House Loan

Local Authority Loans to purchase a house

If you cannot get a mortgage from a building society or bank to purchase a house you may be eligible for a home loan from the Local Authority.

Applicants must have sought their mortgage from two lenders (banks or building societies) and have received inadequate funding offers or refusals from each before making application to the Local Authority for a loan.

Who can apply?

To be eligible for a house purchase loan the applicant (s) must be:

• A first time buyer
• Aged between 18 and 70 years
• Earning under €50,000 for a single applicant and under 75,000 as a joint applicant
• In the case of the primary earner on the application, in continuous employment for at least two years and the second applicant must have at least one year. Certain exceptions can be considered.

How much can be borrowed?

A loan can be up to 97% of the price of the house subject to a maximum of €220,000 and subject to the applicant’s ability to repay. Repayments cannot exceed 35% of the household net income. 

The applicant (s) must have 3% deposit with regular cash saving making up half of this amount 

What is the Term?

The maximum loan term is 30 years. In the case of a loan issued to applicant(s) who is over the age of 40, the maximum loan term is restricted to the number of years remaining until the applicant reaches the age of 70.

What is the interest rate?

A variable interest rate applies for housing loans .Mortgage Protection is compulsory.

What type of property can be purchased?

It is the applicant’s choice but the Local Authority must be satisfied that the property is reasonably priced, of suitable size and free from structural defects

Download Housing Loan Application Form (PDF) - 164 kbs