Quick answer: New builds are energy-efficient and eligible for Help to Buy, but can be delayed, have limited locations, and may carry construction risk. Second-hand homes offer more choice, faster timelines, and known condition (with a good survey) but typically lower energy ratings and no grant eligibility.
At a Glance
| Factor | New Build | Second-Hand |
|---|---|---|
| BER rating | A2 or A3 (required by law) | Varies — often C, D, or E |
| Help to Buy | Eligible (up to €30,000) | Not eligible |
| First Home Scheme | Eligible | Not eligible |
| Energy running costs | Low | Higher (unless retrofitted) |
| Completion timeline | 6–24 months from reservation | Typically 8–16 weeks from sale agreed |
| Condition certainty | Snag list inspection before close | Structural survey before signing |
| Stamp duty | Standard residential rates | Standard residential rates |
| Location choice | Limited to new developments | Much wider choice |
| Negotiability | Less (fixed list price) | More (price more negotiable) |
New Builds — Key Points
Energy Efficiency
All new homes built in Ireland since November 2019 must achieve at least an A2 BER rating under the nearly zero-energy buildings (NZEB) regulations. This means a new build has excellent insulation, a modern heating system (often heat pump), and triple-glazed windows. Energy bills are significantly lower than older homes of equivalent size.
Help to Buy and First Home Scheme
New builds (and self-builds) are the only properties eligible for the Help to Buy scheme — a Revenue tax refund of up to €30,000 for first-time buyers. The First Home Scheme (government shared equity top-up) is also only available on new builds. Combined, these schemes can substantially reduce the upfront cash a first-time buyer needs.
Part V (Affordable Housing)
Developers of residential developments of more than nine units (10 or more), or on a site larger than 0.1 hectares, are required by law to provide up to 20% of the units as social or affordable housing under Part V of the Planning and Development Act, as updated by the Affordable Housing Act 2021. The 20% total breaks down as up to 10% social housing (allocated to the local authority) and up to 10% affordable housing (via the Cost Rental or Affordable Purchase schemes). Smaller developments — four or fewer houses, or sites of 0.1 hectares or less — can fall outside Part V or apply for an exemption certificate. Sites with planning permissions granted before the 2021 Act may still operate under the previous 10% (social-housing-only) requirement.
This means some units in a new development will be sold at a cost price to local authorities or via the Affordable Housing scheme, but does not affect buyers purchasing at open-market prices.
Snag List
Before taking possession of a new build, you should commission a snag list inspection (€350–€500). The inspector documents defects — poor finishing, misaligned doors, gaps — that the developer must rectify before (or shortly after) you take possession. See our property surveys guide.
Structural Warranty (HomeBond / Premier Guarantee)
New builds in Ireland are typically covered by a 10-year structural warranty provided by HomeBond or Premier Guarantee (the two main schemes operating in Ireland). The warranty covers major structural defects during the first 10 years. Before signing contracts, confirm with your solicitor that the development is registered with HomeBond or Premier Guarantee and that the structural warranty will transfer to you on completion. This is a standard part of conveyancing for new builds but worth verifying explicitly.
VAT Treatment
The purchase of a completed new-build home includes VAT (at the standard 13.5% rate) in the developer’s sale price — this is already factored into the price you see advertised. Apartments are subject to a temporary reduced VAT rate of 9% on completed apartment sales, effective from 8 October 2025 to 31 December 2030, introduced in Budget 2026 to reduce apartment purchase costs. This applies to the first sale of qualifying completed apartments; confirm with your solicitor whether the unit you are buying qualifies.
Delays
New build completions are frequently delayed. When buying off-plan or under construction, your booking may be subject to a longstop date (typically 6–12 months beyond the estimated completion date) after which you can withdraw. Factor potential delays into your planning if you're in a rental that ends on a fixed date.
Second-Hand Homes — Key Points
Wider Choice and Faster Timeline
The second-hand market is much larger than the new build market, particularly in established urban areas. From sale agreed, a second-hand purchase typically closes in 8–16 weeks — much faster than a new build under construction.
Known (and Surveyable) Condition
Unlike buying off-plan, the property already exists. A thorough structural survey (€400–€600) by a chartered engineer gives you a detailed picture of condition before you commit. Issues found can be negotiated with the seller or can justify withdrawal.
Energy Ratings Vary Widely
Pre-1980s homes are often C, D, or E rated. Energy bills can be significantly higher — a D-rated home may cost 3–4× more to heat than a comparable A2 new build. Factor in potential retrofit costs and check SEAI grant eligibility if you're buying an older property.
More Price Negotiation
Second-hand sellers are often more open to price negotiation, particularly if surveys reveal issues or if the property has been on the market for a while. Most offers start below the asking price.
Self-Build
A self-build is where you purchase a site and build your own home. Self-builds: - Qualify for Help to Buy (the 10% cap applies to the lender's approved valuation, not the build cost) - Require a separate site purchase and build contract — more complex and higher risk - Can take 12–24+ months from site purchase to completion - Allow full design customisation
Self-builds are typically suited to buyers with significant project management capacity or who are experienced in construction.
Common Questions
Q: Is a new build always better value than second-hand? Not necessarily. New builds carry a premium for their energy ratings and grants, but they're often in suburban or commuter locations, may be smaller, and have less negotiation room. Second-hand properties in well-connected locations often represent better value on a price-per-sqm basis — especially after accounting for retrofit grants on older homes.
Q: Can I use Help to Buy on a second-hand property if it's been completely renovated? No — the Help to Buy scheme specifically requires the property to be a new build or self-build. Even a fully renovated second-hand property does not qualify.
Q: What is a longstop date on a new build contract? A longstop date is the final deadline by which a developer must complete your unit. If the developer misses this date, you typically have the right to withdraw and receive your booking and contract deposits back. Always ensure your new build contract includes a longstop date.