As part of Housing for All, I announced a reformed successor to the Rebuilding Ireland Home Loan Scheme, the 'Local Authority Home Loan'. The Local Authority Home Loan will include an increase in the income ceiling for single applicants.
For counties where the scheme’s house price limit is €320,000 (Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow), the income ceiling for a single applicant will be €65,000. This will be an increase of €15,000 on the €50,000 income ceiling under the current Rebuilding Ireland Home Loan scheme. In the rest of the country where the scheme’s house price limit is €250,000, the income ceiling for a single applicant will remain €50,000. The income ceiling for joint applicants is €75,000. The maximum loan amount will remain €288,000. I look forward to announcing further details in respect of the Local Authority Home Loan in the coming months.
I have already implemented a reduction of the mortgage interest rate for new borrowers by 0.25% under the existing Rebuilding Ireland Home Loan (RIHL), as from 10 September 2021. This lower rate will also apply to loans issued under the forthcoming Local Authority Home Loan.
I also announced a ‘Fresh Start’ principle for applications to State affordable housing and loan schemes. This means that people who are divorced or separated and have no interest in the family home, or who have undergone insolvency proceedings, will be eligible to apply.