With rising property prices and limited supply, more Irish buyers are turning to vacant and derelict homes as a way to secure affordable, sustainable housing. Thanks to generous grants and specialist mortgages, renovating a non-habitable property is no longer just for developers—it’s a smart move for ordinary buyers too.
In this guide, we explore the steps, funding options, and key considerations for transforming a fixer-upper into your dream home.
Lower purchase price: Derelict homes typically cost less upfront.
Grants available: Up to €70,000 in government supports may be available.
Personalisation: You have full control over layout, energy upgrades, and design.
Sustainability: Restoring existing housing stock reduces the environmental impact.
Vacant Property Refurbishment Grant (Croí Cónaithe):
Up to €50,000
For homes vacant 2+ years
Must be your principal private residence
Derelict Property Refurbishment Grant:
Up to €70,000
For structurally unsound properties
Also must be vacant for 2+ years and become your main home
SEAI Home Energy Grants:
Around €30,000 for upgrades like insulation, heat pumps, solar panels
Can be combined with Croí Cónaithe funding
Grants are paid after works are completed, so you’ll need to finance the upfront costs.
Most derelict homes fall outside standard mortgage criteria. Issues include:
No working bathroom or kitchen
Safety or structural concerns
Lack of services like electricity or water
Solution: Work with a mortgage broker to access lenders who offer renovation-friendly mortgages.
To secure a mortgage for a derelict property, you’ll usually need:
Engineer’s Report: A detailed renovation plan with costings, timelines, and planning permission (if needed)
Post-renovation valuation: To determine loan-to-value (LTV) ratio
Contingency fund: For cost overruns
Proof of repayment capacity: Savings or rent history, plus disposable income checks
Up to 90% of the purchase price can be released upfront
Renovation funds are drawn down in stages, aligned with construction milestones
Final 10–20% held until completion and engineer sign-off
Grants cannot be used for upfront costs, but smart structuring can still reduce your loan burden.
Many brokers recommend splitting your mortgage into fixed and variable portions. Once grants are paid out, you can use them to pay down the variable portion—often without penalty—saving you interest over time.
Once your renovations are complete and the property achieves a higher BER (Building Energy Rating), you may qualify for a Green Mortgage, which offers lower interest rates for energy-efficient homes.
Survey the property – Get a structural survey and engineer’s report
Speak to a broker – Match with the right lender and mortgage structure
Apply for grants – Croí Cónaithe and SEAI schemes
Plan your renovation – Include cost buffer and planning permissions
Secure your mortgage – With stage payments and grant planning
Reassess the BER – To qualify for Green Mortgage benefits
Buying a derelict property isn’t without its challenges, but with the right advice and planning, it can be one of the most rewarding routes onto the property ladder. If you’re ready to breathe new life into a forgotten home—and take advantage of the grants and green incentives now available—Mortgage Navigators can help guide you through every step.
Article by Margaret Barrett
Managing Director at Mortgage Navigators,