🏡 What is the First Home Scheme?
The First Home Scheme is a government shared equity initiative that helps first-time buyers afford newly built homes by covering part of the purchase price in exchange for a share in the property’s future value.
💡 How Does it Work?
Example: Home price: €350,000. You have €30,000 saved and can borrow €280,000. That leaves a €40,000 gap. The First Home Scheme can cover this, and you repay it later (when selling, remortgaging, or buying it out).
🔑 Key Details
- Get up to 30% support (or 20% if combining with Help to Buy)
- For new builds only
- Must be your principal residence
- Regional price caps apply
- Minimum 70% mortgage required
💰 What’s the Catch?
- Government holds an equity stake in your home
- You can buy back the stake anytime
- Stake rises/falls with your home’s value
- No fees for 5 years, then a service charge:
- Years 6–15: 1.75%
- Years 16–29: 2.15%
- Year 30+: 2.85%
✅ Who’s Eligible?
- First-time buyers or “fresh start” applicants
- Buying a new-build home under local price caps
- Mortgage must cover at least 70% of the price
- You must live in the property yourself
📝 How to Apply
- Get mortgage approval from a participating lender (e.g., AIB, BOI, PTSB)
- Apply online at firsthomescheme.ie
- Submit documents and await approval
- Sign the equity agreement alongside your mortgage
📌 Conclusion
The First Home Scheme gives first-time buyers a crucial helping hand by reducing the amount you need to borrow. Paired with Help to Buy, it could make your dream home a reality much sooner.