If you own an empty home that needs to be repaired before someone can live in it, North Ayrshire Council may be able to help you. The Council offers interest free loans of between £2,000 and £15,000 to help owners bring their empty homes back into use. Once the repairs are done, your property would have to be sold (within set price limits) or rented (generally using our Rent Deposit Guarantee Scheme).
If you choose to sell your home, you must sell it within 1 year of the loan being paid to you. The loan must be repaid when your home is sold. If it is not sold within a year, it must be rented (and the loan repaid in monthly payments).
How much money could I get?
The amount of money you can borrow depends on the size of your home.
Loan, sale and rental costs
1 bedroom property
Maximum loan amount £8,316
Maximum sale price £65,000 (mainland) £70,000 (Arran)
Minimum monthly loan repayment £173.25
Maximum monthly rent (99% of LHA rate) £346.50
2 bedroom property
Maximum loan amount £10,098
Maximum sale price £70,000 (mainland) £80,000 (Arran)
Minimum monthly loan repayment £210.38
Maximum monthly rent (99% of LHA rate) £420.75
3 bedroom property
Maximum loan amount £11,880
Maximum sale price £80,000 (mainland) £95,000 (Arran)
Minimum monthly loan repayment £247.50
Maximum monthly rent (99% of LHA rate) £495
4 + bedroom property
Maximum loan amount £15,000
Maximum sale price £100,00 to £180,000 (mainland) £125,000 to £195,000 (Arran)
Minimum monthly loan repayment £312.50
Maximum monthly rent (99% of LHA rate) £673.20
Why should I bring my home back into use?
Your empty home may cost you more than £8,000 a year. Although your home is not in use, you will still have bills to pay, such as mortgage payments, management agent fees, repairs, security, insurance and council tax.
Empty homes may attract vandalism and anti-social behaviour.
Left unused for a long time, they are also more likely to need larger and more expensive repairs. The value of long term empty homes can be less than if they were being used and in good repair. They can also affect the value of nearby homes.
Council Tax Levy
Since 1 April 2016 Council Tax has increased by up to 100% on properties that have been empty for 12 months (or 2 years if it is being advertised for sale or rent).
What else do I need to know about the loan?
Your home must have been empty for at least 6 months when you apply.
• all repair work must be done within 1 year
• loans will be secured against the property.
• if you do not keep to the terms of the loan, (eg. if you miss repayments) an additional charge may be applied.
Rent option only
Loans are repayable over a maximum period of 4 years.
• your home must be rented at an affordable rate for at least 5 years (see maximum rent levels above).
• applicants must register to be a landlord in North Ayrshire.
Are there fees for the loan?
There is an administration fee for the loan of between £150 and £200. The amount you need to pay depends on the amount that you borrow. The Council will let you know the cost when you make an application. You may be able to add the fee to the value of the loan.
How to apply for a loan
- Contact us using the details below
- We will visit your home and send you a property condition report
- We will let you know if the repairs meet the standard for loan funding
- Complete and return a loan application form
- We will let you know if your application is successful
- You arrange for the repairs to be carried out
- We will visit your home to check the repairs have been done
- The loan will be paid to you
- You sell your home, or rent it with the council’s Rent Deposit Guarantee Scheme
- The loan is repaid when your home is sold, or in monthly payments if rented.
North Ayrshire Council has the final decision to award a loan and on the amount of loan offered. The Council may withdraw the loan fund if there is a change in policy, or if funds are no longer available. The scheme may also be suspended to allow the fund to top up. Further terms and conditions may apply and will be issued with the loan agreement.