Jennifer Whitmore (Wicklow, Social Democrats)
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283. To ask the Minister for Housing, Planning, and Local Government the reason that individuals cannot avail of the local authority home loan and the first-home scheme at the same time; and if he will make a statement on the matter. [45919/22]

Darragh O'Brien (Dublin Fingal, Fianna Fail)
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The Local Authority Home Loan is a Government backed mortgage scheme for those on modest or low incomes who cannot get sufficient funding from commercial banks to purchase or build a home. It has been available nationwide from local authorities since 4 January 2022 for first-time buyers and fresh start applicants.  

The Local Authority Home Loan can be used both for new and second-hand properties, or to self-build. It also includes the purchase of homes through State schemes such as the Tenant Purchase Scheme and Affordable Housing Schemes, with the exception of the First Home Scheme.

The First Home Scheme which was launched on 7 July 2022 supports first-time buyers in purchasing new homes in the private market through the use of an equity share model. Equity support of up to 30% is available to eligible purchasers. An annual service charge applies after Year 5, calculated on the amount of equity support provide to enable the purchase. This scheme has been designed to support buyers in the private market for new-build homes who have the financial capacity to obtain a mortgage from a commercial lender but who find the price of a suitable new home is to some degree beyond their purchasing power.

With the Local Authority Home Loan, applicants must demonstrate that they do not have the financial capacity to obtain the required mortgage from a commercial mortgage provider.

More information on the Local Authority Home Loan can be found on the dedicated website in the following link localauthorityhomeloan.ie/.