The Minister for Housing, Local Government and Heritage, Deputy Darragh O’Brien, has announced significant improvements to the Local Authority home loan that will result in more people in County Westmeath 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 prices of homes eligible for a Local Authority Home Loan and income limits of those eligible to apply for a loan are being increased.
From March 1, house price limits for homes in County Westmeath that are eligible for the Local Authority home loan will increase by €50,000 from €250,000 to €300,000. Income limits for joint applicants will increase to €85,000 and the income limit for a single applicant in Westmeath will increase to €70,000.
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.
“I am delighted to announce these improvements to the Local Authority home loan which will take effect from March 1. Supporting home ownership is a key objective for this Government and the increase in eligible house prices coupled with the increase in income limits will mean more people in Westmeath can access the loan.
"Importantly, building on changes made this time last year we 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 we will continue to keep the Local Authority home loan under review to ensure it remains a genuine and relevant support for people in Westmeath who want to own their own home," Minister O'Brien stated.
Keena Welcomes Extension of Local Authority Home Loan Scheme
Meanwhile, Cllr Frankie Keena, has wlecomed the significant improvements to the Local Authority Home Loan Scheme which will enable more people to apply for the State-backed mortgage.
"This scheme supports credit worthy borrowers who are unable to get finance from commercial banks to buy a home. It means those on more moderate incomes are helped by the State to achieve home ownership and it can be used for new, second hand or self-build homes.
"I have received numerous representations from people who could not avail of this loan due to the strict criteria of the prices of eligible homes and income limits. Now, however, it is just great to see that the increase in eligible house prices, coupled with the increase in income limits, will mean more people can access the loan.
"This means that from March 1 single applicants earning up to €70,000 who wish to purchase a home can now avail of the State backed loan and similarly for joint applicants earning up to €85,000. House price limits for such a loan within the county will now be increased to €300,000.
"The ‘Fresh Start Principle’ also applies whereby those 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," Cllr Keena added.
