I have heard that the LAHL has been expanded to derelict homes. Can I get a loan to purchase and renovate a Derelict/non-habitable Property now
No. The loan is not yet extended to the purchase and/or renovation of derelict / non-habitable homes. It will become available in mid-2024. More details to follow in due course.
Can the Local Authority Home Loan (LAHL) be used to purchase a vacant or derelict property which is also eligible for the Vacant Property Refurbishment Grant (VPRG)
The LAHL can currently be used to purchase a vacant property, which is eligible for the VPRG, as long as the property is habitable. The property must meet all relevant LAHL criteria at the time of purchase, such as valuation. It is a matter for the applicant to apply for the VPRG and carry out the appropriate works. However, the LAHL cannot currently be used to purchase a non-habitable property, which would most likely be the case for derelict properties.
What type of property can I purchase or self-build?
The Local Authority Home Loan is available for the purchase of a new or second-hand residential property, and for self-building. It also includes the purchase of residential property through State affordable purchase schemes, with the exception of the First Home Scheme. The residential property purchased or self-built using the Local Authority Home Loan scheme must meet the following conditions:
The property must be occupied as your normal place of residence.
The property must be in a habitable condition acceptable to your local authority.
A Valuation Report, conducted by an approved independent or local authority valuer, must be completed and provided.
The property must comply with planning and building regulations.
The property must be located in the Republic of Ireland.
Can I use the Local Authority Home Loan for a self-build property?
Yes, you can use the Local Authority Home Loan for a self-build property.
Applications will only be considered in circumstances where the property 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.
Can I use the Local Authority Home Loan to purchase a home through an Affordable Purchase Scheme or a Tenant Purchase Scheme?
You can use the Local Authority Home Loan for the purchase of residential property through State affordable purchase schemes, with the exception of the First Home Scheme. To be eligible, the minimum purchase price must be within the relevant house price limits for the Local Authority Home Loan and you must prove that you cannot meet this minimum price using a mortgage from a regulated provider and a deposit of 10% of the purchase price.
For a Tenant Purchase scheme, applicants can apply for 100% funding, i.e., no requirement for a deposit is required.
Can I use the Local Authority Home Loan to carry out refurbishments on the property I wish to purchase/already own?
No. The Local Authority Home Loan can be used to purchase new or second-hand properties, or to self-build only. It is not available for refurbishment or renovation projects. Property purchased or self-built must be in a habitable condition acceptable to your local authority.
Can I transfer my Local Authority Home Loan to another property?
No. You cannot transfer your Local Authority Home Loan to another property.