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Home ownership back in reach with Home Loan Scheme

The Minister for Housing, Local Government and Heritage Darragh O’Brien, TD announced details of a newly expanded Local Authority Home Loan scheme on January 4, 2022. Minister O’Brien, along with Public Expenditure and Reform Minister Michael McGrath, signed regulations giving effect to the new Local Authority Home Loan scheme.

The Scheme is open to all First Time Buyers and to Fresh Start applicants on low or modest incomes who cannot get sufficient funding from commercial lenders to purchase new or second-hand properties or to build your own home.

“Supporting home ownership is a key objective for this government. In Housing for All, our new plan for housing in Ireland we committed to introducing a reformed Local Authority Home Loan scheme to further support access to homeownership for creditworthy homebuyers who otherwise find it difficult to access sufficient finance,” he said.

“The new regulations will make it easier for single people to avail of a state backed mortgage for a new, second-hand or self-build home. A ‘Fresh Start’ principle also applies which means that people who are divorced or separated and have no interest in the family home, or who have undergone insolvency proceedings, will be eligible to apply also.”

“I am now raising the income ceiling for a single applicant by €15,000 to €65,000 in counties Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow. This comes on top of enhancements already made to the scheme. In September 2021I lowered the interest rate for local authority lending by 0.25% and this lower interest rate will continue to apply to loans issued under the Local Authority Home Loan.”

“Ultimately, this government, through Housing for All, is working to put the dream of home ownership back in reach for people,” he added.

A dedicated Local Authority Home Loan webpage for the scheme has been established.

News LSL.

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