The terms and conditions governing the operation of the House Purchase Loan provided by local authorities to first-time buyers are set out in the Housing (Local Authority Loans) Regulations 2012. To support local authorities in operating their housing loan scheme in a consistent and efficient manner, the Housing Agency provides a central underwriting service to local authorities. The final decision on loan approval is a matter for the relevant local authority and its credit committee on a case-by-case basis and in accordance with the relevant statutory Credit Policy that underpins the scheme. Decisions on all housing loan applications must be made in accordance with this statutory Credit Policy in order to ensure prudence and consistency in approaches in the best interests of both borrowers and local authorities as lenders alike.
The House Purchase Loan is not, as a general rule, available to those whose sole income relies on social welfare benefits. However, where there is a primary income of a permanent waged or salaried nature and where the secondary income is from the Department of Social Protection, then long-term social welfare payments can be considered provided the long-term nature of the payment is confirmed by the Department of Social Protection or other relevant Government Department.
