to section 22(3), includes—

(a) any building or part of a building, including a house, flat, apartment, maisonette or hostel occupied or intended for occupation as a normal place of residence, and

(b) any out-office, yard, garden or other land appurtenant thereto or usually enjoyed therewith;

“house”, other than in section 22(1), means a dwelling to which this Part applies;

“incremental release” has the meaning given to it by section 26 ;

“market value” means the price for which a house might reasonably be expected to be sold, on the open market, on the date concerned, in its existing state of repair and condition and not subject to the conditions specified in section 25(2) or to a charging order;

“material improvements” means improvements made to a house, with the prior written consent of the housing authority concerned, by one or both, as appropriate, of the tenant prior to purchase under this Part and the purchaser, whether such improvements were for the purposes of extending, enlarging, repairing or converting the house, but does not include—

(a) decoration, or

(b) any improvements otherwise carried out on the land, including the construction of a house;

“net adjusted market value” means the adjusted market value of a house reduced by an allowance equal to the amount of the market value attributable to material improvements;

“net market value” means the market value of a house reduced by an allowance equal to the amount of the market value attributable to material improvements;

“outstanding charged share” means the charged share, reduced by the sum of the incremental releases applied under section 26(3) (including any incremental releases paid by the purchaser under section 28 );

“purchase money”, in relation to a house to which this Part applies, means the monetary value of the purchase price of the house, reduced by the discount;

“purchase price”, in relation to a house to which this Part applies, means the price of the house determined by a housing authority;

“purchaser” means a person who purchases a house under this Part and includes a person in whom there subsequently becomes vested (other than for valuable consideration) the interest of the purchaser or his or her successor in title and the personal representative of that person or successor in title;

“relevant market value” means the adjusted market value, the market value, the net adjusted market value or the net market value, as the case may be;

“rescheduling arrangements” means arrangements relating to payment of arrears of rent, rent contributions, charges, fees or any other moneys due and owing in respect of a dwelling or site to which Chapter 3 of Part 2 of the Act of 2009 relates and includes arrangements referred to in section 34(2) of the Act of 2009;

“tenant” means any person to whom a housing authority has let a house under the Housing Acts 1966 to 2014 or Part V of the Planning and Development Act 2000;

“transfer order” has the meaning given to it by section 25 ;

“vesting date” has the meaning given to it by section 25 .

Annotations

Amendments:

F2
Substituted (3.09.2021) by Affordable Housing Act 2021 (25/2021), s. 27(b), S.I. No. 450 of 2021.

Section 22

Extent of application of Part 3 to certain houses

22. (1) Subject to subsections (2) and (3), this Part applies to a house provided by a housing authority under the Housing Acts 1966 to 2014 or provided under Part V of the Planning and Development Act 2000, other than an affordable house or a class of house prescribed under this Part as excluded from sale.

(2) A housing authority may sell an affordable house under this Part where the authority no longer requires the house for the purposes of affordable housing and the authority has allocated the dwelling to a household in accordance with an allocation scheme.

(3) The purchase of a house under this Part does not apply to—

(a) a separate and self-contained dwelling in a building that—

(i) is divided into a dwelling and one or more dwellings or other properties or both, and

(ii) requires arrangements for the regular upkeep and management of all or any part of the common areas, structures, works or services other than by a person who could, but for this subsection, be the purchaser,

(b) a house that may be sold under Part 3 of the Act of 2009 during the period of 5 years commencing on the date of allocation of the dwelling under an allocation scheme to an eligible household within the meaning of that Part.

