Local Authority Mortgage / Annuity Loan

If you cannot get a mortgage from a building society or bank to purchase or build a house you may be eligible for a loan from your local authority.

The loan can be up to 97% of the price of the house subject to a maximum loan of €165,000 and subject to repayments which are no more than 35% of the household net income (i.e. income after tax and PRSI).

Who Qualifies

You may be eligible for a Local Authority Mortgage if you can show that you cannot get a loan from a bank or building society and you are:

In need of housing and your income satisfies the income test below
Registered on a housing waiting list with a local authority
Local authority tenant or a tenant purchaser and you want to buy a private house and return your present house to the local authority
Tenant for more than one year of a home provided by a voluntary body under the Capital Loan and Subsidy Scheme (previously known as the Rental Subsidy Scheme) and you want to buy a private house and return your present house to the local authority.

Note:

The income test only applies to the first category
If you are covered by the second, third or fourth category you are exempt from the income test.

Income Test

Single Income Household
If your gross income (before tax) in the last income tax year was 36,800 euro or less, you are eligible.

Two Income Households
Multiply the gross income (before tax) of the higher earner in the last income tax year by 2.5 and add the gross income of the other earner in the last income tax year. If the answer is 92,000 euro or less, you are eligible.

How to Apply

[Download Application Form for Provisional Approval for House Purchase Loan]

The following documentation should be attached to each fully complete application form:

P.A.Y.E. Applicants:
- P.60 Certificate for previous tax year
- P.21 Balancing Statement from tax office for previous tax year (You will need a copy of your P60 when applying for this statement)
- Three most recent consecutive payslips
Social Welfare Recipients:
Proof of Social Welfare payments received for the previous year for Social Welfare recipients.
Self-Employed Applicants:
Most recent Profit & Loss Account & Balance Sheet with Notice of Assessment for self-employed applicants.
Copy of Birth Certificate for each applicant.
2 letters of refusal to grant a loan from 2 separate lending institutions, e.g. bank, building society, credit union etc.
Copy of statement from Lending Institution showing evidence of savings and / or loans outstanding.
Non EU citizen:
Evidence of entitlement to reside in Ireland if you are a non EU citizen.

Further Information

Housing Section,
Galway City Council,
City Hall,
College Road,
Galway.

Tel: 091 536590

Email: housing@galwaycity.ie

Galway City Council, City Hall, College Road, Galway.
Open: 9am - 4pm. Phone +353 91 536400 Fax: +353 91 567493 Email: customerservice@galwaycity.ie