Help to Buy vs First Home Scheme: Which Is Better in Ireland 2026?

Help to Buy (HTB): How It Works

Help to Buy is a tax refund scheme available to first-time buyers purchasing or self-building a new home in Ireland. It refunds income tax and DIRT paid over the previous 4 years, up to €30,000 or 10% of the purchase price, whichever is lower.

The property must be a new build priced at €500,000 or less. You must take out a mortgage of at least 70% of the purchase price. The refund comes as a cash credit applied directly to your purchase, reducing the deposit you need to save from your own funds.

HTB is administered by Revenue. You apply online through myRevenue and your contractor/developer confirms the build is eligible.

First Home Scheme (FHS): How It Works

The First Home Scheme is an equity-sharing scheme run jointly by the State and participating banks. It bridges the gap between your deposit plus mortgage and the property purchase price.

The State takes an equity stake of up to 30% of the property value (or 20% if you are also using Help to Buy). You do not pay rent on this equity, but the State shares in any future property price increase. You can buy back the State's equity share at any time.

FHS applies to new builds priced up to €475,000 in most counties (higher in Dublin and commuter counties). There is an income cap of €96,000 for single buyers and €150,000 for joint buyers (2026 figures — check official sources).

Key Differences at a Glance

Help to Buy gives you cash directly (up to €30,000). You own 100% of the property from day one. The trade-off: you must have paid enough income tax in the previous 4 years to claim the full amount.

First Home Scheme fills a larger gap — up to 30% of the property value — but the State owns that equity share. You can buy it back over time. The trade-off: the State benefits if your property increases in value.

If you earn a moderate salary and have not paid enough tax for a full HTB claim, FHS is more powerful. If you have a strong tax history and prefer full ownership, HTB is cleaner.

Can You Use Both Together?

Yes — in most cases you can combine Help to Buy and the First Home Scheme on the same purchase. When used together, the FHS equity stake is capped at 20% instead of 30%.

Using both maximises the support available. For example, on a €400,000 property: HTB could contribute €30,000 (tax refund), FHS could contribute €60,000 (15% equity share), and you need €10,000 personal deposit (for 10% LTV requirement). This dramatically reduces the personal savings required.