The new homes market in Galway city and county continues to be characterised by strong demand and constrained supply, particularly for modern energy-efficient housing. Demand from first-time buyers and families for A-rated homes has grown significantly, driven by rising energy costs, green mortgage incentives and a greater awareness of long-term sustainability.
However, the pace of delivery has struggled to keep up with population growth and buyer demand. While approximately 1,478 new homes were completed across Galway in 2025, it’s estimated that close to 2,900 new homes per year will be required to adequately meet housing demand in the region, highlighting the scale of the supply gap.
The Government-led initiatives aimed at helping first-time buyers access the new homes market, particularly in response to rising property prices and affordability challenges, are widely welcomed by buyers. These schemes form part of the wider Housing for All strategy and are designed to bridge the gap between household incomes and the cost of purchasing a newly built home.
One of the most widely used supports is the Help to Buy (HTB ) scheme, which assists first-time buyers with the deposit required to purchase or self-build a new home.
Under the scheme, eligible buyers can claim a refund of income tax and Deposit Interest Retention Tax (DIRT ) paid over the previous four years, with a maximum rebate of €30,000 or 10 per cent of the purchase price of the property, whichever is lower. The scheme applies to newly built homes valued at up to €500,000 and requires buyers to take out a mortgage of at least 70 per cent of the property value.
The First Home Scheme is another key initiative designed to address the affordability gap facing many buyers. Introduced in 2022, it operates as a shared-equity scheme where the Government and participating lenders provide a financial contribution towards the purchase of a new home in exchange for an equity stake in the property.
This support can cover up to 30 per cent of the property’s value and helps bridge the gap between the mortgage and deposit a buyer can obtain and the home's actual purchase price. Buyers can repay the State’s equity share over time if they wish.
In addition, Affordable Housing schemes delivered by local authorities and the Land Development Agency provide newly built homes at below-market prices to eligible purchasers. Through initiatives such as the Local Authority Affordable Purchase Scheme, the State can effectively reduce the upfront purchase cost by retaining a percentage equity share in the property.
In some cases, this support can amount to tens of thousands of euros, helping to make homeownership more attainable for households whose incomes would otherwise fall short of market prices.
The first such scheme in Co. Galway was brought to market in 2025 by Galway County Council and DAMREE Developments with selling agents, DNG Leonard & Heaslip.
Garrai na Gaoithe, Claregalway, features 73 privately owned homes, with the majority sold through the Affordable Homes Scheme. According to Mairead Leonard of DNG Leonard & Heaslip, the selling agents, the scheme was hugely popular and oversubscribed, demonstrating the demand for such initiatives.
“The scheme bridges the gap that could otherwise be a long-term barrier to home ownership for many people. People still have their mortgages to pay, but it provides a helping hand to make the dream of owning a home a reality”
“Working on this project with Galway County Council and DAMREE Developments was a real pleasure. Being the first such scheme of its kind in the county, you might have expected some teething problems, but it ran seamlessly. We expect to see more Affordable Homes Schemes in 2026 delivered by both Galway city and County Councils, and these will be much welcomed by the market”.
