Financial options to help you buy your new home
Help to Buy Scheme
This scheme helps first time buyers purchase new homes only. It also applies to once-off self-build homes. The price limit on this scheme is €500,000.
The amount you are intitled to depends on how much Income Tax or DIRT (Deposit Interest Retention Tax) you have paid in the previous 4 years. This money is most often used to offset the larger deposit due when contracts are signed. Carroll Estates have been approved by Revenue to participate in this scheme in our current Bettystown and Newbridge developments.
The maximum you would be intitled to is €30,000. You can apply at any time through Revenue’s myAccount service or through Revenue’s Online Service (ROS). Once approved, it is only at the claim stage that you will need to provide documents about your mortgage and property details, so the first step can begin immediately.
Local Authority Home Loan
This government-backed loan is open to first time buyers and certain other applicants. You can borrow up to 90% of the price of the house at a reduced interest rate, and repayments are fixed throughout the lifetime of the mortgage so there are no nasty surprises in store for you. You also have the option of buying a new or second hand property.
There are a number of qualifying criteria which you’ll need to satisfy and you can borrow up to a max of between €275,000 and €360,000*, depending on the county you are buying in.
To apply for the Local Authority Home Loan, complete the application form (pdf).
The First Home Scheme
The First Home Scheme (FHS) supports you to purchase your own Home when you might not otherwise be able to afford to. Up to 30% of the price of your home is paid for you, in return for a stake in the property. You can buy back that stake at any time, but you don’t have to.
You must be a First Time Buyer or ‘Fresh Start’ applicant and the Home must be a new build. There are price limits on the new build, from €325,000 up to €500,000*, again depending on what county you want to buy in. While you can get up to 30%, this is reduced to 20% if you are also availing of the Help To Buy scheme. You must have saved your deposit to qualify. There is no change for the first 5 years, but a service charge applies after that.
You can buy back the equity in your Home at any stage, but note that if the value of the house has increased, the amount you need to repay will also increase. For example, if you buy your property for €300,000 and 4 years later you want to buy back the equity when the property is valued at €350,000, your original 10% equity priced at €30,000 will now cost €35,000 to buy back.
If, at any time, the property is no longer your Primary Residence, the equity must be paid back (for example, if you decide to sell or rent out your property). You can apply here for the First Home Scheme.
*Figures correct as per Apr 2023