Buying a house 2013!

ekoeko

Hi,
could anyone help me with experience.
We are looking at house 200 000.
Have 20 000 for deposit.
Paying rent 750 p/m last 5 years
Savings 1000 p/m last year and half
Have money for legal fees etc.
Excellent credit history( 3 loans previously paid off before the time)
2 kids
Joint income 47k
Is there any chance to be approved for 180 000 mortgage?

I know wages are not that high, but we can prove that we pay 750 rent and save 1000 a month. Will that play big role when it comes to decision?

quad_red

ekoeko wrote: »

Hi,
could anyone help me with experience.
We are looking at house 200 000.
Have 20 000 for deposit.
Paying rent 750 p/m last 5 years
Savings 1000 p/m last year and half
Have money for legal fees etc.
Excellent credit history( 3 loans previously paid off before the time)
2 kids
Joint income 47k
Is there any chance to be approved for 180 000 mortgage?

I know wages are not that high, but we can prove that we pay 750 rent and save 1000 a month. Will that play big role when it comes to decision?

I can't comment on your circumstances beyond saying that you're looking for a 90% LTV (loan to value). The very max banks will theoretically give.

And when you say 20k deposit - that's on top of stamp duty, solicitors fees, survey fees etc. I presume?

killers1

ekoeko wrote: »

Hi,
could anyone help me with experience.
We are looking at house 200 000.
Have 20 000 for deposit.
Paying rent 750 p/m last 5 years
Savings 1000 p/m last year and half
Have money for legal fees etc.
Excellent credit history( 3 loans previously paid off before the time)
2 kids
Joint income 47k
Is there any chance to be approved for 180 000 mortgage?

I know wages are not that high, but we can prove that we pay 750 rent and save 1000 a month. Will that play big role when it comes to decision?

What ages are you? What is the breakdown of each salary? and what childcare costs (if any) do you have?

ekoeko

killers1 wrote: »

What ages are you? What is the breakdown of each salary? and what childcare costs (if any) do you have?

34 and 37
15k+32k
no childcare costs

Sunny Dayz

Sale agreed on a house!! Deposit paid to EA. Had valuation done today for the bank. Structural survey report gone to the solicitors office.

What's next to do?

Dublin25

Congrats Sunnydayz!

You could start looking at life assurance and insurances while your waiting on the contracts to be drawn up. If not already done.

quad_red

We're in the same boat. Sale agreed, deposit paid

Forms were submitted to AIB on Friday evening... and they are sending a valuer out tomorrow morning!

Sort of shocked it was that fast! We're in the process of looking at life assurance and house insurance at the moment.

And now we have to pick what sort of rate we want the mortgage on. We're considering the 4.09% one year fixed rate.

King Krib

I hope somebody can set me on the right track here... We've been doing rent to buy on a property for almost 2 years and our rent to buy period is just up. We're only starting to think of a proper mortgage now, is there any bank that specialises in mortgages after rent to buy?

Mental Mickey

RE: applying for a council house, can you be any amount over the income limit that the council states(in my case €35000??)

makeorbrake

King Krib wrote: »

is there any bank that specialises in mortgages after rent to buy?

Why would there be a need for a mortgage product specifically designed for people like yourselves in a rent to buy deal? How would there be a need for this product to be any different?

killers1

ekoeko wrote: »

34 and 37
15k+32k
no childcare costs

Max you are looking at is probably €140/€150k.. Whilst your repayment capacity by way of rent & savings is very strong the banks will never go outside policy on the max amount an applicants salary allows them to borrow.

quad_red

I know this question has been asked a million times before but how long is the average process likely to take?

EA is saying the 'average' sale takes 12-14 weeks and he's dismissed any chance of it happening any sooner.

Is this a cause for worry?

valleyoftheunos

quad_red wrote: »

I know this question has been asked a million times before but how long is the average process likely to take?

EA is saying the 'average' sale takes 12-14 weeks and he's dismissed any chance of it happening any sooner.

Is this a cause for worry?

How long is a piece of string? 8 to 12 weeks would be average. Can go on much longer if there are difficulties but I wouldn't be worried. There is no technical problem that can't be solved somehow (although you might not feel its worth the effort) and rushing the sale of a property is not a good idea.

Galego

quad_red wrote: »

I know this question has been asked a million times before but how long is the average process likely to take?

