First Home Scheme backs over 6,500 Irish home purchases

First Home Scheme sees applications soar

New figures show the initiative has paid out almost €440 million since its launch in 2022, while the number of approved applications has climbed beyond 12,000.

On average, buyers receive around €67,000 towards a property worth approximately €395,000. 

The support is intended for people who have managed to save a deposit and secure mortgage approval but still cannot afford the full cost of a newly built home.

Rather than providing a conventional loan, the scheme takes an equity share of up to 30% in the property. It is backed by the State alongside AIB, Bank of Ireland and PTSB.

Interest has continued to grow, with more than 27,000 people registering since the scheme was introduced. 

Around two-thirds of those using it also receive assistance through the separate Help to Buy initiative.

Irish homeownership costs leave young adults weighing up their future

The figures arrive as the cost of buying a home continues to put pressure on younger people. 

A separate poll found that seven in 10 young adults are considering moving abroad in pursuit of a better quality of life.

Michael Broderick, chief executive of the First Home Scheme, said a substantial share of its activity had taken place recently.

"Due in large part to the ongoing support from the State and participating lenders, almost four in ten of scheme drawdowns have come in the last year, which emphasises the increasing popularity of our offering," he said.

"Similarly, approvals for the scheme have now topped 12,000, which is very positive news at a critical time for housing in Ireland."

Five counties account for nearly three-quarters of active approvals

The assistance has been particularly concentrated in the east and south of the country. 

Dublin, Cork, Kildare, Meath and Wicklow together account for 72% of active approvals, leaving the other 21 counties with the remaining 28%.

Speaking to RTÉ, Broderick said the funding had already made a considerable difference to people buying or building their own homes.

"It is hugely encouraging that the scheme has provided almost €440m to date in support to people who have bought or self-built their homes, and we will look forward to continuing that support in the months and year ahead."

The next update on the scheme is expected around Budget 2027, when further financial measures for households are also due to be discussed.