GUIDE: Everything you need to know about the Vacant Property Refurbishment Grant

House hunters across Ireland face an uphill battle; property prices are through the roof, interest rates remain high, and it's a seller's market to boot.

It can seem like a minefield at times, but there are several grants and schemes to choose from to help mitigate these challenges, including the First Home Scheme and the Vacant Property Refurbishment Grant. 

The latter is an increasingly popular choice among home hunters nationwide, and it could be the right one for you. 

But what is it? 

The Vacant Property Refurbishment Grant is a payment offered to eligible homeowners to transform a vacant property into a permanent home or rental property. 

If you qualify for the grant, you can access up to €50,000 to renovate a vacant property and a top-up of €20,000 if the property is also derelict. 

Although just four Vacant Property Refurbishment Grants were issued between January 1 2023 and June 30 2023, with none at all issued in 2022, it’s a worthy scheme to apply for if you meet eligibility criteria. 

So am I eligible? 

To qualify for the grant you must meet a number of conditions; this includes having proof of ownership or evidence of active negotiations to buy the property in question, and proof the property will be your principal residence when completed, or be made available to rent. 

You must have tax clearance from Revenue, your Local Property Tax must be paid (if applicable), and you must not be a registered company or developer. 

Proof that the property (which must have been built before 2008) has been vacant for at least two years is also required. However, you will not qualify if the property has been left unreasonably or purposely vacant just so you can get the grant. 

How much can I get? 

This all depends on the type of property you have. Generally, you can receive up to €50,000 to renovate your vacant property and up to €70,000 if the property is also derelict, but bear in mind the grant - which must be approved before works begin - is inclusive of the VAT cost of works. 

The amount available to eligible recipients increased on May 1 2023, so if you applied for the grant before this date and haven’t received it yet, the new grant amounts can be applied. If you are living on or seeking to buy property on an off-shore island such as Arranmore, you can get up to €84,000 to renovate a derelict building or up to €60,000 for a vacant property. 

Although the grants can cover a good deal of work, if the total renovation costs more than the grant, you will have to pay for this excess.  

However, you can also apply to the Sustainable Energy Authority of Ireland (SEAI) for the Better Energy Homes Grant Scheme, which helps improve the energy efficiency of your home by contributing to the cost of insulation or installation of a heat pump or solar panels. 

What does the grant cover? 

The grant covers a number of different works, including substructure work such as foundations, floor slabs, rising walls, damp proofing, work to chimneys, walls, floors, stairs, roof, and structural timbers. 

External finishes including doors, windows and windowsills are also covered, as well as internal completions like door frames, architraves, ironmongery and skirtings. 

It also includes demolition work and site clearance, however the grant does not cover the cost of demolishing a property and rebuilding a new one. 

The grant also covers roof completions, painting and decorating, tiling, plumbing, heating, ventilation, power, lighting, kitchen units, land work, extensions, and professional services such as surveys. 

Note: Work covered by the SEAI scheme is not covered by the Vacant Property Refurbishment Grant. 

What’s the catch? 

If your circumstances change and you no longer live in the home within ten years of getting the grant, or for whatever reason it is no longer available to rent, you will have to repay the grant. 

If you live in the home for less than five years you will have to pay back the full grant amount. If you live there for more than five years but less than ten years, you must repay 75% of the value of the grant. 

If you live in the home for more than ten years, no repayment is required. 

How do I apply? 

To avail of the grant, you must send a completed application form and supporting documents to your local authority. 

You will need proof the property is vacant, proof that you own it or are in the process of buying it, a quote for the works, planning permission (if needed), and proof the property is derelict (only required if you are applying for the top-up grant). 

You must also provide a signed agreement stating you will repay the local authority if you sell the property within ten years, meet minimum standards for rental accommodation if you are renting the property, and provide a signed affidavit that you have not received any previous grant in the same scheme. 

Once the application has been sent to the local authority, a qualified person will review the property and assess the cost of works. If you are approved, you will receive a letter confirming this. 

You will then have 13 months to complete the works from the date of approval. 

When work has been completed, the local authority will again send a qualified person to check the work. You will then need to sign a charge over the property, which is security for the grant. 

The charge will be registered with the Property Registration Authority and will last ten years. 

When do I actually receive the grant? 

You will only receive funds after a successful inspection by the local authority and after you have signed the charge document. 

If your application is unsuccessful, you can appeal to the local authority. The appeal will then be handled by a different person who was not involved in the initial decision.