More Offaly homebuyers now eligible for Local Authority Home Loan
Fianna Fáil TD for Offaly, Barry Cowen, has welcomed significant improvements to the Local Authority Home Loan that will result in more people being eligible to apply for the State-backed mortgage.
The prices of homes eligible for a Local Authority Home Loan and income limits of those eligible to apply for a loan are being increased.
The Local Authority Home Loan was launched in January 2022 as part of Housing for All. It supports creditworthy borrowers who are unable to get finance from commercial banks to buy a home. It can be used for new, second hand or self-build homes. It means those on more moderate incomes are helped by the State to achieve homeownership, a key aim for this Government.
The following changes to the Local Authority Home Loan will come into effect on March 1 2023:
Increases to house price limits for all local authorities areas:
Increase from €250,000 to €275,000 – Offaly, Laois, Monaghan, Cavan, Donegal, Tipperary, Kerry, Mayo, Roscommon, Sligo, Leitrim, Longford, Carlow
Increase from €250,000 to €300,000 – Limerick, Waterford, Clare, Wexford, Westmeath, Kilkenny
Increase from €310,00 to €330,000 – Galway City, Cork City, Louth, Meath, Galway County, Cork County
Increase from €320,000 to €360,000 – Dun Laoghaire Rathdown, South Dublin, Dublin City, Fingal, Wicklow, Kildare
Increased income limits for all applicants in each local authority area:
Increase from €50,000 and €65,000 to €70,000 for all single applicants nationwide
Increase from €75,000 to €85,000 for all joint applicants nationwide
Welcoming this announcement from his party colleague and Minister for Housing, Darragh O'Brien, the local Fianna Fáil TD said: "I am delighted to see the Government's commitment to increasing access to affordable housing through the Local Authority Home Loan program. The changes announced today will significantly impact families and individuals in need of affordable housing options.
"Importantly, building on changes made this time last year Fianna Fáil in Government are again increasing the income limit for single applicants so that those earning up to €70,000 who wish to purchase a home can avail of the State backed loan. The ‘Fresh Start Principle’ also applies whereby people who are divorced or separated and have no interest in the family home, or who have undergone insolvency proceedings, can also avail of the loan.
"The changes reflect the reality of today’s housing market and Government will continue to keep the Local Authority Home Loan under review to ensure it remains a genuine and relevant support for people who want to own their own home.”