The position is as I stated in my Budget day speech, that the Government has now fulfilled its commitment contained in the programme for Government to increase the rate of mortgage interest relief to 30 per cent for first-time buyers who took out their first mortgage in the period 2004 to 2008. I have sought to be as flexible as possible within the constraints pertaining. Under the current tax legislation mortgage interest relief is granted from the date the first mortgage interest payment is made. The legislation is being amended for this particular measure to also include mortgage draw-down as a qualifying event for the rate increase. This means that a mortgage holder will qualify for the increased rate if they made their first mortgage interest payment in the period 2004 to 2008 or if they drew down their mortgage in that period.
Therefore, an individual who paid a deposit on the purchase of a house in December 2008 but drew down their mortgage in 2009 will not qualify for the increased relief. However, they should be able to claim relief at the non-increased rates which depend on whether they are first time buyers or not. Full details of the scheme are available at www.revenue.ie.