Affordable Housing

Mayo Exile

Originally posted by ixoy: Does this difference have to be made up solely as deposit or can it be supplemented by drawing on a mortgage from a bank for that amount? Seems a bit difficult to have 100k if you're on the affordable housing scheme.

I had the same problem with Dundalk Town Council. There were houses going in the town for €225k. But the mortgage ceiling was 180k. I was asked to come up with a deposit of 45k, which they insisted could not be in the form of a loan!

I think this indicates that the entire scheme has not been properly thought through. Who has 45k ready up front if you are on the affordable housing scheme in the first place? Needing a large deposit like this is also forced on you as mortgage payments cannot exceed 35% of your net income.

joePC

Has anyone heard if the draw took place and any results - its like the secret service...

Electric

I read here that the draw took place last week or the week before.

But a friend of mine that has also applied in the DCC area said that they were doing it in two weeks time!

So I'm wondering if they've actually done it yet?

okcomputer

Hey I am all set to apply to South Dublin, Dun Laoighaire Rathdown and City centre but one this is worrying me, the clawback thing.

I am male, 30 years of age, single, and I am thinking of buying a two bed appartment on my own. Say in 7-10 years I am married and have kids and need a bigger place, I cant sell the fecker cause of the clawback. Am I screwed? Or is renting out the appartment at a loss the only option?

sheepshagger

okcomputer wrote: »

Hey I am all set to apply to South Dublin, Dun Laoighaire Rathdown and City centre but one this is worrying me, the clawback thing.

I am male, 30 years of age, single, and I am thinking of buying a two bed appartment on my own. Say in 7-10 years I am married and have kids and need a bigger place, I cant sell the fecker cause of the clawback. Am I screwed? Or is renting out the appartment at a loss the only option?

Was pretty much the same as you when I bought via South Dublin CC's Affordable Housing scheme. . .I too was a bit worried about the clawback at first but its not a biggie, its only there to stop people from buying then selling (and pocketing the profit).

Who knows what will happen in the next 10 years, whilst everybodys circumstances are different I have no regrets buying earlier this year. . .if I have to sell and upgrade later on down the track then so be it. . .which ever way you look at it (in the meantime). .Rent Money is Dead Money.

warrenaldo

I dont see how the clawback is really gong to affect you so negatively. The affordable housing is just like buying with a friend(except your friend doesnt live with you).
when you do decide to sell the place. the friend will want his cut.
seems fair enough to me. if you do decide to keep it over 10 years - then you really start to earn money off it. but otherwise its no loss.

Electric

okcomputer wrote: »

Hey I am all set to apply to South Dublin, Dun Laoighaire Rathdown and City centre but one this is worrying me, the clawback thing.

I am male, 30 years of age, single, and I am thinking of buying a two bed appartment on my own. Say in 7-10 years I am married and have kids and need a bigger place, I cant sell the fecker cause of the clawback. Am I screwed? Or is renting out the appartment at a loss the only option?

No I think you can buy out the Council's share. So say your 10 years into your clawback, you get a new job or whatever and the finances improve you can buy out the Council's share.

I'm not too sure how their share would be valued but I would presumed it would be the amount of clawback that you are liable for

jdivision

Mayo Exile wrote: »

I had the same problem with Dundalk Town Council. There were houses going in the town for €225k. But the mortgage ceiling was 180k. I was asked to come up with a deposit of 45k, which they insisted could not be in the form of a loan!

I think this indicates that the entire scheme has not been properly thought through. Who has 45k ready up front if you are on the affordable housing scheme in the first place? Needing a large deposit like this is also forced on you as mortgage payments cannot exceed 35% of your net income.

Is this all the council is willing to offer. EBS and (I think) Bank of Ireland and IIB offer affordable houing mortgages. The limit is ludicrous though, you're supposed to be able to get a mortgage up to 97 per cent of the cost.

jdivision

okcomputer wrote: »

Hey I am all set to apply to South Dublin, Dun Laoighaire Rathdown and City centre but one this is worrying me, the clawback thing.

I am male, 30 years of age, single, and I am thinking of buying a two bed appartment on my own. Say in 7-10 years I am married and have kids and need a bigger place, I cant sell the fecker cause of the clawback. Am I screwed? Or is renting out the appartment at a loss the only option?

you can still sell it and you get to keep a slice of any profit made. Renting out the apartment is not allowed. There is no option to buy the council out by the way, otherwise council would not be getting maximum return if the house went up in price afterwards.

Dandelion6

jdivision wrote: »

There is no option to buy the council out by the way

Yes there is, at least within DCC - although you have to wait a year, have the house revalued and pay back the clawback.

RIRI

Hi all,

I just got a call from DCC with a provisional offer of a 2bed in Hampton Lodge on Gracepark Rd. This is from the last newsletter (July as far as I remember). This was our third draw - so for any of you thinking you'll never be offered anything - have faith!

Going to have to seriously consider this after we have viewed the apartment etc, we have a 3year old son & to be honest I don't know if I can see us living in an apartment as long as the clawback would require. There are other things to consider too, management agency fees etc..

Still we are delighted to be offered anything at all.. anyone else get offers this morning?

jdivision

Unfortunately these days you'll be paying management fees wherever you're living if you're buying in Dublin in a new estate.
Dandelion06 - I wasn't aware of that. It must be relatively new. I can't understand the council allowing that but then DCC overprice their schemes as far as I can see. I think I remember seeing apartments on the affordable list for DCC and the prices of the affordable units were higher than the price the first phase had sold for privately.

traceybere

Has anyone heard anything from Fingal COCO lately?