EA is saying the 'average' sale takes 12-14 weeks and he's dismissed any chance of it happening any sooner.

Is this a cause for worry?

Hi quad_red,

Glad to hear that you've now gone sale agree. Was it with your last offer? The one which you were waiting till Wednesday for the EA to tell you.

In my own experience, 12-14 weeks sounds right but there are so many factors to consider that could ultimately add extra weeks.

Do you know if seller was already in possession of the deeds from his/her bank before going sale agree with you? If not, this adds 4 wks to the process because contracts can not be drawn until the seller's solicitor is in possession of them.

Also, is the house vacant at the moment? What is the story with the seller? Is this an investment property? Are they buying themselves? Could their bank delay things in any sort of way (negative equity)?

They are so many different scenarios that to give a plain simple answer to your question is impossible.

quad_red

Galego wrote: »

Hi quad_red,

Glad to hear that you've now gone sale agree. Was it with your last offer? The one which you were waiting till Wednesday for the EA to tell you.

Twas indeed, thanks Galego We're happy (but tired).

We'd like to be moving in mid July but 12 weeks would put us in bloody September!

Galego wrote: »

Do you know if seller was already in possession of the deeds from his/her bank before going sale agree with you? If not, this adds 4 wks to the process because contracts can not be drawn until the seller's solicitor is in possession of them.

I would doubt it. They have a solicitor in place but not much more I'd say.

Galego wrote: »

Also, is the house vacant at the moment? What is the story with the seller? Is this an investment property? Are they buying themselves? Could their bank delay things in any sort of way (negative equity)?

House was rented but tenants are moving out at the end of May. I don't have answers in regards to the negative equity stuff. Feel sort of silly now. Is this info I should be demanding?

Galego

quad_red wrote: »

Twas indeed, thanks Galego We're happy (but tired).

We'd like to be moving in mid July but 12 weeks would put us in bloody September!



I would doubt it. They have a solicitor in place but not much more I'd say.



House was rented but tenants are moving out at the end of May. I don't have answers in regards to the negative equity stuff. Feel sort of silly now. Is this info I should be demanding?

Not really but I was giving you just some examples of situations which could delay the process over the average 8-16 weeks. I always put myself in the worst scenario possible so do not get disappointed easily.

Whether or not the house is in NE wouldn’t be something, that would be something advertised on Tv if you know what I mean. Sometimes the buyer could find it out from the friendly EA, common sense or just by wondering why contracts are taking so long to be drawn, meaning that seller’s bank has not released the property’s deeds. I know banks are agreeing to some deals (write offs) at the moment to get rid of certain BTLs.

Anyway, you shouldn’t encounter any the above and mid July still sounds a reasonable target for the whole sale to be closed.

Now…..time to think about house improvements, decoration, furniture, etc. ….. :cool:

Mental Mickey

Mental Mickey wrote: »

RE: applying for a council house, can you be any amount over the income limit that the council states(in my case €35000??)

Anybody?

Dublin25

quad_red wrote: »

I know this question has been asked a million times before but how long is the average process likely to take?

EA is saying the 'average' sale takes 12-14 weeks and he's dismissed any chance of it happening any sooner.

Is this a cause for worry?

Congrats on sale agreed.
We are currently in the process and we are looking to close on in 2wks time. All going well we are looking at 7wks from sale agreed. We are extremely lucky that our vendor is vacant from the property, had the contracts to us within a week of agreeing sale. What has held us up so far, is getting the loan offer pack from the bank (few hoops to jump through). Fingers crossed it will all go to plan.

We were advised that the major thing that would hold it up would be life assurance - this is what we've got sorted.

Say a prayer for us that we are on track, but i don't honestly think we'd be this far along if it wasn't for an amazing broker and on the ball solicitor!

ekoeko

To Killers1
Thanks for replay. I would be happy with that. Will try all banks and see what they will offer. Thanks

Sunny Dayz

Dublin25 wrote: »

We were advised that the major thing that would hold it up would be life assurance - this is what we've got sorted.

We better crack on with the life assurance so! Got a letter from our solicitor to say that the vendor's solicitor has the title deeds. But there are some outstanding queries I think on the receivers end so I hope this doesn't hold things up too much. However, our solicitors thinks we'll have the house by then end of June.

killers1

Sunny Dayz wrote: »

We better crack on with the life assurance so! Got a letter from our solicitor to say that the vendor's solicitor has the title deeds. But there are some outstanding queries I think on the receivers end so I hope this doesn't hold things up too much. However, our solicitors thinks we'll have the house by then end of June.

