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

CFC007

Usually the 25k is due with 21/28 days of issuing the contracts. You could be waiting a month for the contracts to be issued. If you're a first time buyer the rebate is taken out of the 25k so probably just need to pay 12.5k.

ad1234 wrote: »

Hi all

Prob a silly but I just got an email about new builds and it says - "Please Note: To reserve your future new home you will need to bring your booking deposit by bank draft or cheque of €5,000 made payable to....

A further €25,000 is payable upon signing of contracts with the remaining balance on completion".

I'm just wondering what type of time frame would you be signing contracts and paying the 25k would anyone know or have experienced.

The home we want wouldn't be built for approx 5 months in this development. Would it be closer to that? Or soon after the initial 5k?

Thanks all! This thread has been a great help.

bri007

Hi, wonder could someone give any advice.

Myself and my girlfriend have been saving the last number of years, we have a decent amount saved.

However, I'm taking up a job, which is self employed and my girlfriend is in full time employment.

I never worked self employed before, will this go against us in trying to get a mortgage, say next year?

Thanks, and sorry of this isn't in the right forum for my question.

Graham

bri007 wrote: »

I never worked self employed before, will this go against us in trying to get a mortgage, say next year?

Most lenders will look for at least 2 years worth of accounts for self-employed borrowers. You may have some wriggle room if your deposit is very significant but I wouldn't count on it.

bri007

Thanks for the reply, yeah I had a feeling that may be the case!

We will just keep saving and see what happens.

Thanks again

Graham wrote: »

Most lenders will look for at least 2 years worth of accounts for self-employed borrowers. You may have some wriggle room if your deposit is very significant but I wouldn't count on it.

MerrionPippin

I have a few questions for anyone who has bought a new build, or is in the process.

We're targetting a house in the phase 2 launch of new development, but I've no idea how you go about getting one. Would REALLY appreciate any advice on the below!

(i) When you know the launch date, do you queue at the site or at the estate agent office? I've heard it's the site but that seems a bit weird, no?

(ii) If it's the site, are you queuing at one house in particular, or at the house you want to buy?

(iii) Do you get a chance to view the house before you put the deposit down?

(iv) If the house is 400k, do you need your full 40k deposit there and then? Or only a portion of it? If the latter, when do you pay the rest of the deposit?

(v) How does the first time buyers grant come into all of this? Realistically, are we going to be paying the 10% deposit ourselves with the 5% being refunded direct to the developer?

Sorry if some of these are silly questions, but there's a lack of resources at there for how it works and I'm worried I'm going to lose out.

Aph2016

Anyone at risk of their mortgage approval running out before their house has been completed? Specifically those with an exception?

Do you have a plan B?

Blingy

Aph2016 wrote: »

Anyone at risk of their mortgage approval running out before their house has been completed? Specifically those with an exception?

Do you have a plan B?

This is us. I'm actually very worried. We have approval with two banks and both will run out before house is ready. 6 months will be up at the beginning of sept house due to be ready at the end of sept. I must say I'm very worried.

purpleisafruit

Blingy wrote: »

This is us. I'm actually very worried. We have approval with two banks and both will run out before house is ready. 6 months will be up at the beginning of sept house due to be ready at the end of sept. I must say I'm very worried.

Have you contacted the bank to ask what happens in this scenario? I imagine it may just be a case of submitting new payslips as I'd be pretty sure they encounter this issue all the time with customers purchasing new builds

Blingy

purpleisafruit wrote: »

Have you contacted the bank to ask what happens in this scenario? I imagine it may just be a case of submitting new payslips as I'd be pretty sure they encounter this issue all the time with customers purchasing new builds

Yes have contacted both banks. One was quite sketchy about what they will need whereas the other just needs proof of savings and payslips.
Tried to start the process early but they won't entertain us until the 6 months are up. Nightmare

ams

(ii) If it's the site, are you queuing at one house in particular, or at the house you want to buy? Usually the showhouse

(iii) Do you get a chance to view the house before you put the deposit down? Usually it will be just the showhouse - your house might not be built yet

(iv) If the house is 400k, do you need your full 40k deposit there and then? Or only a portion of it? If the latter, when do you pay the rest of the deposit? Its usually about 5-8k - rest payable within about 21 days of signing the contract

(v) How does the first time buyers grant come into all of this? Realistically, are we going to be paying the 10% deposit ourselves with the 5% being refunded direct to the developer? I think this depends on timing - our mortgage broker advised we may have to pay the full 10% and then claim the refund. However our solicitor only asked us to transfer the net amount. Earlier in the year the bank wanted to see the full 10% in our accounts but this may have changed in the meantime as they didn't really know how to deal with HTB earlier in the year.