Section 23

Disqualifications from purchase

23. (1) A housing authority shall not proceed with the sale of a house under this Part to a tenant where—

(a) (i) at any time during the 3 years immediately before applying to the authority to purchase a house under this Part, the tenant or a member of his or her household was in arrears of rent, rent contributions, charges, fees or any other moneys due and owing to a housing authority or an approved body for an accumulated period of 12 weeks or more in respect of a dwelling or site to which Chapter 3 of Part 2 of the Act of 2009 relates, and

(ii) subject to subsection (2), the tenant or the household member concerned has not entered into rescheduling arrangements with the housing authority or approved body concerned for the payment of such arrears, or, having entered into such arrangements, has not, in the opinion of the authority or body, substantially complied with their terms,

(b) the tenant had previously purchased a dwelling under section 90 of the Principal Act, Part 3 or 4 of the Act of 2009 or this Part.

(2) In applying subsection (1) (a)(ii), a housing authority shall disregard the case where the authority or the approved body concerned is satisfied that the failure of the tenant or household member concerned to substantially comply with the terms of the rescheduling arrangements was due to circumstances outside the control of such tenant or household member.

Section 24

Calculation of tenant’s income

24. (1) In this section—

“Act of 2010” means the Civil Partnership and Certain Rights and Obligations of Cohabitants Act 2010;

“civil partner” means each person in a civil partnership or legal relationship to which section 3 of the Act of 2010 relates and who are living together;

“cohabitant” means a cohabitant within the meaning of section 172(1) of the Act of 2010;

“reckonable income” shall be construed in accordance with subsections (3) and (4);

“spouse” means each person of a married couple who are living together.

(2) In calculating the annual income of a tenant who has applied to purchase a house under this Part, a housing authority—

(a) shall include the reckonable income of all tenants of that house, and

(b) where a tenant has a spouse, civil partner or cohabitant, shall include in the calculation the reckonable income of the spouse or civil partner of the tenant resident in the dwelling or of any cohabitant of the tenant resident in the dwelling.

(3) The Minister may from time to time issue directions in writing to housing authorities or to a class of housing authorities concerning the manner in which each authority shall determine reckonable income for the purposes of this Part.

(4) Directions issued under subsection (3) may specify—

(a) the sources and classes of income that a housing authority shall include in determining reckonable income and the sources and classes of income that a housing authority shall disregard in so determining,

(b) whether a housing authority shall deduct from gross income any specified payments by a tenant and, where applicable, by a person to whom subsection (2) (b) relates, that relate to income, and such specified payments may include—

(i) income tax,

(ii) universal social charge under Part 18D of the Taxes Consolidation Act 1997, and

(iii) contributions within the meaning of the Social Welfare (Consolidated Contributions and Insurability) Regulations 1996 (S.I. No. 312 of 1996),

and

(c) the information and particulars to be provided by a tenant to enable reckonable income to be calculated and verified.

(5) A housing authority to which directions have issued under this section shall comply with those directions.

(6) Without prejudice to subsection (7), whenever the Minister gives directions under this section, he or she shall publish the directions or cause them to be published in such manner as he or she considers appropriate in the circumstances.

(7) A housing authority shall make available for inspection by members of the public, without charge, on the Internet and at its principal office and such other places as it considers appropriate, during normal working hours, a copy of any directions issued to it under this section.

Section 25

Sale of house to tenant

25. (1) Subject to this Part and the other provisions of Housing Acts 1966 to 2014 and in accordance with such regulations as may be made under section 30 , a housing authority may, in consideration of the receipt by the authority of the purchase money, sell a house to which this Part applies, in the state of repair and condition existing on the date of sale, to the tenant of the house, by means of an order (in this Part referred to as a “transfer order”) in the prescribed form, which shall be expressed and shall operate to vest, on the date specified in the order (in this Part referred to as the “vesting date”), the interest specified in that order, in accordance with the terms and conditions specified in subsection (2) (which terms and conditions shall apply during the charged period) and the terms and conditions of a charging order.

