First time buyer legal definition

pacelut

Hi all,

What is the correct legal definition of a first time buyer?
My wife inherited about 10 years ago a property abroad. Current value is aprox 10k.
We applied for a mortgage, and Bank of Ireland rep is saying that we are not classed as first time buyers, because of this property abroad, and we will need the 20% deposit, as we are considered movers. But we never bought any property, here or abroad, so are we not first time buyers?

Atlantic Dawn

The Revenue definition includes property abroad...

http://www.revenue.ie/en/tax/stamp-duty/certificates/first-time-buyer.html

However it seems to imply that you would have purchased or built the house, technically she has done neither of these as it was inherited...

purchased or built on his/her own behalf a house (in Ireland or abroad)

Trish56

I would agree you never purchased a property at home or abroad so you should be considered a first time buyer. Just wondering why you had to tell them that your wife inherited a property. I think you can definitely challenge that decision with BOI.

pacelut

Thanks Atlantic Dawn and Trish56 for your replies

phormium

I don't know if the banks go by any legal definition if there is one. A first time buyer is usually someone who has never owned a house however they aquired it. If you were going to be as literal as saying they had never actually bought one then you would have to exclude people who own sites building houses as they are not technically buying a house either.

I'd be inclined to think banks can decide themselves what falls within their own first time buyer offers.

pacelut

Thanks all,

Just found the first time buyer definition by the Central Bank of Ireland (cannot post the link directly):

"A first time buyer is defined as a borrower to whom no housing loan has ever before been advanced.
Where the borrower under a housing loan is more than one person and one or more of those persons has previously been advanced a housing loan, none of those persons is a first-time buyer.
This definition of FTB is aligned to the Revenue definition. The flexibility given by the proportionate limits is in place to allow lenders to make decisions based on an individual borrower’s circumstances up to a specific limit."

So in a nutshell, no previous housing loan=first time buyer.