COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL

MEETING OF HOUSING SPC

Thursday, February 16, 2023

HEADED ITEM NO. 10 (f.)

 Local Authority Home Loan (Final 2022 Report)

The Local Authority Home Loan scheme (LAHL) was launched on 4th January 2022 for the purchase of new or second-hand residential properties and for self-builds. It also includes the purchase of homes through schemes such as the Tenant Purchase and Affordable Housing Schemes.

Detailed below is a summary of the LAHL activity for 2022 with €7m provisionally approved to borrowers:

No. Applications Received	No. Incomplete/ Ineligible/ Withdrawn	No. Declined	At Credit Committee Assessment	No. Approved	No. of Loans Advanced
193	82	50	29	32	4*

* Loans advanced are included in numbers of approved applications

The following changes to the Local Authority Home Loan will come into effect on 1^st  March 2023.

House price limits:

• €360,000 (€40,000 increase from previous €320,000 limit) – Dún Laoghaire Rathdown, South Dublin, Dublin City, Fingal, Wicklow, Kildare.

Income ceilings:

• Single applicants increase from previous limits €50,000 and €65,000 to €70,000.
• Joint applicants increase from €75,000 to €85,000.

The current interest rate options and charges applicable to LAHL are:

	Date	Fixed rate for terms up to 25 years	Fixed rate for terms over 25 years up to 30
Interest Rate charged to local authority borrowers	Jan 2022	2.495%	2.745%
	July 2022	2.845%	2.945%
	December 2022	3.35%	3.45%
MPI Premium	January 2022 (Disability and Life cover)	0.5348%	0.5348%
	January 2023 (Life cover only for new loans)	0.182%	0.182%

Changes to Mortgage Protection Insurance

From January 2023, Cornmarket became the administrator of the Local Authority Mortgage Protection Insurance scheme.  This scheme now provides life cover only for new Local Authority MPI applicants which will result in a reduction in repayment amounts for borrowers.

The borrower information booklet and application form are available from: www.localauthorityhomeloan.ie