(2) The terms and conditions referred to in subsection (1) shall include the following:

(a) that the house shall, unless the housing authority gives its prior written consent, be occupied as the normal place of residence of the purchaser or a member of the purchaser’s household;

(b) that the house or any part of it shall not, without the prior written consent of the housing authority be sold, assigned, let or sublet or otherwise disposed of or mortgaged, charged or alienated, otherwise than by devise or operation of law;

(d) the purchaser shall not cause any nuisance or allow any person residing in the house to cause any nuisance or be guilty of, or permit, any conduct likely to cause annoyance or disturbance to his or her neighbours and, without prejudice to the generality of the foregoing, shall not engage in, or allow any person residing in the house to engage in, anti-social behaviour;

(e) the purchaser shall not knowingly permit a person, against whom an excluding order under section 3 of the Act of 1997 or an interim excluding order under section 4 of that Act is in force in respect of the house, to enter the house in breach of the excluding order or interim excluding order, as the case may be;

(f) terms and conditions relating to—

(i) maintenance of the house by the purchaser, and

(ii) the provision and maintenance of adequate property insurance by the purchaser in respect of the house;

(g) such other terms and conditions relating to the sale of the house as may be prescribed for the purposes of a transfer order.

(3) Save as provided for by any other enactment or regulations made thereunder, the sale of a house under this Part to a tenant does not imply any warranty on the part of the housing authority in relation to the state of repair or conditions of the house or its fitness for human habitation.

(4) Section 211(2) of the Planning and Development Act 2000 and section 183 of the Local Government Act 2001 do not apply to the sale of a house under this Part.

Section 26

Charging order

26. (1) As soon as practicable after a house is sold under this Part, the housing authority shall, subject to such regulations as may be made under section 30, make an order (in this Part referred to as a “charging order”) in the prescribed form, charging the house in the terms specified in this section for the period specified in the order (in this Part referred to as the “charged period”), which period may be reduced in accordance with section 28 .

(2) The charging order shall create a charge in favour of the housing authority in respect of an undivided percentage share (in this Part referred to as the “charged share”) in the house equivalent to the percentage (referred to in this Part as the “discount”) by which the purchase price of the house was reduced for the purposes of calculating the purchase money payable by the purchaser.

(3) (a) Subject to paragraph (b), the charged share shall be reduced annually by a proportion equivalent to 2 per cent of the total equity in the house (which proportion is referred to in this section as an “incremental release”), on the anniversary of the vesting date, in respect of each complete year after that date during which the terms and conditions of the transfer order and the charging order have been complied with, until whichever of the following first occurs—

(i) subject to section 29, the first resale of the house,

(ii) the payment by the purchaser to the housing authority of the full amount of the outstanding charge in accordance with section 28(1)(a),

(iii) in the case where a payment has been made to the housing authority under section 28(1)(b), the application of an incremental release under the charging order that reduces the outstanding charged share to zero, or

(iv) subject to section 27, the expiration of the charged period.

(b) The reduction of the charged share for the period of 5 years from the vesting date shall be cumulative and shall not apply until the expiration of that period, but if during that period the terms and conditions of the transfer order and the charging order have not been complied with by the purchaser in any of those years, then the reduction of the charged share for that period shall not take into account a reduction otherwise due in respect of any years for which there has not been such compliance.

(c) Where under paragraph (b) the reduction of the charged share for the period concerned is not to be taken into account, then the housing authority shall, as soon as practicable thereafter, notify the purchaser in writing of that fact and the reasons why it is not being taken into account.

(4) The housing authority shall, at any time where requested by the purchaser, give a statement in writing, in the prescribed form, to the purchaser indicating, in respect of the charge in the house—

(a) the charged share specified in the charging order,

(b) the accumulated per cent of incremental releases that have been applied to the charged share under this section, including incremental releases applied under section 28(1)(b),

(c) the accumulated per cent of incremental releases in respect of the charged share that have been suspended under section 27,

(d) the outstanding charged share, and

(e) the remaining duration of the charged period.

(5) A charging order shall be deemed to be a legal mortgage under Part 10 of the Land and Conveyancing Law Reform Act 2009 and to have been executed, on the vesting date for the house, in favour of the housing authority for a charge in the terms provided for in this section.