I have serveral friends like myself who are waiting but we have heard nothing

antodeco

Hey All,
Hope someone here can help. Im about to apply for social housing on my own. I would be looking for a house. I have a very small deposit (15k), but Im 25, so have the ability of a longer mortgage. I was wondering if there is an issue with only having a small deposit. Im earning 37k pa.

Also, it says it needs a p21? How do I get this? also, along with the form needed to be filled in by the revenue?

Many thanks and apologies if any of the questions are silly!

Dandelion6

antodeco wrote: »

I was wondering if there is an issue with only having a small deposit.

Not necessarily, but it depends on the price of the house.

Also, it says it needs a p21? How do I get this? also, along with the form needed to be filled in by the revenue?

The P21 can be ordered online at the Revenue site. The other form you'll need to get from your local Revenue office.

Dandelion6

Actually to correct my last sentence, you should get the other form from the Council, but you'll need to get it stamped at the Revenue office.

traceybere

antodeco wrote: »

Hey All,
Hope someone here can help. Im about to apply for social housing on my own. I would be looking for a house. I have a very small deposit (15k), but Im 25, so have the ability of a longer mortgage. I was wondering if there is an issue with only having a small deposit. Im earning 37k pa.

Also, it says it needs a p21? How do I get this? also, along with the form needed to be filled in by the revenue?

Many thanks and apologies if any of the questions are silly!

If you ring revenue on 1890 333 425 and order it its much quicker - takes 8 days

What council are you applying to?

lily lou

As far as I know buying out the councils share applies to shared ownership rather than affordable housing.

Tracybere myself and my brother (we applied seperately) got offered viewings in Balbriggan around 2 or 3 weeks ago, there were 2 different estates and they had houses and apartments but both were around a 30 min walk from train station and the last feeder bus was around 7pm. Also someone I know got a letter about 2 apartments in Swords this week.

antodeco

Thanks for the advice! Im applying to all 4 Dub councils. Beggars cant be choosers as they say!

podge018

when you say "social housing" i presume you mean affordable housing. Big difference, especially if you're on 37k, you'll be laughed out of their offices looking for social housing.

traceybere

lily lou wrote: »

As far as I know buying out the councils share applies to shared ownership rather than affordable housing.

Tracybere myself and my brother (we applied seperately) got offered viewings in Balbriggan around 2 or 3 weeks ago, there were 2 different estates and they had houses and apartments but both were around a 30 min walk from train station and the last feeder bus was around 7pm. Also someone I know got a letter about 2 apartments in Swords this week.

Did ye apply to the shared ownership scheme?

warrenaldo

Recently bought of the council(affordable) and was informed that at any stage i can buy out the councils share

Bingles

Hi, just new to all this and its actually causing me very odd dreams. I am awaiting a call to tell me have I got a house with the affordable Housing scheme and was told after we know we have got it we then have to go get a mortgage etc.

Is this a done deal as we are going via this method of getting a house as there is no other way. what if all the banks turn us away etc.

Dandelion6

If the banks turn you down you can go with Shared Ownership.

traceybere

Dandelion6 wrote: »

If the banks turn you down you can go with Shared Ownership.

How does that work?

Do you pick a property first of are you offered one?

Dandelion6

traceybere wrote: »

Do you pick a property first of are you offered one?

Well, theoretically either. You can use it to buy a property you are offered under the Affordable Housing scheme. You're also supposed to be able to use it to buy a property of your choice - but this is subject to a ceiling on the price of the property as well as on the maximum loan amount. Those ceilings have not kept up with house prices, at least in Dublin, so for the past several years the Shared Ownership scheme has been pretty much useless for non-Affordable Housing purchases. That may change if the market continues its plunge though.

Daith

Dandelion6 wrote: »

You're also supposed to be able to use it to buy a property of your choice - but this is subject to a ceiling on the price of the property as well as on the maximum loan amount. Those ceilings have not kept up with house prices, at least in Dublin, so for the past several years the Shared Ownership scheme has been pretty much useless for non-Affordable Housing purchases. That may change if the market continues its plunge though.

Aye. I applied for that scheme. The max amount you can spend on a property is €300,000. You can put savings of about €30,000. So if you get approved for say €290,000, you couldn't buy somewhere for €305,000 even if you had enough savings.

Also you can only buy in the DCC administrative area. Some locations like Blanchardstown/Cabra, Finglas border between DCC and Fingal.

Bingles

Thanks for the reply Dandelion6 I can confirm since posting this we have just been offered the house we wanted and are now off looking for a mortgage so fingers crossed it all goes well.

Pa ElGrande

A new guide to affordable housing has been launched on DVD.
The DVD provides details on how the scheme works, who is eligible to participate, how to apply to the local authority and how to access finance for the initiative.
The DVD was produced by EBS Building Society and is supported by the Affordable Homes Partnership.
It is designed to not only support people who are working through the process but also to raise awareness and access to the initiative.
The Affordable Housing Scheme DVD is available free of charge in all participating county council offices. A free copy of the DVD can be requested by phoning 1850 654 321, by logging on to www.ebs.ie or at any EBS Building Society office.

http://www.independent.ie/business/irish/housing-guide-launched-1231093.html

http://ww3.ebs.ie/site/All/Home%20Access?Opendocument

postperson

Just in case anyone's still waiting to hear, I recieved a letter from DCC on Wednesday saying I had been unsuccessful in the recent draws. I applied for Donnybrook, Miltown & all the ones on the Quays.

Anyone heard of someone who was offered a place from the June/July newsletter?