Following a review of the two existing local authority home loan schemes, the House Purchase Loan and the Home Choice Loan, a new loan offering, the Rebuilding Ireland Home Loan, was made available on 1 February 2018. The new loan will enable credit worthy first-time buyers to access sustainable mortgage lending to purchase new or second-hand properties in a suitable price range. The low rate of fixed interest associated with the Rebuilding Ireland Home Loan provides first-time buyers with access to mortgage finance that they may not otherwise have been able to afford at a higher interest rate.
As with the previous local authority loan offerings, the Rebuilding Ireland Home Loan is available to first-time buyers only. This is to ensure the effective targeting of limited resources. Applicants who are separated or divorced may be treated as first-time buyers if they meet certain conditions including:
- they are separated or divorced under a court order or by a separation agreement;
- the property being purchased is the first property since leaving the family home;
- they have left the family home and retain no interest in it; or
- the other party has remained in the family home.
The option currently available for non-first-time buyers is to seek home loan facilities from one of the commercial lending institutions.
Detailed information on the new mortgage is available on the dedicated www.rebuildingirelandhomeloan.ie website, from the helpdesk at 051 349720, or directly from local authorities.