(6) Accordingly, the housing authority shall, as on and from the making of the charging order—

(a) be deemed to be a mortgagee of the house for the purposes of Part 10 of the Land and Conveyancing Law Reform Act 2009, and

(b) have, in relation to the charge referred to in subsection (5), all the powers conferred by that Act on mortgagees under mortgages made by deed.

(7) Where a housing authority makes a charging order, it shall, as soon as practicable thereafter, cause the order to be registered in the Registry of Deeds or the Land Registry, as appropriate, and it shall be a sufficient description of the charge in respect of which the order is being registered to state that charge to be the charge referred to in section 26(2).

(8) A charging order affecting a house which is registered land within the meaning of the Registration of Title Act 1964 shall be registrable as a burden affecting such land whether the person named in the order as the owner of the land is or is not registered under that Act as the owner of the land.

(9) A housing authority may, subject to subsection (10), enter into an agreement with a holder of a licence under the Central Bank Act 1971, a building society or other financial institution that a charge proposed to be created by it by a charging order shall have a priority, as against a mortgage or charge proposed to be created in favour of that holder, society or institution, that is different from the priority the charge would otherwise have if this subsection had not been enacted.

(10) A housing authority may only enter into an agreement referred to in subsection (9) if it considers that the agreement will—

(a) enable a tenant to whom it is proposing to sell a house under this Part to obtain an advance of moneys from the holder, society or institution referred to in subsection (9) for the purposes of purchasing the house, or

(b) enable a purchaser—

(i) to refinance an existing advance of moneys from the holder, society or institution referred to in subsection (9), or

(ii) to obtain a further advance of moneys from the holder, society or institution referred to in subsection (9) for any purpose.

(11) Any amount that becomes payable to a housing authority under section 27 or 29 , as the case may be, may, without prejudice to any other power in that behalf, be recovered by the authority from the person concerned as a simple contract debt in any court of competent jurisdiction.

(12) For the avoidance of doubt, neither a charging order nor a charge that arises under it shall be regarded as a conveyance for the purposes of section 3 of the Family Home Protection Act 1976 or section 28 of the Civil Partnership and Certain Rights and Obligations of Cohabitants Act 2010.

(13) (a) On the occurrence of the earlier of the events specified in subsection (3) (a) and subject to the terms and conditions of the transfer order and the charging order having been complied with, the housing authority shall, where requested to do so by the purchaser, execute a deed of discharge in respect of the charging order.

(b) The housing authority shall be liable for any expenses incurred in the execution and registration of a deed of discharge but shall not otherwise be liable for any expenses incurred by a purchaser under this section or under section 27 , 28 or 29 .

Section 27

Suspension of incremental release

27. (1) Except where otherwise provided for by section 26(3)(b) in respect of the period of 5 years from the vesting date, a housing authority may suspend an incremental release provided for under section 26 in respect of any year ending on the anniversary of the vesting date, where the purchaser fails to comply with any of the terms and conditions of the transfer order or the charging order.

(2) Where a housing authority has suspended an incremental release under subsection (1) —

(a) the housing authority shall, as soon as practicable thereafter, notify the purchaser in writing of the suspension and the reasons for the suspension, and

(b) subject to section 28 , the housing authority shall, on the expiration of the charged period, give a statement to the purchaser in writing, in the prescribed form, indicating the amount representing the value of the outstanding charged share in the house on the date of expiration of the charged period, calculated by applying that share to the relevant market value of the house on the date of the expiration of the charged period.

(3) The purchaser shall, within 2 months of receipt of the statement referred to in subsection (2), pay to the housing authority the amount set out in the statement.

(4) Where the purchaser fails to pay the amount referred to in subsection (3) within the period referred to in that subsection, then, section 26(11) applies in respect of the amount concerned.

(5) For the purposes of this section, the relevant market value of a house shall be determined by the housing authority or, where the purchaser does not agree with the relevant market value so determined, by an independent valuer nominated by the purchaser from a panel of suitably qualified persons, established by the housing authority, who are of a class or description prescribed under section 30 .

