Buying your first home in Ireland can be an exciting milestone, but it often comes with financial hurdles. High deposit requirements and rising property prices leave many first-time buyers struggling to take the first step onto the property ladder. Thankfully, the Cost Buyer Scheme offers real support to ease that burden.
Often referred to as the Help to Buy scheme Ireland, this initiative provides a government-backed tax refund that can go directly towards your deposit. But how does it work in practice? Who qualifies? And how can you apply with confidence?
In this guide, we break down the essentials of the Cost Buyer Scheme and show you exactly how it can help you buy your first home.
What Is the Cost Buyer Scheme?
The Cost Buyer Scheme is another name for Ireland’s Help to Buy scheme, introduced to assist first-time buyers with the upfront costs of purchasing a new home. The scheme offers a refund on income tax and DIRT (Deposit Interest Retention Tax) paid over the past four years. This refund can be used towards the deposit required when buying or building a new property.
Eligible applicants can claim up to 10 percent of the property’s value, capped at €30,000. This amount is then paid directly to the developer or solicitor handling the sale or build, reducing the buyer’s need to save a large deposit independently.
Why the Cost Buyer Scheme Is Important for First-Time Buyers
For many people, the biggest barrier to home ownership is saving a sufficient deposit. With rising rents making it harder to save, the first-time buyer scheme Ireland offers a lifeline.
Let’s say you’re purchasing a new home for €300,000. Typically, you’d need a deposit of €30,000. Through the Cost Buyer Scheme, you may be eligible to receive up to €30,000 in tax refunds, meaning your deposit requirement could be fully covered.
This puts homeownership within reach for many who may otherwise be stuck renting for years.
Who Qualifies for the Cost Buyer Scheme?
To benefit from the Cost Buyer Scheme, you must meet the following conditions:
- Be a first-time buyer purchasing or building a new residential property.
- The property must be used as your primary residence.
- The purchase price must not exceed €500,000.
- You must take out a mortgage of at least 70 percent of the property’s value.
- You must be tax-compliant and have paid enough income tax or DIRT in the previous four years.
If you are buying with a partner or spouse, both applicants must be first-time buyers.
How Help to Buy Works in Ireland: Step-by-Step Process
Understanding how Help to Buy works in Ireland is crucial for a smooth application. Here’s a step-by-step guide:
Step 1: Set Up a Revenue Account
Start by registering for a MyAccount on Revenue.ie (or ROS if self-employed). This portal is where you’ll apply for the scheme.
Step 2: Begin Your Application
Under the Help to Buy section, provide your personal details, information about the property, and your mortgage. Revenue will assess your eligibility and calculate your refund amount.
Step 3: Get Your Access Code
If approved, you’ll receive an application number and access code. These will be shared with your property developer or solicitor.
Step 4: Complete the Purchase
Once you’re close to signing the contract or drawing down your mortgage, your solicitor or builder submits a claim using your details. The rebate is then transferred directly to them and applied to your deposit.
This process makes the scheme efficient and easy to manage, provided you submit the correct documents.
What Types of Properties Qualify Under the Cost Buyer Scheme?
Only specific property types are eligible:
- Newly built houses or apartments purchased from a developer.
- Self-build homes where you are directly responsible for the construction.
Second-hand homes and buy-to-let properties are excluded. This restriction aims to increase demand for new homes and encourage development.
How Much Can You Claim Through the Scheme?
The amount you can receive is determined by:
- The value of the property.
- The amount of income tax and DIRT you’ve paid in the previous four years.
Here are the key limits:
- Maximum claim: €30,000.
- Maximum percentage of property value: 10 percent.
- Minimum mortgage: 70 percent of property value.
For instance, if your property costs €250,000 and you’ve paid €20,000 in taxes over the past four years, you can claim up to €20,000. If you’ve paid €30,000 or more, you can claim the full 10 percent, capped at €25,000.
How the Cost Buyer Scheme Helps the Housing Market
Beyond supporting individuals, the scheme stimulates new housing supply. By focusing on newly built homes, it encourages developers to meet growing demand and gives buyers more modern, energy-efficient housing options.
This policy helps create a healthier housing market overall, balancing supply with demand and offering more accessible routes to homeownership.
Common Mistakes to Avoid
While the scheme is straightforward, a few common pitfalls can slow you down:
- Missing the application deadline: Apply before signing your contract or drawing down your mortgage.
- Incorrect tax records: Ensure your tax affairs are up to date and accurate.
- Assuming you’re eligible: Double-check criteria, especially if buying with a partner.
Being thorough from the beginning can save you time, money and disappointment later on.
Is the Cost Buyer Scheme Worth It?
For most first-time buyers purchasing a new build, the answer is yes. The scheme provides substantial financial support without adding to your debt. It also helps you move into homeownership faster, without needing to save a large deposit from scratch.
However, if you’re looking at second-hand properties or buying above the price cap, the scheme won’t apply. In those cases, you may need to explore other supports such as the First Home Scheme or local authority loans.
Final Thoughts: Taking Your First Step with Confidence
The Cost Buyer Scheme simplifies the homebuying journey by easing one of the biggest financial challenges for new buyers. If you’re exploring your options or already planning your move, knowing how Help to Buy works in Ireland is essential.
Used wisely, the scheme can shorten your path to owning a home, reduce stress, and give you a head start in today’s competitive housing market.
Ready to Explore Your Property Options?
Whether you’re looking for a new home or want help connecting with estate agents across Ireland, FindQo.ie is your one-stop platform. Search verified listings, get expert support, and make your next move with confidence.
Visit FindQo.ie today and take the first step towards your new home.
