Moving house is stressful at any age, but for older people who have spent a lifetime in their family homes, the prospect of having to uproot because a property is too expensive to maintain or has become difficult to get about in can be overwhelming.
State-backed grants that are available to make repairs and improvements – such as updating the electrics or installing a more efficient heating system – could support independent living for longer.
There are three main forms of home improvement assistance available to older people: the housing aid for older people grant; the housing adaptation grant (for those with a disability); and the mobility aids grant. All three are applied for through one’s local authority and all three are means-tested.
There may be differences between local authorities in terms of what they deem “necessary repairs” for grant purposes so it would be prudent to check what an authority covers and whether VAT is included or the homeowner has to pay up front and claim it back from Revenue.
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Local authorities will normally try to fast-track assistance where an applicant is very ill, dependent on a carer or where having the house altered would allow someone to return home after hospitalisation.
Housing aid for older people grant
The housing aid for older people grant is the broadest of the three and covers essential replacements or repairs to key pieces of domestic infrastructure such as heating, wiring, windows, doors and roofs. You can’t use the grant to buy a new oil or gas boiler but it will cover repairs to an existing system and can be used towards the installation of more sustainable and environmentally friendly heating such as biomass or wood-pellet stoves.
The grant is aimed at those over 66, but in cases of hardship it may be paid to younger applicants. The grant is means-tested based on a household’s total gross income for the previous tax year with certain allowances and exemptions. For example, some social welfare payments are not included in the tally.
The total gross household income includes earned income from employment or self-employment, pensions (State or private), rental income and dividends. It also includes the income of any other adults living in the house – something that could be material given the number of adult children either moving back in with Mum and Dad or living at home for longer.
How much financial assistance an applicant gets is based on a sliding scale linked to the household income. The maximum amount available is €10,700 or 100 per cent of the cost of the work. To qualify for the full grant the yearly household income must be €37,500 or below.
If the household income is between €37,501 and €43,750, then the grant is 85 per cent (€9,095); between €43,750 and €50,000, it’s 75 per cent (€8,025), and it goes down from there. The grant is not available to a household where the annual income exceeds €75,000.
The grant process is by application and an applicant must provide evidence of annual income, that their tax affairs are in order and that their local property tax is paid and up to date. In addition, other supporting documents may be required such as a letter from an insurance company stating that the repairs required are not covered by the household policy or a report from an electrician or heating contractor outlining why the work is necessary. If the repairs are urgent because of a medical condition, there is a section of the form that will need to be completed by a doctor.
The application form can be downloaded from gov.ie or local authority websites and paper forms are available from local authority offices. It is possible to appeal if a grant is refused but the appeal has to be lodged, in writing, within three weeks of the refusal. A word of warning: do not start the work without official approval or the application will be rejected out of hand.
Housing adaptation grant
The second grant available – the housing adaptation grant – is aimed at making home life easier for those with a disability, whether that’s physical, sensory, intellectual or due to a mental health condition. The scope of this grant covers small improvements such as the installation of grab rails or ramps as well as more far-reaching changes such as creating accessible bathroom facilities, putting in a stairlift or adding extra space for a wheelchair.
The maximum grant for properties over 12 months old is €40,000 and the amount approved is linked to the household income for the previous year with deductions and exemptions applying. The maximum grant for new builds (less than 12 months old) is €20,000. Tax clearance from Revenue is required for grants of more than €10,000.
The housing adaptation grant is available to those living in a rented a property but the property must be registered with the Residential Tenancies Board and have landlord approval for the alterations. Accommodation provided by an approved housing body and communal residences also qualify for the grant. This grant is not available to tenants of social housing. They have to apply to a different fund, the Disabled Person’s Grant Scheme.
The application process is similar to that outlined above for the housing grant with some additional requirements depending on the nature of the work. For example, an occupational therapist’s assessment may be needed for the installation of a fixed track hoist or a room extension. The local authority can arrange the assessment or an applicant can employ an occupational therapist privately and get up to €300 of the cost back from the local authority as part of the grant.
Mobility aids grant
The third grant available is the mobility aids grant, which covers basic changes to the home to make life more comfortable for those with mobility issues. For example, putting in an accessible bath or shower, a stairlift or a fixed track hoist.
The maximum grant available under this provisions is €8,000 and the same rules on household income and application procedures apply. There is a section on this particular application form that must be completed and signed by a doctor, and an occupational therapist’s report may also be needed depending on the alterations a householder is applying for.
You can contact us at OnTheMoney@irishtimes.com with personal finance questions you would like to see us address. If you missed last week’s newsletter by Conor Pope on what rising interest rates mean for your pocket, you can read it here .