Section 28

Payment during charged period in respect of charged share or incremental release

28. (1) A purchaser may, on the fifth or any subsequent anniversary of the vesting date during the charged period and with the consent of the housing authority—

(a) pay to the housing authority, on the anniversary date or within such period as the housing authority may specify, the value of the outstanding charged share in the house on any such anniversary date (including an incremental release suspended by the authority under section 27(1)), which value is calculated by applying that share to the relevant market value of the house on that day,

(b) subject to subsection (2), pay to the housing authority an amount, being the value on any such anniversary date of one or more than one incremental release (other than an incremental release suspended by the authority under section 27(1)) in respect of the charged share of the housing authority in the house, and where the value of one incremental release is calculated as 2 per cent of the relevant market value of the house on the anniversary date concerned.

(2) A payment by a purchaser under subsection (1) (b) shall relate to a number of incremental releases that is equal to or a multiple of one.

(3) Where a purchaser makes a payment to the housing authority under subsection (1) (b), then—

(a) for the purpose of calculating the outstanding charged share in the house, an incremental release paid under this section shall be treated as if it has been applied to the charged share on the date concerned, and

(b) the charged period shall be reduced by the number of years equivalent to the number of incremental releases to which the payment relates.

(4) For the purposes of this section, the relevant market value of a house shall be determined by the housing authority or, where the vendor does not agree with the relevant market value so determined, by an independent valuer nominated by the vendor from a panel of suitably qualified persons, established by the housing authority, who are of a class or description prescribed under section 30 .

Section 29

Control on resale of house

29. (1) Where a purchaser proposes to sell a house during the charged period, he or she shall give prior written notice to the housing authority in accordance with the terms and conditions specified in the transfer order.

(2) Upon receipt of a notice referred to in subsection (1), the housing authority may purchase the house for a sum equivalent to the value of the uncharged share in the house, which is calculated by reducing the market value of the house on the date of resale by the outstanding charged share in the house on that date.

(3) Without prejudice to any other power in that behalf, a housing authority may refuse to consent to the sale to any person of the house during the charged period where the authority wishes to purchase the house in accordance with subsection (2) or the authority is of the opinion that—

(a) the proposed sale price is less than the market value,

(b) the said person is or was engaged in anti-social behaviour or the sale would not be in the interest of good estate management (within the meaning of section 1 of the Act of 1997), or

(c) the intended sale would, if completed, leave the vendor or any person who might reasonably be expected to reside with him or her without adequate housing.

(4) Where a purchaser resells a house to a person other than a housing authority during the charged period, the purchaser shall pay to the housing authority concerned the value of the outstanding charged share in the house on the date of resale of the house, which amount is calculated by applying that share to the relevant market value of the house on that date.

(5) Where the amount payable under any of the provisions of this section would reduce the proceeds of the sale (disregarding solicitor and estate agent’s costs and fees) below the purchase money, the amount payable under the charging order shall be reduced to the extent necessary to avoid that result.

(6) (a) Subject to paragraph (b), where a purchaser resells a house which is subject to a charging order the charged period of which has expired and in respect of which the amount referred to in section 27(2) has not been paid in accordance with that section, section 26(11) applies.

(b) No account shall be taken of any material improvements made to the house after the expiration of the charged period.

(7) For the purposes of this section, the market value or the relevant market value of a house shall be determined by the housing authority or, where the vendor does not agree with the market value or the relevant market value so determined, by an independent valuer nominated by the vendor from a panel of suitably qualified persons, established by the housing authority, who are of a class or description prescribed under section 30 .

(8) The housing authority shall not be liable for any expenses incurred by a vendor under subsection (7).

