The Minister for Housing, Local Government and Heritage, Darragh O’Brien TD has announced that from today [September 10th 2021] a reduced interest rate of 0.25% will apply to all new Local Authority mortgages.
Commenting Minister O’Brien said, “As part of ‘Housing for All’, I pledged to reform Local Authority mortgage lending in order to support homeownership. The first action I am implementing is a reduction of the mortgage interest rate for new borrowers by 0.25%. This interest rate reduction applies to new borrowing under the existing Rebuilding Ireland Home Loan (RIHL) from 10 September 2021. This will make repayments more affordable and assist borrowers in securing a long-term fixed rate mortgage to purchase a home of their own.
“As part of Housing for All I also announced that a reformed successor to the RIHL, the Local Authority Home Loan, will be in place later in 2021. I look forward to announcing further details in respect of the Local Authority Home Loan in the coming months.
“Affordability and the chance to own a home is at the heart of the government’s housing policy. We want to help as many people as possible to own their own home and today’s announcement, of lower interest rates on the Local Authority mortgage is a small but important step in the right direction,” he concluded.