Making it cheaper to build, refurbish, and buy a home
Fine Gael is the party of home ownership and we are leaving no option off the table to end the housing crisis. We understand the need to ramp up supply and make owning or renting a home more affordable.
That is why Taoiseach and Fine Gael Leader Leo Varadkar announced new measures making it cheaper to build, refurbish and buy a home. We are going to speed up the construction of new homes and drive down costs.
new homes built in the past year.
new homes built since 2016.
new social homes since 2016.
Getting a deposit for a house can be difficult and that’s why we introduced the Help to Buy Scheme in 2017. The scheme is an incentive to help first-time-buyers buy a new home or build a new home. The scheme provides first-time-buyers with up to €30,000, in the form of an income tax rebate, towards the cost of a deposit. In January, 6,500 people applied for this scheme which is 36% higher than last year. To date it has helped 38,000 families buy or build their own homes nationwide.
How to apply to the Help to Buy scheme
What is it?
The Help to Buy is available to first time buyers who are building a new home or buying a home in a new development and need help with a deposit.
How much is available?
An individual or couple can get 10% of the cost of a new build home up to a maximum of €30,000 based on the amount of tax paid in the previous 4 years. For example, a couple who have paid combined taxes of €40,000 in the previous 4 years who are buying a €330,000 house will get €30,000 as a grant which can be used as their deposit meaning they only need a further €3,000 to satisfy the central bank rules of needing a 10% deposit.
Are there restrictions?
The house being purchased or built must be less than €500,000 in value and a mortgage of at least 70% is required i.e. LTV of 70%. You must reside in the home for a minimum of 5 years.
Where can I apply?
Applications are made via Revenue Online (www.revenue.ie/en/online-services).
Use Revenue’s ‘MyAccount’ or Revenue Online Service. Navigate to the section on Help to Buy.
There are three stages to the process: Application, Claim, and Verification.
Begin your application by following the steps on the Revenue Online website.
Once you’ve completed the application stage, you’ll receive an application number, a summary of the amount you can claim, and an access code.
At the claim stage, you will need to upload evidence of your mortgage along with a copy of your contract and/or valuation from your lender.
At the verification stage, the information you’re provided will be verified by your solicitor – if you’re self-building the new home – or by the contractor.
After this, you will then receive your refund.
The First Home Scheme was launched in 2022. The State and participating mortgage-providers bridge the gap between your deposit plus mortgage, and the price of your new home. It applies to newly built private homes or apartments. Since its very short existence, over 3,500 people have registered for the scheme and it has to date helped over 1,300 individuals and families buy homes.
How to apply for the First Home Scheme
To apply for the First Home Scheme visit www.firsthomescheme.ie.
First, you need to confirm your eligibility for the scheme using the website calculator tool.
Once you’ve done that, you’ll need to provide personal details, qualification details, e.g. that you are a first-time buyer, whether you’re applying for the Help-to-Buy scheme, details on the property, and your solicitor’s details.
You’ll also need to provide documents, such as photo ID (passport, driving licence), a copy of mortgage approval in principle, and current verification of address, e.g. a utility bill.
If approved, you’ll receive an eligibility certificate which will show the estimated minimum and maximum amount of equity that you qualify for.
This certificate will need to be provided to the bank or lender who will then consider your First Home Scheme application as part of your mortgage application.
REMEMBER: OPPOSITION PARTIES WANT TO SCRAP THESE SCHEMES
Scrapping development fees saving up to €12,650 per new home. This is being put in place for a limited time only to incentivise and speed up construction in the short term.
Beefing up grants to renovate a home to live in or rent out. We are increasing the Vacant Property Refurbishment Grant from €30,000 to €50,000 for vacant properties and from €50,000 to €70,000 for derelict properties.
With substantial state financing, we are funding the construction of affordable apartments which have planning permission, but are not yet commenced. As part of this initiative, we are committed to completing 4,000 to 6,000 additional affordable apartments.
Cutting red-tape and speeding up the planning process.