Section 30

Regulations (Part 3)

30. The Minister may make regulations in relation to all or any one or more of the following:

(a) the class or classes of house excluded from sale under this Part;

(b) for the purposes of making an application to purchase a house under this Part, the minimum period for which a person is required to be in receipt of social housing support under Chapter 3 of Part 2 of the Act of 2009, which period may differ according to the form of social housing support involved but shall not in any case be less than one year before the date of the making of such application;

(d) the minimum amount of annual income that a tenant is required to have in order to apply to purchase a house under this Part;

(e) the method for determining the purchase price of a house, which method may—

(i) differentiate between classes of houses,

(ii) take account of the age of the house and the estimated cost to the housing authority of providing, in accordance with prevailing national building standards and design policies for local authority housing, a house on the same site designed to accommodate a household in the same class that the house being purchased was designed for,

and any such method of determination of such estimated cost shall include, among other matters, the cost of site acquisition, legal and other professional fees;

(f) the method for determining the discount that is to be deducted from the purchase price for the purposes of calculating the purchase money, which method shall take account of the annual income of tenants to whom houses are sold under this Part;

(g) the period for which a charging order shall apply in respect of a house sold under an incremental purchase arrangement under this Part, which period may vary depending on the discount deducted from the purchase price for the purposes of calculating the purchase money but shall not, in any case, be less than 20 years from the vesting date;

(h) the form and manner of, and terms and conditions to be specified in, a transfer order and a charging order;

(i) the class or classes or description of persons who are suitably qualified by reference to their qualifications and experience to determine the market value or relevant market value of a dwelling or site, as the case may be, for the purposes of this Part;

(j) the form of the statement for the purposes of sections 26(4) and 27(2)(b);

(k) any such other matters as the Minister considers necessary and appropriate relating to incremental purchase arrangements.

Annotations

Editorial Notes:

E29
Power pursuant to section exercised (1.02.2022) by Housing (Sale of Local Authority Houses) (Amendment) Regulations 2021 (S.I. No. 776 of 2021), in effect as per reg. 1(2).

E30
Power pursuant to section exercised (1.01.2016) by Housing (Sale of Local Authority Houses) Regulations 2015 (S.I. No. 484 of 2015), in effect as per reg. 2.

Section 31

Part 3 and amendment of Principal Act

31. The Principal Act is amended in section 90—

(a) by deleting subsections (1)(a)(i), (2), (3), (4A) and (6A), and

(b) in subsection (7), by deleting paragraphs (a), (b) and (c) and by substituting the following for paragraph (l):

“(l) in the case of a sale under this section, the obtaining of the consent of the Minister to the sale;”.

Section 32

Part 3 and amendment of Act of 1992

32. The Act of 1992 is amended by deleting section 26(2).

Section 33
Part 3 and amendment of Act of 1997

33. The Act of 1997 is amended in section 14(2) —

(a) by deleting “or” at the end of paragraphs (b) and (c), inserting “or” at the end of paragraph (d) and inserting the following after paragraph (d):

“(e) Part 3 of the Housing (Miscellaneous Provisions) Act 2014,”,

and

(b) by deleting “or” at the end of paragraph (iii), inserting “or” at the end of paragraph (iv) and inserting the following after paragraph (iv):

“(v) in the case of Part 3 of the Housing (Miscellaneous Provisions) Act 2014, a tenant,”.

Section 34
Part 3 and amendment of Act of 2009

34. The Act of 2009 is amended—

(a) in section 10(a) by substituting the following for subparagraph (iv):

“(iv) the sale, or consent to the sale, of a dwelling under section 90(1)(b) of the Principal Act to a person other than another housing authority;”,

(b) in section 13—

(i) by substituting in paragraph (a) “, Part 3 or 4 of this Act or Part 3 of the Housing (Miscellaneous Provisions) Act 2014 ” for “or Part 3 or 4”,

(ii) by inserting in paragraph (b) “or section 29 of the Housing (Miscellaneous Provisions) Act 2014 ” after “section 48 or 76”, and

(iii) by inserting in paragraph (d) “or section 27 of the Housing (Miscellaneous Provisions) Act 2014 ” after “section 47 or 75”,

“(c) the sale of a dwelling under section 90 of the Principal Act or Part 3 or 4, or the sale of a house under Part 3 of the Housing (Miscellaneous Provisions) Act 2014;”,

