Almost 49,000 people have received financial support from the Government’s Help to Buy scheme since July 2020, new figures show.
However, the same figures also show that nearly half of people who applied for the help either did not draw down the support or had their applications rejected.
New figures published today show that while a total of 48,878 people have received the help over the past six years, this is out of a total of 88,532 who have applied.
This means that nearly 40,000 applications have either been rejected or did not result in a home purchase.
The Help to Buy scheme was first introduced in October 2016 in a bid to make it more affordable for people to buy their first home.
The scheme initially saw a first time purchaser of a new build home or a self-build home receiving 5% of the price of the property up to €20,000 from tax payments they had made in the past four years, if the property was worth up to €500,000.
The percentage was increased in July 2020 to 10% up to a maximum of €30,000, with the scheme itself now extended until at least 2029.
In order to qualify the scheme, someone must be a first time buyer with no previous involvement in the purchase of a property; be purchasing a new build home or a self-build home; and have paid income tax and DIRT in the past four years to claim the financial relief.
While the scheme has been criticised in some quarters as effectively increasing the price of a new build home price, the figures show it has proven popular among first time buyers.
According to the new figures released today, since July 2020, a total of 88,532 people have applied for the scheme, with 48,878 applications approved.
Cork, Dublin, Kildare and Meath have seen by far the most applications and approvals, suggesting the need for help to buy support is linked in part to surging prices in Ireland’s urban and commuter areas.
A full county by county breakdown shows:
Carlow: 893 applications, 508 approvals
Cavan: 893 applications, 486 approvals
Clare: 1,648 applications, 906 approvals
Cork: 13,435 applications, 7,432 approvals
Donegal: 1,740 applications, 962 approvals
Dublin: 13,299 applications, 7,549 approvals
Galway: 4,276 applications, 2.356 approvals
Kerry: 1,094 applications, 606 approvals
Kildare: 10,572 applications, 5,752 approvals
Kilkenny: 1,904 applications, 1,054 approvals
Laois: 2,901 applications, 1,577 approvals
Leitrim: 262 applications, 141 approvals
Limerick: 2,929 applications, 1,627 approvals
Longford: 245 applications, 131 approvals
Louth: 4,716 applications, 2,588 approvals
Mayo: 1,627 applications, 898 approvals
Meath: 8,569 applications, 4,646 approvals
Monaghan: 889 applications, 485 approvals
Offaly: 1,530 applications, 843 approvals
Responding to the figures today, Tánaiste and Minister for Finance Simon Harris said:
“Owning a home remains one of the biggest ambitions for many individuals and families. Our job is to make that ambition a reality.
“These latest figures show that almost 49,000 households have now been supported through help to buy.
“For thousands of first-time buyers, this is a scheme that has helped to bridge the gap to home ownership by making it easier to secure the deposit required to buy or build.
“For so many families, it has made the difference between continuing to rent and getting the keys to their own home.”
“We know that there is still so much more to do in relation to housing.
“That’s why the Government is determined to increase housing supply while continuing to back practical supports like help to buy that make a real difference to people’s lives.”
