The Help to Buy Scheme was introduced by the Government to assist first time buyers of newly built homes to help with the payment of the deposit. It also applies to self builds by first time purchasers.
If you satisfy the following criteria you will qualify for the scheme:
1. You must be a first time buyer;
2. You must purchase or build a new home between 19 July 2016 and 31 December 2019;
3. You must live in the property as your main residence for a minimum of 5 years;
4. You must be tax compliant. If you are self-employed you must be in a position to produce a Tax Clearance Certificate;
5. You must take out a mortgage of at least 70% of the purchase price or in the case of a self-build 70% of the valuation approved by your lending institution.
How much can I claim under the Scheme:
1. The scheme allows purchasers to claim back a rebate on Income Tax over the four years prior to the year of buying a property;
2. The maximum rebate is 5% of the value of the property;
3. The rebate that you can claim will depend on the amount of income tax that you paid in the previous four years of working.
We at Hughes Murphy have been assisting conveyancing clients with their applications for the scheme since its introduction and we would have the following advice for first time purchasers:
1. Prior to placing a booking deposit with an Auctioneer make enquires and ensure that the vendor is a “qualifying contractor”. A Contractor must register with the Revenue Commissioners for the scheme and it is important that you are purchasing a property from a registered contractor.
2. Before making your application online with the Revenue Commissioners ensure that you have the following information and documentation to hand:
(a) A copy of your signed Contract for Sale;
(b) Proof that the balance of the deposit is paid;
(c) Property details;
(d) A copy of your loan offer from your lending institution;
(e) Details for the contractor.
If you have any queries in relation to the Help To Buy Scheme
please email Julie Smyth, HM Conveyance Department,
firstname.lastname@example.org, Freephone 1800 910 912 or click on Contact Us Now.