Shortfall and Upfront Costs

What is the shortfall and how much is needed to start works

This section I imagine will be the most clicked tab of the entire website so I will try my best to explain this and give an overview of the issues here. The bottom line is if a property owner does not have access to funds before beginning the building process it can not go forward. This scheme is not fit for purpose. Please feel free to contact info@redressfocusgroups.ie if any info here is not satisfactory. 

I will use one of the smallest homes as an example, a semi detached home. For this size of property the owner will receive 263k to rebuild. I am taking this from someone who has already started works so they do not qualify for any additional money as announced Nov 2024. 

From this amount the following must be paid for;

Demolition 

Removal of rubble

Removal and replacement of foundations

Protection of remaining adjoining home

Professional fees

Rental 

Storage

Contractor Deposit

ESB and postal relocations fees

BER Cert

One Stop Shop fees

Rebuild

Groundswork (grass will be ripped up with machinery etc)

Bathrooms

Kitchen (if can not reuse)

Tiles & Flooring

The first drawdown of the grant can not be applied for until the house is demolished and back up at subfloor level. This first submission of invoices must also include invoices for professional fees. 

This homeowner is now at this stage and awaiting the first drawdown from Donegal County Council. They have not yet received any money to date to help begin rebuilding.

To date the upfront payments made are as follows;

BER cert

Part L

ESB

Electrical provider

Professional fees

One Stop Shop

Builder deposit

Storage boxes for moving

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Deposit for rent

Up front rental for 2 months before rent was paid from council

Mortgage

Homeowner will soon have to put down deposits for kitchen, bathrooms and flooring.

SEAI grant will not be paid until the rebuild is complete.

As of writing, normal lending criteria in all financial institutions applies to all DCB owners and no allowances or exemptions are in place. My advice would be to clean up your account, unsubscribe from anything unnecessary eg. credit accounts for shops online, apps, overdraft facilities, never miss a direct debit and set up savings accounts to prove you have the ability to pay back any loan applied for. You will need a minimum of 3 months savings and 6 months clean banking activity (no missed direct debits, no lottery payments online etc.) to be eligible for any loans.