What is a Local Authority Home Loan?

A Local Authority Home Loan is a Government backed mortgage for first time buyers and Fresh Start applicants through local authorities. The scheme is for the purchase of new or second-hand residential properties and for self-builds. It also includes the purchase of homes through State schemes such as the Tenant Purchase Scheme and Affordable Housing Schemes, with the exception of the First Home Scheme.

 The Fresh Start means that applicants who are divorced, legally separated or the relationship has ended and have no financial interest in the family home are eligible to apply under this scheme. In addition, applicants who have undergone personal insolvency/bankruptcy proceedings will also be eligible to apply for the Local Authority Home Loans Scheme.

The Local Authority Home Loan is available nationwide from all local authorities. The loan is a normal Capital and Interest-bearing mortgage which is repaid by direct debit on a monthly basis.

You can borrow up to 90% of the market value of the property.

Maximum market values of the property that can be purchased or self-built are:

• €360,000 in Dublin, Kildare or Wicklow, or
• €330,000 in Cork, Galway, Louth or Meath, or
• €300,000 in Clare, Kilkenny, Limerick, Waterford, Westmeath or Wexford, or
• €275,000 in Carlow, Cavan, Donegal, Kerry, Laois, Leitrim, Longford, Mayo, Monaghan, Offaly, Roscommon, Sligo or Tipperary.