Affordable Housing in Wicklow
Affordable Housing Scheme
Under this scheme new houses are provided by local authorities at discounted prices to
eligible purchasers.
Do I qualify?
To qualify for an affordable home, you should:
- be a first-time buyer (but there are some exceptions, for example if you are
divorced).
- have enough income to meet your mortgage repayments after you have paid all your other
costs; maximum 35% and
- as a guide, earn between €25,000 and €58,000 if you are applying on your own and up to
€100,000 between joint applicants. These are the approximate income limits only - lower income
limits may apply.
The house will be purchased outright by way of a mortgage provided by one of the undermentioned
recognised lending institutions (BOI, EBS, First Active, Haven and UlsterBank). Loans can be advanced
for a period up to 40 years (depending on age). Normally monthly outgoings on the loan should not
exceed 35% of the net household income. A graded subsidy towards the mortgage is available to
purchasers whose household income in the preceding tax year is €28,000.00 or less. A household
which does not qualify for the mortgage subsidy may be eligible for the longer standing mortgage
allowance to reduce their repayments in each of the first five years of the mortgage (eligibility is
outlined under the Mortgage Allowance Scheme below).
In the event of the affordable dwelling being re-sold within 20 years a “clawback” provision
allows for the payment of a proportion of the proceeds to the local authority, in line with the
original percentage discount on the sale price.
Low Cost Housing Sites
Under this scheme, a local authority may make housing sites available at low cost. To be
eligible for one of these sites, you must be a person whose application for local authority housing
has been approved by the local authority, or
A local authority tenant or tenant purchaser who wished to buy a private house and to return
your present house to the local authority, or a tenant for more than one year of a house provided
by a voluntary body under the Capital Loan and Subsidy Scheme who wished to buy a private house and
return your present house to the voluntary body
Voluntary Housing bodies providing houses under the Capital Assistance or Capital Loan and Subsidy
Schemes may also avail of the sites scheme, as may persons taking shared ownership through a group of
housing projects sponsored by a housing co-operative or local authority. The sites scheme can be used
in conjunction with the mortgage allowance scheme and the new house grant. Where a site was
originally provided under the low cost sites scheme by the local authority at a discount from
market value you must refund to the local authority a % of the proceeds from the sale of your
property, in line with the original percentage discount on the sale price.
Mortgage Allowance Scheme
If you are a tenant or tenant purchaser of a local authority house returning your existing house
to the local authority and taking out a mortgage of at least €38,092 to purchase a house or to have
a house built for yourself, you may qualify for a mortgage allowance. The allowance is similarly
available if you are a tenant of more than one year of a house provided by a voluntary housing body
under the Capital Loan and Subsidy Scheme returning your existing house to the body. The mortgage
allowance is an allowance of up to €11,428 paid on a reducing basis over 5 years and is designed to
ease the transition from rent to mortgage. The allowance is paid directly to the mortgage lender so
that your mortgage repayments are reduced by the amount of the subsidy.
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