The Shared Ownership Scheme helps people who earn too much to qualify for social housing but not enough to afford a standard mortgage on a home at market prices. Instead of buying 100% of a property, you purchase between 70% and 90%, with your local authority owning the rest. You pay a mortgage on your share and below-market rent to the council for theirs.
This scheme has been running since 1991, but was significantly expanded in 2022 with higher income limits and more participating developments. By October 2026, it’s delivered over 8,000 affordable homes across Ireland, with another 4,000 in the pipeline through 2027.
Who Qualifies for Shared Ownership in 2026
The scheme targets people locked out of the market due to Central Bank lending limits, not lack of income. You must meet all of these conditions:
Income limits
Your gross household income must be between €33,000 and €70,000 outside Dublin, Cork, and Galway cities. In those three cities, the ceiling rises to €75,000. These limits increased in January 2026 to reflect wage growth.
Local authorities verify income using P60s, payslips, and tax returns for the previous year. Self-employed applicants need two years of accounts.
Mortgage capacity
You must be able to secure a mortgage for at least 70% of the property’s value. Most lenders treat Shared Ownership applications the same as standard mortgages — you’ll need a 10% deposit on your share, so 7% of the total property value as a minimum.
First home or previous owner
Unlike Help to Buy, the Shared Ownership Scheme is open to people who previously owned a home, provided you don’t currently own property and your income falls within the limits. This makes it useful for people who sold a home after separation, emigrated and returned, or downsized.
Cannot afford market purchase
You must demonstrate that you cannot afford to buy a suitable home on the open market in your area. Local authorities assess this by comparing your mortgage capacity against average prices in the county.
Primary residence requirement
The home must be your principal private residence. You cannot buy through Shared Ownership as an investment or second home.
How the Purchase Works
Shared Ownership only applies to new-build homes in designated developments approved by local authorities. You cannot use it to buy existing homes on the open market.
Finding a participating development
Check your local authority’s website for a list of approved Shared Ownership developments. In 2026, the majority are apartment schemes in Dublin, Cork, Galway, and Limerick, with some three- and four-bed houses in commuter towns.
Prices are set at market value, not discounted. The affordability comes from only needing a mortgage for 70-90% rather than 100%.
Choosing your equity share
You decide how much to purchase — 70%, 75%, 80%, 85%, or 90%. Your choice depends on how much you can borrow and afford in monthly repayments. Many buyers opt for 75% or 80%, balancing lower mortgage costs against higher rent to the council.
Example calculation
Property value: €320,000
You buy: 80% (€256,000)
Council owns: 20% (€64,000)
Your mortgage deposit (10% of your share): €25,600
Monthly mortgage (€256,000 at 3.8% over 30 years): roughly €1,195
Monthly rent to council (2.5% annual on €64,000 ÷ 12): roughly €133
Total monthly housing cost: €1,328
Compare that to buying 100% at the same rate, which would require a €32,000 deposit and €1,495 monthly repayments — plus you’d need to borrow €288,000, which many applicants can’t access under Central Bank rules.
Application process
- Apply to your local authority’s housing department with income proof, savings statements, and a mortgage approval in principle
- Local authority assesses eligibility and places you on a waiting list
- When a unit becomes available in your preferred development, you’re offered it based on household size, income, and time on the list
- You have a limited window (typically four weeks) to accept and proceed to full mortgage approval
- Complete the sale with a solicitor — you’ll need separate legal representation from the local authority
The local authority’s solicitor drafts a special contract showing the shared ownership arrangement. Your solicitor reviews it to ensure your rights are protected, particularly around staircasing and resale.
Mortgage Lenders and Shared Ownership
Most Irish lenders participate in Shared Ownership, but policies vary. As of October 2026:
| Lender | Accepts Shared Ownership | Notes |
|---|---|---|
| AIB | Yes | Standard rates apply |
| Bank of Ireland | Yes | Standard rates apply |
| Permanent TSB | Yes | Standard rates apply |
| Avant Money | Yes | Competitive fixed rates available |
| ICS Mortgages | Yes | Processes through brokers |
| EBS | Yes | Same rates as parent company AIB |
| Haven | Limited | Case-by-case basis |
Lenders calculate affordability based on your share only. If you’re buying 75% of a €300,000 home, you need a mortgage for €225,000. The council rent (roughly €125-150/month in this example) is added to your outgoings when the lender stress-tests affordability.
Deposit source
Your 10% deposit can come from savings, gifts, or inheritance. It cannot come from a personal loan. Local authorities verify deposit sources before approving your purchase.
Life cover requirement
You must hold mortgage protection life insurance covering your loan amount, same as any mortgage. The local authority doesn’t require separate life cover for their share.
Living in a Shared Ownership Home
Once you complete the purchase, you’re a homeowner with most of the same rights and responsibilities as someone who owns 100%.
Management and maintenance
You’re fully responsible for internal maintenance and repairs. In apartment developments, you pay management fees to the owners’ management company same as any apartment owner.
For structural issues covered under Homebond or Premier Guarantee (new-build warranties), you claim directly as the homeowner.
