Supporting First-Time Buyers Across Ireland
The Help-to-Buy (HTB) scheme is a national initiative designed to assist first-time buyers in Ireland gather the deposit needed to purchase a newly built home. Whether you're buying a house or apartment, or building your own, this guide outlines everything you need to know — from eligibility to application.
What Is the Help-to-Buy Scheme?
The HTB scheme provides a tax refund of up to €30,000 or 10% of the property’s value, whichever is lower. This rebate is drawn from income tax and Deposit Interest Retention Tax (DIRT) paid in Ireland over the previous four tax years.
It applies to:
- Newly built homes (not previously occupied).
- Self-build properties.
- Homes valued at €500,000 or less.
The scheme does not apply to second-hand homes or investment properties. You must intend to live in the property as your principal private residence for at least five years.
Who Can Apply?
To qualify, you must:
- Be a first-time buyer.
- Purchase or build a home between 1 January 2017 and 31 December 2029.
- Have a mortgage of at least 70% of the home's value.
- Be fully tax-compliant for the four years prior to your application.
- Apply through Revenue’s myAccount or ROS, depending on your tax status. PAYE employees should use myAccount, while self-assessed individuals should use ROS. This ensures you start the application process accurately.
If buying with someone else, they must also be a first-time buyer.
How Much Can You Claim?
- Up to €30,000.
- 10% of the market value (new build) or approved valuation (self-build).
- Limited to the amount of income tax and DIRT paid in the previous four years.
Example: If your new home costs €400,000, you may qualify for a €30,000 rebate. This reduces your deposit from €40,000 to €10,000.
What Properties Qualify?
To be eligible:
- The property must be newly built and never used as a residence.
- If a property has been converted from non-residential use, it may qualify, provided it meets Revenue’s criteria.
- The market value or approved valuation must be €500,000 or less.
- The builder or developer must be Revenue-approved.
- For self-builds, your solicitor must be registered with Revenue as an HTB approver.
Application Process
There are three stages:
- Application Stage:
- First, register with Revenue’s myAccount or ROS online services.
- Next, submit the relevant tax form for the previous years: Form 12 for PAYE employees or Form 11 for those who are self-assessed. This ensures that your tax affairs are in order before proceeding with the application.
- Claim Stage:
- Then provide property details, contract dates, and mortgage information.
- Verification Stage:
- The builder or solicitor verifies the claim with Revenue.
Refund Payment
- For new builds, the refund is paid directly to the builder.
- For self-builds, payments are made directly to your account.
Clawback Conditions
You may have to repay some or all of the rebate if:
- You have not lived in the home for at least five years.
- You fail to complete the purchase or build.
- You were not entitled to the payment.
Repayment is calculated based on how long you lived in the home. For example, if you move out after two years, you must repay 80% of the rebate.
Interaction with Other Schemes
If you use the Help-to-Buy scheme, the equity share available under the First Home Scheme is reduced from 30% to 20%.
Final Thoughts
The Help-to-Buy scheme is a vital support for first-time buyers across Ireland, helping thousands secure their first home. With up to €30,000 available, it can significantly reduce the financial burden of a deposit.
To take the next steps, check your eligibility status through Revenue's online portal and gather the necessary documents, such as proof of income and mortgage approval. Starting your application promptly can bring you closer to owning your dream home.
