Home Improvement Loan
RECONSTRUCTION / REPAIR / IMPROVEMENT LOANS
Loans are currently available for the reconstruction, repair and improvement of houses to applicants who satisfy the income limits as laid down by the Department of the Environment (see below for details) and in addition the Council must be satisfied that:
- After the proposed works are carried out, the house will be fit for habitation in all respects.
- The house is suitable for reconstruction, repair and improvement as the case may be.
- The proposed works are essential for the purpose of providing suitable housing accommodation.
Please note that at least one applicant must be under 55 years of age. (If you do not qualify for this reason the Council will only consider your application if someone under 55 years of age is willing to make a joint application with you).
In the case of two income households a formula of 2½ times the principal earner, plus the other income applies. The product of this formula must not exceed €100,000.00 to qualify. A limit of €40,000.00 applies where there is only one earner.
- A loan cannot exceed €38,000 or 75% of the amount which in the opinion of the Council, the house, if sold in the open market on completion of the proposed works, might reasonably be expected to realise, whichever is the lesser.
- A loan cannot exceed 90% of the estimated cost of the reconstruction, repair or improvement works that is, estimated gross cost and after deducting grants payable in respect of the improvement works.
A variable interest rate applies to all Reconstruction Loans.
Maximum repayment period will not exceed 15 years.
The title to the ownership of the house must be one which an ordinary mortgagee would be willing to accept, e.g. Fee simple, Fee farm, leasehold not less than 60 years unexpired.
Before any payment can be made the following conditions must be complied with:
- the loan is secured by the completion of security documents by the Council's Solicitor at the borrower's expense.
- the house is insured at the borrower's expense jointly in the names of the Sligo County Council and the borrower, for a sum not less than the full market value of the house, as determined by the Council.
Application Form must be accompanied with:
- Income Tax Balancing Statement from Inspector of Taxes for last tax year.
- Income details:
If employed: P.60 for the previous tax year and current payslip together with completed Employers Certificate.
If unemployed: a letter from Department of Social Welfare stating amount of monies received for the previous tax year and amount received weekly.
If self-employed: audited accounts together with an auditor’s report and evidence that the accounts have been agreed by the Inspector of Taxes.
- Maps of the proposed reconstruction work.
- Site location map.
- Copy of Planning Permission if required.
- Contractor's detailed quotation.
- Copy of Contractor’s Tax Clearance Certificate or current C2 number.
- Certified evidence of your savings.