Rent to the local authority
You pay monthly rent on the council’s share, typically 2-3% of the market value per year. Rent is reviewed every three years and adjusted to reflect property price changes. If your home’s value increases, your rent increases proportionally.
This rent is not eligible for any tax relief. It’s paid directly to the local authority, usually by standing order.
Selling or renting out
You can sell at any time, but the local authority has first refusal. If they decline to buy your share, you can sell to someone who meets the Shared Ownership eligibility criteria. The buyer takes on the same shared ownership arrangement unless you’ve staircased to 100%.
You cannot rent out a Shared Ownership home without the local authority’s written permission, which is rarely granted. This is your primary residence — if you move away permanently, you’re expected to sell.
Staircasing to Full Ownership
Staircasing means buying additional shares from the local authority until you own 100%. You can only begin staircasing once you own at least 80% and have lived in the home for at least five years.
The staircasing process
- Request a market valuation from the local authority — they’ll appoint a qualified valuer
- The valuation determines the current value of the council’s remaining share
- You arrange a mortgage top-up or pay cash to purchase the additional equity
- Your solicitor handles the legal transfer of the remaining share
You can staircase in stages (buying another 10%, then the final 10% later) or go straight to 100%.
Example
You bought 80% of a home in 2024 for €280,000 (council owned 20% = €70,000).
Property value in 2029: €350,000.
Council’s 20% share is now worth €70,000.
You pay €70,000 to buy them out and own 100%.
If the property decreased in value, you’d pay less. The calculation is always based on current market value, not the original purchase price.
Benefits of full ownership
Once you own 100%, you stop paying rent to the council, can sell without restrictions, and have complete control over the property. For many buyers, the plan is to staircase within 5-10 years as income increases or if they receive an inheritance.
Shared Ownership vs Other Schemes
Shared Ownership vs Help to Buy
You cannot combine these schemes. Help to Buy gives you a tax rebate of up to €30,000 on a new-build purchase, but you must buy 100%. Shared Ownership doesn’t offer a rebate but reduces the purchase price by letting you buy less than 100%.
If you can afford a standard mortgage with Help to Buy, that’s usually the better choice — you own everything from day one. Shared Ownership suits people who cannot borrow enough even with Help to Buy support.
Shared Ownership vs First Home Scheme
The First Home Scheme (launched June 2022) is a shared equity scheme where the government takes up to 30% equity with no rent charged. Shared Ownership charges rent on the local authority’s share.
First Home has lower income limits (€65,000 single, €75,000 joint) and is only available on homes up to €500,000 in Dublin or €400,000 elsewhere. Shared Ownership has slightly higher income ceilings and fewer price caps, but the rent obligation makes it less attractive if you qualify for First Home.
Shared Ownership vs Affordable Purchase
Some local authorities offer affordable purchase schemes where you buy 100% of a home at below market value (typically 80-90% of market price). There’s no ongoing rent, but resale restrictions apply for 20-30 years.
Shared Ownership is more flexible — you can sell any time and aren’t tied to below-market pricing forever. Affordable purchase saves more money upfront if you can get the full mortgage.
Common Issues and Mistakes
Underestimating total housing costs
First-time buyers sometimes focus on the lower mortgage repayments without properly budgeting for council rent, management fees, and utilities. Always calculate your total monthly outlay before committing.
Assuming you can staircase immediately
You must own at least 80% and wait five years. If you buy 70% initially, you cannot staircase at all until you increase to 80% (which itself takes time to arrange).
Not understanding rent reviews
Your rent increases if property values rise. In areas with strong price growth, this can add €20-40/month after a review. Budget for this possibility.
Difficulty moving house
Selling a Shared Ownership home takes longer than selling 100% ownership because your buyer must meet scheme criteria. This can restrict your ability to move for work or upsize quickly.
Lender limitations
A small number of lenders don’t participate or impose tighter criteria. Work with a mortgage broker who knows which lenders handle Shared Ownership smoothly.
Is Shared Ownership Right for You?
Shared Ownership works best if:
- You earn too much for social housing but too little for a standard mortgage
- You’re comfortable with long-term commitment to a property (minimum five years before you can staircase)
- You can afford both the mortgage and council rent comfortably
- You’re buying in an area where Shared Ownership developments are available
It’s less suitable if:
- You qualify for the First Home Scheme, which has no rent component
- You anticipate needing to move frequently for work
- You can just barely afford the minimum 70% — you’ll be stuck paying rent indefinitely
- You’re hoping to use Help to Buy (the schemes don’t combine)
The scheme has helped thousands of people get on the property ladder who would otherwise remain renters. But it’s a compromise — you’re a homeowner, but not a full owner, until you staircase. Make sure you understand the trade-offs before committing.
Speak to a mortgage broker familiar with Shared Ownership, check your local authority’s current list of participating developments, and run the numbers carefully. If the maths works and you’re prepared for the long-term commitment, Shared Ownership can be a practical route into homeownership in 2026’s expensive market.
See also: First-Time Buyer Mortgages Ireland | The First Home Scheme Ireland | Help to Buy Scheme Ireland | How Much Can I Borrow? | Mortgage Approval in Principle Ireland