Life Assurance only causes delays if there are health issues that would require further investigation e.g. reports from your GP or a medical etc.. If you are in good health with no history of conditions that warrant further investigation a life policy can be put in place within 24h hours. If yours is a Receiver Sale there tends to be a lot more red tape involved in issuing the contracts but no reason at this stage that you couldn't close by the end of June.

crazy_kenny

Sale agreed on house 8 weeks ago and still no contracts. First, no title deeds took 6 weeks to get them. Then our solicitor was on holidays for a week. The sellers solicitor then forgot to apply to council for planning permission. Now she is on holidays for two weeks. I'm seriously peed off at the moment.

Also just a quick question for killers. How does anxiety disorder affect life insurance quote?

killers1

crazy_kenny wrote: »

Sale agreed on house 8 weeks ago and still no contracts. First, no title deeds took 6 weeks to get them. Then our solicitor was on holidays for a week. The sellers solicitor then forgot to apply to council for planning permission. Now she is on holidays for two weeks. I'm seriously peed off at the moment.

Also just a quick question for killers. How does anxiety disorder affect life insurance quote?

The insurance co will ask that you fill in an additional questionnaire in relation to anxiety disorder. You should get cover at ordinary rates provided;

1. No other condition exists.
2. There have been no previous episodes of in-patient treatment, suicide attempt or psychiatric referrals.

If either of the above apply they will request a report from your GP and take it from there.

quad_red

A life assurance question - my wife had radiation treatment six years ago. All perfect now but is this likely to hold things up?

killers1

quad_red wrote: »

A life assurance question - my wife had radiation treatment six years ago. All perfect now but is this likely to hold things up?

I'd suggest getting the ball rolling on your life cover now. Most likely is that the ins co will write to your wife's GP for a comprehensive report. This can take a couple of weeks.

mel.b

I went to view the house i am sale agreed on again tonight. One of my close friends has a sister who is an architect and who just happened to be visiting from Dublin so she came over and helped me measure up some rooms, talk about the ideas i have for redoing some of the rooms and also gave me some good ideas for some others

The agent has said that contracts should be with my solicitor in the next week...fingers crossed!

Galego

@ killers1

Once your solicitor gets contracts, which are the steps he/she takes? And at which point your solicitor calls in to sign the contracts?

Thanks in advance.

killers1

Galego wrote: »

@ killers1

Once your solicitor gets contracts, which are the steps he/she takes? And at which point your solicitor calls in to sign the contracts?

Thanks in advance.

Hi Galego,

Once your solicitor receives the contracts they read through the Title to the property and raise any pre-contract enquiries with the Vendors solicitor. They will only contact you to come in and sign once they have received both the contracts and the loan pack from your lender. They may wait until they receive satisfactory replies to their pre-contract enquiries before getting you in to sign or they may allow you to sign and make the contracts conditional on receiving satisfactory replies to their queries.

engineermike

Mental Mickey wrote: »

Anybody?

Hi Micky,
You need to query that with the council. Contact their helplines / the appropriate dept. And pose your question if your combined incomes are below or on the threshold, they may review. Call and ask or pose it as a hypothetical - if your happy to do that also.
The Co / Co's points system for prioritizing / awarding a council property has many segments & factors that traditional lenders / letting agents wouldn't take into account.
Councils and housing assoc's have their own criteria that extends beyond the financial factors.
However if your income is well 'north' of the ceiling then you might be unsuccessful from the outset of the application.
Also it may be useful to engage with your local council rep / TD's office to see if you can get any useful points / help or advice in your application process.

When looking for a TD, they're ones pulled over by the gardai and blowing in the bag ! ( sorry couldn't resist ! )
mike f

LowKeyReturn

Thought I'd drop in and say Hi rather than keep starting my own threads.

Looking to buy in Dublin 1/3/7/8 2-4 beds with work to be done for c100K. The odd place here and there popping up. Am I looking at pie in the sky or am I likely to see prices falling a bit, and hence more in my price range, over the next wee while?

Buying cash then doing the place up over a period of time is the plan. Any obvious pitfalls to watch out for?