Saving/Applying for a mortgage 2015/16/17/18/19

sphinx501

Bradz213 wrote: »

Probably a bit of a silly question but how does the process of transferring funds to solicitor work? I've paid the deposit but also have additional funds to be paid upon drawdown of the mortgage. I had to pay the deposit in multiple installments as the limit was €5k per day. Can the bank be given permission to transfer the funds with the mortgage drawndown or do I have to get a draft or something?

I assume you made the initial payments via online banking? I contacted my online banking help previously and they mentioned making several transaction over several days I visited my branch instead.

If you visit your local branch and explain your scenario and they can make the transfer above the usual day to day transfer limits; same transfer process and similar lead times same day/ next day transfer.

sphinx501

myshirt wrote: »

50k is low to be looking for an exemption. How did you manage to save all that money on such a low income? That's what they will examine and ask is that sustainable. Were you propped up or did you just live on beans?

If your combined income can get to 70k, hopefully more, you will have a better chance, but here's the key, get approved for the max you can but do look for houses more expensive. Once you definitely know you want a house, tell the bank you want that house and ask them to apply for an exemption from their credit committee. That's the trick. You need to make it real. They won't give you approval in principle for more than 3.5times your income.

If you ended with 4 times your income it would be a very good result, but risky.

I received the exemption when my income was ~50-60k and received Approval In Principle before having a property decided.

I was a sole applicant and had a large cash holding approx 60% of the property price. Considering my job in IT and being < 30years of age I assume they saw the later earning potential.

uberwolf

sphinx501 wrote: »

I assume you made the initial payments via online banking? I contacted my online banking help previously and they mentioned making several transaction over several days I visited my branch instead.

If you visit your local branch and explain your scenario and they can make the transfer above the usual day to day transfer limits; same transfer process and similar lead times same day/ next day transfer.

I would expect that the solicitor would prefer to have all funds, borrowers and banks, to hand.

myshirt

sphinx501 wrote: »

I received the exemption when my income was ~50-60k and received Approval In Principle before having a property decided.

I was a sole applicant and had a large cash holding approx 60% of the property price. Considering my job in IT and being < 30years of age I assume they saw the later earning potential.

Well come on, that's a unique situation. You had a lot of equity. For your average Joe Soap with a 50k income putting up 10% deposit, you won't find many exemptions.

Will you?

Maybe someone might correct me!

sphinx501

uberwolf wrote: »

I would expect that the solicitor would prefer to have all funds, borrowers and banks, to hand.

Yes - That is what I done, alongside the drawdown to the solicitor I made a separate transfer from my own account to the solicitor including Stamp Duty etc. which she then forward to the sellers solicitor.

sphinx501

myshirt wrote: »

Well come on, that's a unique situation. You had a lot of equity. For your average Joe Soap with a 50k income putting up 10% deposit, you won't find many exemptions.

Will you?

Maybe someone might correct me!

Indeed. I was just saying it is not based entirely on your combined income; other factors are taken into account.

MentalMario

At what stage should the solicitor be paid? Before he starts doing his thing or Just before he signs off at the end?

Was hoping to pay him at the end.

ILikeBoats

Yeah it's towards the end of the process

Bored Accountant

MentalMario wrote: »

At what stage should the solicitor be paid? Before he starts doing his thing or Just before he signs off at the end?

Was hoping to pay him at the end.

Our solicitor just wanted the money at the end. So we just had to pay before the deal was closed so they had the money to pay stamp duty etc.

Nedved85

Hi all,
Just wondering if anyone could help me out here.
We have signed up to buy a new build - It should be ready to move in next March.
We should be signing contracts in about 6 weeks / 2 months I would say.
My understanding is that we have to hand over the 10% deposit at that stage + the stamp duty.
We have approval for help to buy so that should cover 5%, we should be able to put in another 10% ourselves.
It looks like we will be going on a fixed rate with BOI.
By next March we should have another 8-10% saved up, can we give this to the bank before we draw down the mortgage, therefore reducing the amount loaned and giving us a better interest rate as we'll be less than 80% loan to value?
If we go for variable we can do this alright - but I'm not sure about a fixed rate.

