BoI Mortgages

Comic Book Guy

Hi All,

Some advice please. Was in with the mortgage advisor in my local Bank of Ireland branch last week. We hope to start building our house sometime next month and are pretty close to shaking hands with a local builder to do the work for us.
Thankfully the bank has no problem giving us a mortgage for the amount we are looking for. However close to the end of the appointment i asked her about mortgage repayments and interest rates. She told me that because we will be drawing down the money in stage payments that we could not get a fixed rate mortgage for any period oftime and instead would be put onto a variable rate from day one.
It was near closing time when we got to this point so i didnt really get a chance to quiz her fully on this.
Could this be right? Why wouldnt we be liable for a fixed rate even just for a couple of years?

Thanks in advance for any feedback which will be gratefully received.

Dr. Dodger

I'm not positive but I'd say because you are drawing it down in stages it puts a spanner in the works.

She might have been implying that you cannot have a fixed rate for the whole amount. They couldn't possibly give you a fixed rate now on money you might not draw down for a few months.

I know banks do give you the option of doing a mixed rate with a certain amount on fixed and the rest on a variable so this might be something you could discuss. This would probably mean though that you'd have to draw the entire loan down in 2 lumps.

You're only option would be to maybe draw down the entire sum in one go and then get the fixed rate. This disadvantage of this being that you will be paying the interest then on the full amount from the get go.

Comic Book Guy

Thanks for the feedback.

Metting her again next week so will run that by her