Help To Buy (HTB) scheme

To qualify, you must not have previously purchased or built a house or apartment, either on your own or jointly with any other person. If you are purchasing or self-building the new property with other people, all of them must be first-time purchasers. If you have inherited, or have been gifted, a property, depending on the circumstances, it may not affect your eligibility.

If you are purchasing the property, you must have signed a contract to purchase that property on, or after, 1 January 2017. If you are self-building, you must have drawn down the first part of the mortgage on, or after, 1 January 2017.

Approved developers and contractors

The contractor you are purchasing your home from must be approved by Revenue. You can check the list of approved developers and contractors to ensure that your developer or contractor is approved. If you are self-building, you do not need to use a Revenue approved contractor. However, you will require a solicitor (registered with Revenue as a ‘HTB approver’) to verify your HTB claim.

To qualify for the Help to Buy (HTB) Scheme, the property you purchase or self-build must be:

• your home

and

• newly built, with the construction subject to Value Added Tax (VAT) in Ireland.

The property must never have been used, or have been suitable for use, as a residential home. If the property was non-residential, but has been converted for residential use, it may qualify for HTB. If you purchase or self-build the property as an investment, it does not qualify for HTB.

An enhanced HTB scheme was introduced in 2020 as part of the Government’s July Jobs Stimulus Plan. You are eligible for increased relief under the enhanced HTB scheme if, during the period from 23 July 2020 to 31 December 2025, you:

• sign a contract for the purchase of a qualifying property

or

• make the first draw down of the mortgage, in the case of a self-build qualifying property.

The original HTB scheme applies from 1 January 2017 to 22 July 2020.

Amount of relief under the enhanced HTB scheme

The amount that you can claim is the lesser of:

• €30,000
• 10% of the purchase value of a new home or of the approved valuation of the property, in the case of self-builds

or

• the amount of Income Tax and Deposit Interest Retention Tax (DIRT) you have paid for the four years prior to your application.

The maximum payment is €30,000 per qualifying property under the enhanced relief. This cap applies regardless of how many people enter into a contract to purchase the qualifying property. Universal Social Charge (USC) or Pay Related Social Insurance (PRSI) are not taken into account when calculating how much you can claim.

Amount of relief under the original HTB scheme

The amount that you can claim is the lesser of:

• €20,000
• 5% of the purchase value or approved valuation

or

• the amount of Income Tax and DIRT you have paid for the four years prior to when you make your application.

The maximum payment is €20,000. This cap applies regardless of how many people enter a contract to purchase the qualifying property. USC or PRSI are not taken into account when calculating how much you can claim.

If you purchase a qualifying property, the refund will be paid to your qualifying contractor.

If you self-build the qualifying property, the refund will be paid to a bank account you hold with your mortgage provider.

Before you apply, you must be registered for either:

• myAccount, if you are an employee and pay tax through Pay As You Earn (PAYE)

or

• Revenue’s Online Service (ROS), if you are self-assessed.

For more information click here.

There are three stages to the online process:

1. Application stage
2. Claim stage
3. Verification stage.

For further information click here.