(d) in section 20 by substituting the following for subsection (5):

“(5) (a) Subject to paragraph (b), a household shall not be eligible for social housing support where—

(i) at any time during the 3 years immediately before the carrying out of the social housing assessment, the household or a member of his or her household was in arrears of rent, rent contributions, charges, fees or loan repayments or any other moneys due and owing to a housing authority or an approved body for an accumulated period of 12 weeks or more in respect of a dwelling or site to which Chapter 3 of Part 2 of the Act of 2009 relates, and

(ii) the household or the member concerned has not entered into rescheduling arrangements with the housing authority or approved body concerned for the payment of such arrears, or, having entered into such arrangements, has not, in the opinion of the authority or body, substantially complied with their terms.

(b) The failure of a household or household member to substantially comply with the terms of rescheduling arrangements shall be disregarded in any case where the housing authority or approved body concerned is satisfied that the failure was due to circumstances outside the control of such household or household member.”,

(e) in section 28(4)(e) by substituting “, Part 3 or 4 of this Act or Part 3 of the Housing (Miscellaneous Provisions) Act 2014 ” for “or Part 3 or 4”,

(f) in section 32(6) by deleting “or” in subparagraph (ii) and inserting the following after subparagraph (ii):

“(iia) the purchase of a house under Part 3 of the Housing (Miscellaneous Provisions) Act 2014, or”,

(g) in section 43(1) by substituting the following for paragraph (a) in the definition of “eligible household”:

“(a) a household assessed by a housing authority under section 20 as being qualified for social housing support, which has been allocated a dwelling to which this Part applies in accordance with an allocation scheme, and which applies to purchase the dwelling under this Part within 5 years from the date of such allocation, or”,

(h) in section 43 by substituting the following for subsection (2):

“(2) (a) A housing authority shall not proceed with the sale of a dwelling under an incremental purchase arrangement to a household referred to in paragraph (b) of the definition of ‘eligible household’ in subsection (1) where—

(i) at any time during the 3 years immediately before applying to the authority to purchase a dwelling under this Part, the household or a household member was in arrears of rent, rent contributions, charges, fees or any other moneys due and owing to a housing authority or an approved body for an accumulated period of 12 weeks or more in respect of a dwelling or site to which Chapter 3 of Part 2 of the Act of 2009 relates, and

(ii) subject to paragraph (b), the household or the member concerned has not entered into rescheduling arrangements with the housing authority or approved body concerned for the payment of such arrears, or, having entered into such arrangements, has not, in the opinion of the authority or body, substantially complied with their terms.

(b) In applying paragraph (a)(ii), a housing authority shall disregard the case where the authority or approved body concerned is satisfied that the failure of the household or the member concerned to substantially comply with the terms of the rescheduling arrangements was due to circumstances outside the control of such household or member.”,

(i) in section 45(2) by deleting paragraph (d),

(j) in section 64(9) by substituting the following for paragraph (a):

“(a) where—

(i) at any time during the 3 years immediately before applying to the authority to purchase an apartment under this Part, the tenant or a member of his or her household was in arrears of rent, rent contributions, charges, fees or any other moneys due and owing for an accumulated period of 12 weeks or more to a housing authority or an approved body in respect of a dwelling or site to which Chapter 3 of Part 2 of the Act of 2009 relates, and

(ii) subject to subsection (9A), the tenant or the household member has not entered into rescheduling arrangements with the housing authority or approved body concerned for the payment of such arrears, or, having entered into such arrangements, has not, in the opinion of the authority or body, substantially complied with their terms,”,

and

(k) in section 64 by inserting the following subsection after subsection (9):

“(9A) In applying subsection (9)(a)(ii), a housing authority shall disregard the case where the authority or approved body concerned is satisfied that the failure of the tenant or the household member concerned to substantially comply with the terms of the rescheduling arrangements was due to circumstances outside the control of such tenant or household member.”