The Local Authority Affordable Purchase Scheme helps eligible buyers purchase a newly built home at a reduced price.
If you qualify and avail of the scheme, the local authority will provide between 5% to 40% of the cost of your new home, in return for the same percentage of equity share in the property.
For example, if you buy the home at a 20% discount, the local authority will own a 20% stake in your property. You must repay the local authority’s stake after 40 years or if you decide to sell your home, but you can always pay it back any time before this. You can buy back the full amount in one payment or in different instalments. However, the minimum repayment is €10,000.
Let’s imagine you and your partner have found your dream home worth €400,000 and have a combined salary of €80,000. With a contribution of €30,000 from the Help to Buy Scheme and €44,444 from the Local Authority Affordable Purchase Scheme, you would only need a cash deposit of €5,556.
Your monthly mortgage repayment, stretched out over 35 years at an interest rate of 4%, will come in at approximately €1,414.89.
Prices and figures could change based on individual circumstances and eligibility criteria. All figures are for illustrative purposes only.
Your new Glenveagh home can be more affordable and achievable thanks to the Government schemes available to you.
have your say