Scheme that helps struggling first time buyers passes 5,000 milestone

The First Home Scheme, a major part of the government’s new Housing Plan, ‘Delivering Homes, Building Communities’, has supported its 5,000th home purchase.

The scheme was set up to provide funding to first-time buyers who, despite having a deposit and mortgage approval in place, still could not cover the cost of a new-build home. In exchange for providing funding, the scheme takes an equity stake of up to 30% in the home.

Of the 5,000 home purchases supported since the inception of the scheme in July 2022, almost four in ten (36%) have come in the last year. The scheme has provided more than €330 million in support to people who have bought or self-built their homes.

A joint application is counted as one buyer, not two, which means that approximately 8,000 people (2,000 single buyers and 3,000 joint buyers) have benefited from the Scheme to date.

More than 9,000 applicants across the 26 counties have been approved by the scheme since 2022 and have received eligibility certificates allowing them to buy or self-build their chosen homes.

The First Home Scheme chief executive, Michael Broderick, said: “The Scheme’s 5,000th drawdown is a hugely significant milestone which emphasises the importance of financial support for first-time buyers at a time of acute demand for homes around the country.

“I am proud of the fact that, by bridging funding gaps for first-time buyers and fresh start applicants, we are making a major difference to many people’s lives by giving them an opportunity to become homeowners.

“We are acutely aware of the importance of home ownership in Ireland, and I am looking forward to seeing the scheme go from strength to strength in the months and years to come.”

Minister for Housing, Local Government and Heritage, James Browne, TD, commented that the First Home Scheme was one of the government’s key tools in supporting people to own their own home and said it was encouraging to see this significant milestone reached.

“Supporting more people on their path to owning a home is a priority for me and this government are focused on delivering more by ramping up support through our schemes, which are supported by unprecedented levels of funding.

"This government are absolutely committed to delivering on the actions set out in the new Housing Action Plan, ‘Delivering Homes, Building Communities’, to ensure that every person and every family has a safe and secure home with the First Home Scheme playing a significant role in that.”