The Gazette 1964/67

PAYMENT OF DEPOSITS TO AUCTIONEERS

Clause 4 (i) (a) provides (inter alia) that in the case of a house occupied for the first time the amount which in the opinion of the housing authority represents the reasonable cost (including all reason– able incidental expenses) of building the house and the value of the interest of the borrower in the site thereof shall be considered as the value of the house. Clause 4 (i) (b) the value in other cases is to be considered the amount which in the opinion of the housing authority, the house if sold on the open market might reasonably be expected to realise together with so much, if any, of the legal and other incidental expenses to the acquisition of the owner– ship of the house as the housing authority may con– sider proper. Clause 8 provides that a loan shall be repaid with interest within a period not exceeding 35 years from the date of payment of the loan, or, if the loan is made by instalments, from such date as may be as determined by the housing authority. Clause 10 provides that a loan may be repaid either by equal instalments of principal or by an annuity of principal and interest combined and all payments on account of principal or interest shall be made at a periods not exceeding a half year may be determined by the housing authority. Clause 12 sets out the provisions prerequisite to obtaining a loan. There is a schedule to the in– struments setting out scale of fees in connection therewith. STAMP DUTY MEANING OF TOWN Property situate in a County Borough, Borough, Urban District or town. By section 3 3 of the Finance Act, 1961, property situated in a County Borough, Urban District or town is relieved from the 25% stamp duty and qualifies for the ordinary rate even when acquired by a non-national. The statutory certificate must be included in the deed. A town for the purpose of this provision is defined by the Interpretation Act, 1937, No. 38 of 1937, paragraph 32 of the schedule to the Act, as follows : The word " town " means the area comprised in a town not being an urban district in which the Town Improvement (Ireland) Act, 1854, is in operation. MEDICAL REPORTS The following extract is taken from the Journal of the Irish Medical Association, Vol. LIL, No. 309, March, 1963: " Statement for the guidance of members on the subject of reports of medical examinations as approved by Central Council on loth Jan., 1963.

The Auctioneers Association has published a notice to its members advising them that they should not make unauthorised payments out of deposits received in connection with the sale of property. Members were reminded that where an auctioneer receives the deposit as stakeholder he is bound to preserve it intact until completion of the sale at which point he gets authority to' release it to the vendor. If the sale falls through the auctioneer may be required to return the deposit to the purchaser or otherwise dispose of it as the vendor and purchaser mutually agree or as may be directed by the Court. It is pointed out in the notice that if an auctioneer gives credit to one of the parties to a sale and purchase in anticipation of being repaid out of the deposit following a sale of the property it must be regarded as an ordinary commercial risk and that they cannot rely on the deposit as a definite source of repayment. It is pointed out that when an auctioneer is asked to give credit in such circumstances it will be in his own interests to address an enquiry to the vendor's solicitor as to whether or not there will be a surplus of purchase money on the completion of the sale to refund any monies due to the auctioneer. The Council think it advisable to inform members having regard to such enquiries that they should be very careful not to give any assurance which could be regarded as an undertaking without (a) obtaining the definite and irrevocable instructions of the vendor and (b) without ensuring that sufficient monies will come to their hands as vendor's solicitors to satisfy the claim. In fact it is difficult to see any advantage in giving such an assurance and if given it is suggested that there should be a definite dis– claimer of any legal or professional liability thereon. HOUSING LOANS Members please note that under the Housing Authorities (Loans for Acquisition or Construction of Houses) Regulations, 1964 (S.I. No. 130 of 1964): Clause 3 (i) provides that the amount of a loan shall not exceed £2,250 or 95% of the value of the house excluding from that value the amount of any grant under any other enactment. Clause 3 (z) provides that where the borrower surrenders to the housing authority making the loan the tenancy of a dwelling provided by the housing authority under the Housing of the Working Classes Acts, 1890 to 1958 or under the Labourers Acts, 1883 to 1962 the amount of a loan shall not exceed £2,250 or 99% of the value of the house excluding from that value the amount of any grant under any enactment.