Real Estate · Ireland

Help to Buy & the First Home Scheme in Ireland (2026)

In Ireland the monthly mortgage payment is often lower than the rent — the barrier is assembling a deposit while paying that rent. Two state schemes exist specifically to close that gap, they can be used together, and between them they are worth far more than most first-time buyers realise.

Help to Buy: up to €30,000 from tax you already paid

Help to Buy is a refund of income tax and DIRT you have already paid over the previous four tax years. It is not a loan and not a grant from general funds — it is your own tax coming back to fund a deposit.

• Maximum: €30,000, or 10% of the purchase price — whichever is lower.
• New builds only. It does not apply to second-hand homes. This is the single biggest constraint.
• Joint applications combine tax. Two buyers who have each paid €15,000 of income tax over four years can together reach the full €30,000.
• You must be a first-time buyer and take out a mortgage of at least 70% of the purchase price.

The First Home Scheme: shared equity up to 30%

The First Home Scheme is a shared equity arrangement between the State and participating lenders. It bridges the gap between your mortgage plus savings and the purchase price — taking a proportional stake in your home in exchange.

• Up to 30% of the purchase price on its own.
• Reduced to 20% where you also use Help to Buy.
• You can buy the stake back over time, in part or in full, at the prevailing value.
• A service charge applies from year six, so it is not free money — it is patient, equity-linked capital.

Combining them: the worked example

Component	On a €400,000 new build
Purchase price	€400,000
Help to Buy (10%, capped at €30,000)	€30,000
Mortgage at 4× a €75,000 household income	€300,000
First Home Scheme equity (capped at 20% when combined)	up to €70,000
Own savings still required	€0–€10,000

Without the schemes, that same buyer needs €40,000 saved and would still be €60,000 short on income. With them, the purchase becomes possible. That is the entire point — and it is why "can I afford to buy?" in Ireland is really the question "do I qualify for these two schemes?"

The rules that catch people out

1. New builds only, for both. Neither scheme applies to second-hand homes, which is most of the market. If you want an established house, you are back to saving 10% yourself.
2. Help to Buy is limited by tax actually paid. If you have been working a short time, or earning modestly, your refund may be well under €30,000 regardless of the purchase price.
3. The Central Bank rules still bind. Four times gross income and 90% loan-to-value apply on top. The schemes help with the deposit, not the income cap.
4. Shared equity is a real cost. The State's share grows with your home. If prices rise 40%, so does the amount you must repay to buy the stake back.
5. Apply before you sign. Both schemes require approval in advance — retro-fitting them to a contract you have already signed generally is not possible.

The honest summary

If you are buying a new build in Ireland as a first-time buyer, these two schemes are very likely the difference between owning and renting, and you should model them before anything else. If you want a second-hand home, neither applies, and the 10% deposit is entirely on you — which is the single most important fork in Irish first-time buyer planning.

Frequently asked questions

How much is Help to Buy in Ireland?
Up to €30,000, or 10% of the purchase price if that is lower. It refunds income tax and DIRT you have already paid over the previous four tax years, and it applies to new builds only. Joint applicants can combine their tax to reach the cap.

Can I use Help to Buy and the First Home Scheme together?
Yes. Where they are combined, the First Home Scheme equity contribution is generally capped at 20% of the purchase price rather than the usual 30%. Together they can reduce the savings you need to close to zero on a new build.

Does Help to Buy work on second-hand homes?
No. Both Help to Buy and the First Home Scheme are restricted to new builds. If you are buying an established home you must fund the full 10% Central Bank deposit yourself.

What does the First Home Scheme cost?
It takes a proportional equity stake in your home rather than charging interest, and a service charge applies from year six. Because the stake is equity, the amount needed to buy it back rises if your home appreciates.

Related

• Home-buying cost calculator (Ireland)
• Renting vs buying in Ireland
• The true cost of buying a home in Ireland
• Saving in Ireland: DIRT & State Savings
• Rent vs buy calculator (Ireland)

Sources

• Revenue.ie — Help to Buy scheme: limits, eligibility and the four-year tax lookback
• FirstHomeScheme.ie — eligibility, equity caps and service charge
• Citizens Information — First Home Scheme and help with buying a home
• Central Bank of Ireland — mortgage measures (LTV and LTI limits)

Figures compiled September 2026 from public sources and not individually verified; worked examples are illustrative models. Scheme caps and Central Bank rules change — confirm on revenue.ie, firsthomescheme.ie and centralbank.ie before relying on them. General information, not regulated financial advice.