The Government has announced an additional €30m in funding and an extension to 2027 for the First Home Scheme (FHS).

The scheme is a shared-equity initiative designed to help bridge the funding gap for eligible first-time buyers and other homebuyers between their deposit and mortgage, and the price of their new home.

Under the scheme the State can fund up to 30% of a property’s purchase price by taking an equity share in the home, which can be bought back by the homeowner.

Minister for Housing James Browne said there has been “strong interest” in the scheme, with over 15,300 people registering their interest and 6,700 buyers approved since it was launched in July 2022.

According to Government figures, use of the scheme among first-time buyers increased significantly in the first three months of this year.

There were 858 new applications, which marked an increase of 49% on the last three months of 2024.

Approvals over the same period were up 51% to 727.

The additional €30m funding brings the State’s total commitment to the scheme to €370m.

The Government has said this will be matched 50:50 by the participating banks, and will bring the total commitment to the scheme to €740m.

Minister Browne said that the FHS makes it possible for “everyone to be able to afford their own home” and “this is something that should be within reach for people”.

He added that the additional funding will “allow the Scheme to operate until at least June 2027 so that it is sufficiently resourced”.

The FHS is available to first-time buyers, or those making a fresh start, who have mortgage approval with a participating lender.

But Sinn Féin’s housing spokesperson Eoin Ó Broin has criticised plans to extend the scheme for another two years, saying he believes it is raising house prices.

Speaking with reporters on the Leinster House plinth today, Deputy Ó Broin said he is “not a fan of raising prices” and is opposed to the extension of the scheme.

Meanwhile, Sinn Féin’s Natasha Newsome Drennan said in her view “rural Ireland is dying” due to what she said is a failure to properly plan infrastructure for new homes and apartments.

Sinn Féin is raising the issue of housing infrastructure in a Dáil private members motion later today, with the party’s housing spokesperson Deputy Ó Broin also saying “a lack of prioritisation” is damaging housing development plans.

He said in his view there is a need for more planning officials in local authorities, more judges to examine planning cases and other changes.

Article Source – First Home Scheme extended to 2027, with €30m more in funding – RTE

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