Dáil Éireann Debate, Thursday - 26 May 2022
240. Deputy Niall Collins asked the Minister for Housing, Local Government and Heritage if an applicant for a local authority mortgage for a self-build property can avail of the opt-out option for certification; and if he will make a statement on the matter. [27101/22]
Amharc ar fhreagraThe Local Authority Home Loan (LAHL) is a Government backed mortgage 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-buyers and fresh start applicants. The loan can be used both for new and second-hand properties, or to self-build. It is the successor to the Rebuilding Ireland Home Loan (RIHL).
Applications for a Local Authority Home Loan for the purposes of funding a self-build property will only be considered in circumstances where the security property in question is a new construction, i.e. properties that are part-built or otherwise commenced at the time of making a Local Authority Home Loan application will not be eligible for consideration.
Full compliance with the Building Control (Amendment) Regulations 2014 (SI 9 of 2014) is a requirement of the Local Authority Home Loan. The facility to opt out of statutory certification (allowed for in Building Control (Amendment) (No. 2) Regulations 2015 (SI 365 of 2015) is not available to applicant(s).
The final decision on loan approval is a matter for the relevant local authority and its credit committee on a case-by-case basis. Decisions on all housing loan applications must be made in accordance with the statutory credit policy that underpins the scheme, in order to ensure prudence and consistency in approaches in the best interests of both borrowers and the lending local authorities.
