S.L. 328.3 Art. 8Payment of purchase price.

(1) Ten percent (10%) of the purchase price determined in accordance with the provisions of this Scheme shall be paid on account of the said price by the applicant on the promise of sale agreement with the Authority but the amount so paid shall not be recoverable by the applicant should he fail, for any reason, to conclude the deed of sale with the Authority.

(2) The balance of the purchase price shall be paid on the deed of sale entered into between the applicant and the Authority. Where an applicant does not make use of his right to borrow part of the purchase price as provided in sub-clause (3) ten percent (10%) shall be deducted from the purchase price determined in accordance with the provisions of this Scheme and such a deduction shall be made from the purchase price as reduced in accordance with the provisions of clause 7(2) and (3).

(3) The applicant may borrow part of the purchase price from a financial institution approved by the Authority but the amount of the loan shall not exceed the limit laid down in the fourth column of Table B annexed to this Scheme, according to the aggregate annual income of the applicant as shown in the second column of the said Table, and shall be repayable in monthly instalments within a maximum period of twenty-five (25) years from the date of the deed of sale or not later than the date on which he becomes sixty-five (65) years of age, whichever is the earlier.

(4) Where an applicant has obtained a loan in accordance with sub-clause (3), the Authority shall subsidise the interests payable on the loan so that the interests payable by the applicant shall be at the rate shown in the third column of Table B annexed to this Scheme. No subsidy shall be payable where the aggregate annual income of the applicant for the basic year exceeds eleven thousand and six hundred and forty-six euros and eighty-seven cents (€11,646.87).

(5) The rate of interest payable by the applicant as aforesaid shall be revised by the Authority every two (2) years on the basis of the aggregate annual income for the basic year and the amount of the subsidy payable by the Authority shall also be revised accordingly. The first revision shall be due on the 1st of July 1993.

(6) The Authority shall ensure that where the aggregate annual income of the purchaser in any one year is less than three thousand and nine hundred and fifty-nine euros and ninety-three cents (€3,959.93) the payment of monthly instalments due in repayment of any loan as aforesaid shall be suspended for a period of up to three months which may be extended by further periods of three months provided that the purchaser shall continue to pay the rate of interest payable by him under this Scheme.