Dáil Éireann Debate, Thursday - 17 February 2022
216. Deputy Pauline Tully asked the Minister for Housing, Local Government and Heritage if a person is entitled to apply for the local authority home loan if, having been a previous homeowner, they had to sell their house due to a relationship breakdown in which there was no profit made from the sale of the house; and if he will make a statement on the matter. [8846/22]
View answerThe Local Authority Home Loan is a Government backed mortgage scheme for those on modest or low incomes who cannot get sufficient funding from commercial banks to purchase or build a home. It has been available nationwide from local authorities since 4 January 2022 for first-time buyers and fresh start applicants. The loan can be used both for new and second-hand properties, or to self-build.
A ‘Fresh Start’ principle applies for applications to State loan schemes such the Local Authority Home Loan. In recognition of such instances as set out in the Deputy's question, an exemption to the First Time Buyer eligibility criteria can be applied under the Fresh Start Principle for the following category of persons to apply for the Local Authority Home Loan:
- Applicant(s) that previously purchased or built a residential property, but is divorced and has left the property and divested themselves of their interest in the property are eligible.
The final decision regarding the Local Authority Home Loan application is made by the relevant Local Authority Credit Committee on a case by case basis.
Further details can be found on localauthorityhomeloan.ie/
