11.—(1) A housing authority may, subject to regulations made by the Minister for the purposes of this section with the consent of the Minister for Finance, make loans (in this section referred to as “housing loans”) for any of the following purposes:

(a) the acquisition of estates or interests in or the construction of houses;

(b) the carrying out of improvement works to houses;

(c) the acquisition of buildings or other land for the purpose of providing housing or the development of sites for housing;

(d) the conversion of a building, in whole or in part, into one or more self-contained dwelling units;

(e) the provision of hostel accommodation;

(f) payment of a deposit for the purchase of property to which paragraph (a) or (c) relates.

(2) The power to make housing loans by virtue of subsection (1) includes the power to make them even if the amount due to the housing authority may exceed the amount of the original loan at any time after the loan has been made and, where the amount due to the authority in respect of capital exceeds the amount of the loan, any reference in this Act to the repayment of the loan includes reference to payment of the excess.

(3) The rates of interest payable from time to time on housing loans shall be determined by the Minister with the consent of the Minister for Finance, and different rates may be so determined for loans of different classes.

(4) A housing authority may enter into and carry out an agreement in connection with a housing loan under this section.

(5) Where default is made in complying with any of the conditions subject to which a housing loan is made by a housing authority or subject to which a house, property or other land in respect of which such a loan is made is held by the borrower or, in the case of the bankruptcy of the borrower of such a loan, the authority may, subject to the rights of any prior mortgagee or chargee, recover possession of the house, property or other land (whatever may be its value)—

(a) under sections 84 to 89 of the Landlord and Tenant Law Amendment Act, Ireland, 1860, as if the authority were the landlord and the borrower were the tenant, or

(b) by order of possession by a court in accordance with the terms of a mortgage given as security for the loan.

(6) Where a housing authority recover possession of a house, property or other land under subsection (5) (a)—

(a) all the estate, right, interest and title of the borrower in the house, property or land subsisting at the time the housing loan was made shall vest, without any conveyance or transfer, in the authority, and

(b) the provisions of section 23 of the Registration of Title Act, 1964, shall not apply to such vesting unless the house is retained by the authority in accordance with subsection (7) (b).

(7) Where a housing authority recover possession of a house, property or other land under subsection (5), the authority, at their discretion, may—

(a) sell it at the best price reasonably obtainable, or

(b) retain and use it for the purposes of any of their functions.

(8) Subject to subsection (9), where a housing authority recover possession of a house, property or other land under subsection (5), the provisions of section 21(3) of the Conveyancing Act, 1881, shall apply as if—

(a) the authority were a mortgagee who has exercised the power of sale conferred by that Act, and

(b) the value of the interest in the said house, property or other land at the disposal of the authority were money received by a mortgagee arising from the sale of mortgaged property, and

(c) any costs incurred by the authority in relation to arbitration under subsection (11) were costs properly incurred by a mortgagee in such a sale.

(9) Where a housing authority recover possession of a house in accordance with subsection (5) and let that house or another house of which they are the owner to the borrower from whom possession was recovered or to any person who might reasonably be expected to reside with him, then the authority may, at their discretion, retain the residue that would otherwise be payable by them by virtue of subsection (8), provided that—

(a) they discharge any encumbrance to which the security given for the housing loan concerned had priority, and

(b) on or before such letting, the borrower is made aware in writing of the provisions of this subsection and subsection (8).

(10) Subsection (9) shall not prevent a housing authority from making such monetary arrangements with a borrower as they consider equitable in the circumstances.

(11) Where a house recovered by a housing authority is retained by them and in default of agreement between the authority and the borrower, the value of the interest in the house at the disposal of the authority shall be determined under and in accordance with the Acquisition of Land (Assessment of Compensation) Act, 1919, by a property arbitrator nominated under the Property Values (Arbitrations and Appeals) Act, 1960.

(12) Any sum due to a housing authority by any person in respect of a housing loan may, without prejudice to any other power in that behalf, be recovered by the authority from that person as a simple contract debt in any court of competent jurisdiction.

(13) Regulations under this section may, in particular, but without prejudice to the generality of subsection (1), make provision in relation to all or any one or more of the following:

(a) the class or classes of houses, buildings or other land, sites, works and accommodation in respect of which a loan may be made;

(b) the class or classes of persons to whom loans or loans of different classes may be made;

(c) the amount of a loan and the manner of its determination;

(d) requirements in relation to the financial and family circumstances of persons to whom a loan may be made;

(e) the manner in which the income of either or both the borrower and his household may be determined for the purposes of the regulations;

(f) the security, if any, to be taken for a loan and the manner of assessing the adequacy of the security;

(g) requirements in relation to the occupation of a house or other accommodation in respect of which a loan is made;

(h) the repayment of a loan including the manner of and period for such repayment;

(i) the manner of the payment of interest on a loan;

(j) requirements in relation to the floor area of a house in respect of which a loan may be made, measured in such manner as may, from time to time, be determined by the Minister;

(k) requirements in relation to standards of construction, works and repair and the availability in a house or other accommodation, in respect of which a loan may be made, of water, sewerage or other services;

(l) requirements, in the case of a loan for the carrying out of improvement or conversion works, in relation to the suitability of the house or property concerned for improvement or conversion and the type and purpose of the improvement or conversion works;

(m) the payment by instalments of a loan, whether or not the security to be taken, if any, is perfected;

(n) the conditions subject to which a house, property or other land in respect of which a loan is made, is held by a borrower during the period until the loan is repaid, and the interest thereon is paid, to the housing authority;

(o) requirements, in the case of a borrower other than a natural person, as to the constitution of such a borrower;

(p) the repayment of the capital debt outstanding and any interest due in the event of default by the borrower of an agreement under this section or in such other circumstances as the Minister may consider appropriate;

(q) the giving of notice to a borrower requiring him to comply with a condition subject to which a loan is made to him or subject to which a house, property or other land in respect of which a loan is made, is held by him;

(r) the adjustment of the capital debt outstanding on a loan (including the conversion of interest into such debt) and the extension of the repayment period;

(s) the insurance of a house, property or other land in respect of which a loan is made or which has been given as security for a loan;

(t) mortgage protection insurance;

(u) the form of, or matters to be specified in, a loan agreement.

(14) In this section “borrower” means the person to whom a housing loan has been made and includes a successor in title of that person and the personal representative of that person or successor in title.