Price limits for local authority mortgage set for rise to €345k in Westmeath

Westmeath TD and Minister of State Robert Troy welcomed what he described as "significant enhancements" to the local authority home loan and local authority purchase and renovation loan schemes, with increases to both the maximum eligible property prices and the income thresholds for applicants.

As part of the changes, which are to take effect between April and June of this year, the maximum house price in order to qualify for the local authority home loan and the purchase and renovation loan is to increase from €300,000 to €345,000 in Westmeath.

In Roscommon and other Midlands counties, such as Longford and Offaly, the purchase price limit is rising from €275,000 to €310,000.

There is also an increased income limit for all single applicants in each local authority area, going from €70,000 to €80,000 for all single applicants, while the joint applicants’ income limit will remain at its current level of €85,000.

The Government said the revised limits were "designed to reflect current market conditions" and to ensure that "prospective first-time buyers and other eligible applicants have an opportunity to access the necessary finance" to buy their own home.

Commenting on the changes, Minister of State Troy said: "Raising the income thresholds and property price thresholds ensures the local authority home loan remains an effective support for people who are ready to buy but face challenges accessing finance.

"These changes reaffirm the Government’s commitment to widening access to sustainable homeownership," he commented. "Local authority home loans have been hugely beneficial to many families who have not been able to secure a loan through high-street lenders.

"Supporting people on moderate incomes to realise their ambition of becoming homeowners is a key objective of Governments housing policies. In taking these steps we are ensuring more people can access a secure mortgage and take an important step towards homeownership."

The local authority home loan was launched in January 2022 and the local authority purchase and renovation loan was launched in July 2024.

Both loans support creditworthy first-time buyers and fresh start applicants who are unable to get sufficient finance from commercial banks to buy a home or buy and renovate a vacant or derelict property that is eligible for the vacant property refurbishment grant.