Cheers

Bradz213

You only need to decide on your interest rate when you ask for your letter of offer from the bank.
You also don't need your stamp duty until you pay your solicitor which is usually at the time of drawing down the mortgage

Nedved85

Cheers

candle_wax

Hi, I'm wondering if anyone offer some advice. My partner and I will be first-time buyers and thinking of getting started with mortgage application. Based on the 3.5 times salary rule we would technically qualify to borrow about €380k, and we have deposit of ~€45k. However, at the moment we're only looking to borrow about €210k. But, my concern is that my (permanent, part-time) job salary is only €28k, while his is ~€80k but not permanent. Do you think the fact we're looking for a more modest amount than we could work in favour re: his job not being permanent? Or will the banks have real problem with his non-permanent employment?

(Other info: Currently paying rent of €1300 p/m, and have been paying rent together for past six years. No children. No outstanding loans. Both 30 years old)

LincolnHawk

They took all of my non-permanent salary in to account. But I had to provide 2 years of accounts. IT contractor

Blingy

Anyone had to get a mortgage re approved? We are buying a new build and got mortgage approved by two banks in March. But the house won't be ready until Oct /Nov. So it's over 6 months and as far as I know mortgage apporval only lasts 6 months. Does anyone know exactly what is required for the re approval? And if we can start the process before the end of the 6 months.
Thank you.

ELM327

it's 12 months SIP with AIB anyway, if it's SIP you are looking at I would imagine most banks were similar?

Blingy

ELM327 wrote: »

it's 12 months SIP with AIB anyway, if it's SIP you are looking at I would imagine most banks were similar?

Thanks. No I'm talking about full approval. Letter of offers received in March.

toby2111

ELM327 wrote: »

it's 12 months SIP with AIB anyway, if it's SIP you are looking at I would imagine most banks were similar?

What's SIP?
Also, does anyone know if Perm TSB give 6 months or 12 months Approval in Principle? For second time buyers.

purpleisafruit

toby2111 wrote: »

What's SIP?
Also, does anyone know if Perm TSB give 6 months or 12 months Approval in Principle? For second time buyers.

Sanction in Principle, it's just approval in principle by another name. Different banks call it different things

jjdonegal

Viewed a lovely 5 bed detached show house yesterday. Asked the girl and was told I can buy show house for c.€20000/25000 more as seen but price not set yet. How does this work with a mortgage? In this case I'm assuming I would have to pay that in cash to the EA? Girl showing us was not 100% so emailed EA yesterday but waiting to hear back so hoping someone can shed some light whilst I'm waiting.

bizebee

Hi all,

Im a FTB who has limited knowledge about mortgages & processes around mortages etc... So, apologies if this is going to be a stupid question..

We are about 4k off our desired deposit amount at present, we will get the remaining money over the next 2 months ( Saving 2k a month while living at home with in-laws..)

Should we start the conversation with the banks now about starting the process to get AIP or wait until we get to the desired amount??

Thanks in advance!

purpleisafruit

bizebee wrote: »

Hi all,

Im a FTB who has limited knowledge about mortgages & processes around mortages etc... So, apologies if this is going to be a stupid question..

We are about 4k off our desired deposit amount at present, we will get the remaining money over the next 2 months ( Saving 2k a month while living at home with in-laws..)

Should we start the conversation with the banks now about starting the process to get AIP or wait until we get to the desired amount??

Thanks in advance!

You can start the process anytime but they won't let you draw down until you have the full deposit. You should also bear in mind that you will need money for stamp duty and legal fees saved also.

ILikeBoats

jjdonegal wrote: »

Viewed a lovely 5 bed detached show house yesterday. Asked the girl and was told I can buy show house for c.€20000/25000 more as seen but price not set yet. How does this work with a mortgage? In this case I'm assuming I would have to pay that in cash to the EA? Girl showing us was not 100% so emailed EA yesterday but waiting to hear back so hoping someone can shed some light whilst I'm waiting.

