If you have already made an application for a Local Authority Home Loan the local authority which you applied to is available to answer any questions you may have. For information about your application and its progress, contact details for your local authority are available here.
If you have any questions regarding your eligibility for the Local Authority Home Loan or the application process, we have provided a comprehensive FAQ section, with answers to common questions, including:
What is the maximum value of the property I can purchase or self-build?
The maximum market value of the property that you can purchase or self-build is:
- €320,000 in the counties Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow, and
- €250,000 in the rest of the country.
What is the maximum amount I can borrow?
The maximum amount you can borrow depends on where you intend to live.
- For property purchased or in Cork, Dublin, Galway, Kildare, Louth, Meath or Wicklow, the maximum loan amount you can borrow is €288,000.
- For property purchased or in any other county of Ireland, the maximum loan amount you can borrow is €225,000.
What is the maximum loan to value I can borrow?
The maximum loan to value you can borrow is 90% of the market value of the property. This means that if, for example, the property you purchase is €320,000 then the most you can borrow is €288,000. Similarly, if, for example, the property you purchase is €250,000 then the most you can borrow is €225,000.
What is the maximum term over which I can borrow?
The maximum term over which you can borrow is 30 years.
The term may be shorter depending on your age. The number of years between the date of loan drawdown and the oldest applicant reaching the age of 70 determines the length of time over which you can borrow.
This means that a single applicant aged 35 years can have maximum term of 30 years, but a single applicant aged 45 years is limited to a maximum term of 25 years.
In the case of a joint application, one applicant aged 35 years and the other aged 45 years, the couple is limited to a maximum term of 25 years.
How much deposit do I need?
You need a deposit of at least 10% of the market value of the property you intend to purchase or self-build.
Where you wish to borrow 90% of the market value, your 10% deposit contribution must be made up of:
- personal savings of at least 3% of the value of the property and
- funds of up to 7% of the value of the property, from an unborrowed source.
Personal savings must be accumulated over a period of at least 12 months before you make your application. You must provide certified or original bank or similar statements (post office, credit union, etc.) clearly showing a credible and consistent record of savings.
The balance of funds may be from a gift or other unborrowed source (i.e., not another loan).
For a property with a market value of €320,000 you will need a deposit of at least €32,000.
This must be evidenced by way of:
- a minimum of €9,600 (3%) from your personal savings and
- €22,400 (7%) from any unborrowed source, such as a parental gift.
Where receiving a gift, a letter is required, detailing the gift amount, that the amount is non repayable and the disponer giving the gift will have no interest in the property purchased with a Local Authority Home Loan.
If your question is not answered within our FAQ section, you can contact us using the form below.