Half of Louth’s council ‘Home Loans’ not used by budding buyers
Fewer than half of all Local Authority Home Loans approved in Louth since 2022 have been drawn down by applicants, newly released figures reveal.
Louth County Council confirmed that between 2022 and 2025, a total of 100 loans were approved under the Local Authority Home Loan (LAHL) scheme. However, just 48 of those loans have so far been drawn down by prospective buyers — meaning over half of those approved have not proceeded to complete a purchase.
The LAHL replaced the Rebuilding Ireland Home Loan in January 2022. That year saw 32 applications and 14 drawdowns. In 2023, the council approved 31 buyers, with 16 going on to draw down their loans. This fell to 19 approvals in 2024, of which 11 have so far completed.
The most recent data from 2025 shows 18 approvals, with only seven drawdowns by year’s end.
In releasing the figures, the council stressed that annual drawdown numbers can be misleading, noting that “11 of the 14 drawdowns in relation to 2022 actually occurred in 2023.”
However, when viewed over the full four‑year period, the figures point to a significant proportion of approved applicants not progressing to purchase.
The council also confirmed that no applications have been received in Louth for the Local Authority Purchase and Renovation Loan between its launch in July 2024 and the end of 2025.
The scheme was designed to support the purchase and refurbishment of derelict or non‑habitable homes.
Louth Green Party councillor Marianne Butler said it was “surprising” that not a single person had applied.
“It is a brilliant scheme, designed for the fixer‑upper properties that have been lying vacant, and it also gives people access to the Vacant Property Grant,” she said. “But I do know there are a lot of hoops to jump through, and the property can’t be worth more than the limits applied once it is done up.”
Cllr Butler said the Local Authority Home Loan scheme is intended for those who have been refused a mortgage by two other lenders, with the council acting as “a lender of last resort.”
“The process to get approval for a home loan from the council is a long one,” she said. “So it is strange that so many people have gone through all of that, got their approval, but didn’t go through with the drawdown of it.”
She questioned whether some applicants may have returned to mortgage brokers and secured a loan elsewhere, or whether they ultimately decided against purchasing.
Although the Local Authority Home Loan offers “very competitive fixed interest rates of 4%”, she said the scheme “may not be keeping pace” with the supports available to first‑time buyers of new homes.
“If you are going for a new property, the ‘Help to Buy’ scheme is there and the ‘First Homes’ scheme also, so it may put people off the Local Authority Home Loan.”
She highlighted 2024 figures showing a €7 million fund available for home loans in Louth, but just €2.1 million in approved loans.
“Unfortunately it means that a pot of money is there to be used, but it isn’t,” she said “and I think we do need to ask why?”
There is some positive news for prospective buyers after the Department of Housing, Local Government and Heritage confirmed that in the second quarter of 2026, both the income limits and maximum eligible property prices for the LAHL will increase.
In Louth, the property price ceiling will rise by €15,000, from €330,000 to €345,000.
Announcing the changes, Housing Minister James Browne said: “Raising the income thresholds and property price thresholds ensures the Local Authority Home Loan remains an effective support for people who are ready to buy but face challenges accessing finance.
“By increasing both property price ceilings and the single income limit, we are ensuring more people can access a secure mortgage and take an important step towards homeownership.”