If you are a Bank of Ireland Mortgage customer and are considering borrowing more money against your property for home improvements or educational expenses, we may be able to help. Our Equity Release option could enable you to fund additional expenses and you may even qualify for a tax credit under the Government’s Home Renovation Incentive Scheme.

  • How does it work?

    Equity is the difference between the value of your property and what you owe on your mortgage loan. If the value of your home is greater than what you now owe on your mortgage, you may be able to ‘top up’ your mortgage through Equity Release, which is an additional mortgage loan secured on the property.

    For Example

    Your home is currently worth€300,000
    Current Mortgage€150,000
    You could release equity up to €120,000 (up to 90% of the value of your property)

    With Equity Release you can

    • Borrow anything from €15,000 up to 90% of the value in your home.
    • If you are borrowing for home improvements associated with the Government’s Home Renovation Incentive Scheme you can borrow from €10,000 up to 90% of the value in your home.
    • Get our most competitive rates.
    • Choose a term that suits you best, from 5-30 years (to maximum age 70). This term can differ from your current mortgage term.
    • When you release equity in your home we'll give you 2% of your new mortgage back as Cashback. Cashback is not available with the High Value Mortgage fixed interest rate.
    The lender is Bank of Ireland Mortgages. Lending criteria and terms and conditions apply. A typical mortgage to buy your home of €100,000 over 20 years with 240 monthly instalments costs €615.79 per month at 4.2% variable (Annual Percentage Rate of Charge (APRC) 4.3%). APRC includes €150 valuation fee and mortgage charge of €175 paid to the Property Registration Authority. The total amount you pay is €148,114.60. We require property and life insurance. You mortgage your home to secure the loan. Maximum loan is generally 3.5 times gross annual income and 80% of the property value (90% of the property value for first time buyers). A 1% interest rate rise would increase monthly repayments by €54.02 per month. The cost of your monthly repayments may increase - If you do not keep up your repayments you may lose your home.
  • Information on the Governments Home Renovations Incentive

    Under the Home Renovation Tax Incentive Scheme, people carrying out qualifying renovation works will be granted tax credit on the cost of the works.

    The Scheme applies to renovations or improvements:

    • On your principle private residence or investment properties
    • Costing from €5,000 to €30,000. Qualifying work must cost a minimum of €5,000 (excl. VAT at 13.5%). While there is no upper limit on the cost of work, the tax credit will only be given in relation to a maximum of €30,000 (excl. VAT at 13.5%).
    • Carried out by a tax-registered builder/contractor.

    The incentive applies to repair, renovation or improvement work carried out (subject to VAT at 13.5%) and paid for on or after 25th October 2013 and up to 31st December 2018.

    A tax credit of 13.5% of the cost of the renovation works ex-VAT will be payable in the two years after the year in which the works were carried out. The minimum tax credit under the scheme is €675 and the maximum tax credit is €4,050.

    If you want to benefit from the Government’s Home Renovation Tax Incentive Scheme, it is your responsibility to make sure the money you spend on works carried out will be covered by the scheme. We strongly recommend you get independent tax advice on that point before you commit to a building contract.

    Further information relating to the Government Scheme is available on the Revenue.ie website.

    Bank of Ireland cannot take responsibility for information on third party websites.

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