I assume you'd just apply for the mortgage for the value of the 5 bed + 25k?

Is there 25k worth of stuff in the showhouse? I realise it would save you doing a lot such as flooring, putting up curtains, decorating, carpets etc but is it worth it?
Also, I would imagine they were rush jobs so not sure would the quality of the workmanship be up to scratch as if you were a paying customer.

q85dw7osi4lebg

bizebee wrote: »

Hi all,

Im a FTB who has limited knowledge about mortgages & processes around mortages etc... So, apologies if this is going to be a stupid question..

We are about 4k off our desired deposit amount at present, we will get the remaining money over the next 2 months ( Saving 2k a month while living at home with in-laws..)

Should we start the conversation with the banks now about starting the process to get AIP or wait until we get to the desired amount??

Thanks in advance!

Start the process now, say the 4k will be a gift. They will give you AIP based on that, then when going to look for the loan offer, tell them you have it saved yourself and you now won't need the gift.

Jake2

Does anyone know a typical timeframe to expect contracts once you go sale agreed.

I know its different in many cases. Last time I was waiting 8 weeks to get a contract went though the whole process and just before I went to draw down the vendor pulled out of the sale. So now I am back on the train and I am sale agreed again since saturday. I have no intention of waiting 8 weeks this time--mortgage approval timeframe doesn't allow this kind of luxury.

Just wondering does anyone know whats a reasonable amount of time you would expect a contract ? The house is owned outright so no banks involved here.

Thanks, so anxious this goes right this time. Not only because of the expense of wasted valuations, surveys and solicitors fees on the last one I just can't handle any more stress! I did not know how difficult this whole process would be, it took me so long to get to the stage where I could afford to apply for a mortgage---once you are in the buying scenario its a whole other set of difficulties!!!

Monife

I know most banks look for 6 months of statements and the usual dubious entries such as gambling etc shouldn't appear. But does anyone know if it would be viewed negatively if you do a reasonable amount of online shopping? Should you only use your account for the previous6 months for say rent, bills and groceries? Thanks

myshirt

Don't take any chances. Live like a monk, and include a photo of you with the pope as part of your application.

Jake2

Vendor was an elderly lady and basically when it came to having to sign the contract she got cold feet and it all got too much for her. No one could convince her to sign. I had already signed and instructed bank for mortgage, there was no indication she was going to pull out. Lesson learnt on my side I'll tell you:mad:

lbyrne121

Jake2 wrote: »

Does anyone know a
typical timeframe to expect contracts once you go sale agreed.

I know its different in many cases. Last time I was waiting 8 weeks to get a contract went though the whole process and just before I went to draw down the vendor pulled out of the sale. So now I am back on the train and I am sale agreed again since saturday. I have no intention of waiting 8 weeks this time--mortgage approval timeframe doesn't allow this kind of luxury.

Just wondering does anyone know whats a reasonable amount of time you would expect a contract ? The house is owned outright so no banks involved here.

Thanks, so anxious this goes right this time. Not only because of the expense of wasted valuations, surveys and solicitors fees on the last one I just can't handle any more stress! I did not know how difficult this whole process would be, it took me so long to get to the stage where I could afford to apply for a mortgage---once you are in the buying scenario its a whole other set of difficulties!!!

I am at the stage of drawdown at the moment but I was wondering why did your sale fall through when u got to that stage? Can a vendor still pull out if contracts are signed by both parties?
P.'s I waited 7 weeks for contracts to just arrive

Jake2

Monife wrote: »

I know most banks look for 6 months of statements and the usual dubious entries such as gambling etc shouldn't appear. But does anyone know if it would be viewed negatively if you do a reasonable amount of online shopping? Should you only use your account for the previous6 months for say rent, bills and groceries? Thanks

I only had the absolute basics on my account no shopping at all, but to be honest I was throwing everything I had into savings every month I was savings about 700 on top of my rent payments so I didnt have a penny to spend anyway!! I suppose it depend how much you earn if you have plenty to cover your rent, showing decent savings then im sure its okay to spend your money how you like after that.