Glen_Quagmire

Someone might help me out here..

I am a couple of weeks away from applying for a mortgage and I am going as a single applicant on a salary of 60k.

Looking at houses around Dublin and commuter towns and the way property has gone it's slim pickings for someone like myself however we must truck on I suppose.

I don't know what the bank will offer me, I am hoping for an exemption to have any chance of something half decent so my question is, when applying for the mortgage, do you apply for the largest amount possible (that you can afford) then go house hunting and if the house is less than what you were approved for then that is the amount you actually withdraw from the bank?

Or how does it work?

GaGa21

Glen_Quagmire wrote:

I don't know what the bank will offer me, I am hoping for an exemption to have any chance of something half decent so my question is, when applying for the mortgage, do you apply for the largest amount possible (that you can afford) then go house hunting and if the house is less than what you were approved for then that is the amount you actually withdraw from the bank?

As far as I can tell, the main rule to stick with when looking is 3.5 time salary. There's very little flexibility with this no matter what the deposit.

Klonker

Glen_Quagmire wrote:

I don't know what the bank will offer me, I am hoping for an exemption to have any chance of something half decent so my question is, when applying for the mortgage, do you apply for the largest amount possible (that you can afford) then go house hunting and if the house is less than what you were approved for then that is the amount you actually withdraw from the bank?

Yep, get approval in principle for as much as you can and then look for places using that amount as your max. If you get a place cheaper then that amount will be what's on your actually mortgage application.

Hollister11

GaGa21 wrote: »

As far as I can tell, the main rule to stick with when looking is 3.5 time salary. There's very little flexibility with this no matter what the deposit.

Is it not 4.5 times your salary now.

Sarn

Hollister11 wrote: »

Is it not 4.5 times your salary now.

Nope, 3.5x is the default.

monaghanmissus

Hi, first time buyer here. Can anyone give me a rough estimate on how soon we'll get the keys after signing contracts and paying solicitor's bill?

Black_Knight

monaghanmissus wrote: »

Hi, first time buyer here. Can anyone give me a rough estimate on how soon we'll get the keys after signing contracts and paying solicitor's bill?

Depends. New build or 2nd hand? Does the owner have to source a new house for themselves? Has everyone signed the contracts? You sign first, and then the seller signs. You'd be putting a move in date on the contract, so between you and the seller. You'll need to know this in good time for setting up all your insurance and life cover etc.

We were lucky. The lady in our house was moving in with her kids, so she wasn't in a chain of people buying houses. We signed some time in early Feb, and moved in in early March.

Hollister11

Sarn wrote: »

Nope, 3.5x is the default.

I was 100% convinced the central bank changed the rules for 2017.

LirW

Hollister, no 4,5x is still only the exemption maximum that requires a high household income and a substantial deposit. Look for a change in rules at the end of this year, around November.

368100

IvoryTower wrote: »

you can use the site as your deposit but you still have to have the deposit saved to get your mortgage. So you get to keep what you saved. I'm just going on what the bank said when I rang them.

I'm in the middle of this and I didnt need to save 10% of the build cost.....bank is quite happy to take site as deposit and fund 100% of build cost. Now Of course I do need to show 6 months savings of at least the mortgage payment on a stress tested basis but that's not as much as 10%.

368100

368100 wrote: »

I'm in the middle of this and I didnt need to save 10% of the build cost.....bank is quite happy to take site as deposit and fund 100% of build cost. Now Of course I do need to show 6 months savings of at least the mortgage payment on a stress tested basis but that's not as much as 10%.

Out of curiosity, would it matter if the site was gifted to you?

368100

[Deleted User] wrote: »

Out of curiosity, would it matter if the site was gifted to you?

No....my site was gifted to me

IvoryTower

368100 wrote: »

IvoryTower wrote: »

you can use the site as your deposit but you still have to have the deposit saved to get your mortgage. So you get to keep what you saved. I'm just going on what the bank said when I rang them.

I'm in the middle of this and I didnt need to save 10% of the build cost.....bank is quite happy to take site as deposit and fund 100% of build cost. Now Of course I do need to show 6 months savings of at least the mortgage payment on a stress tested basis but that's not as much as 10%.

Which bank is it? I'm a few years away myself but my brother might be able to use this

Glen_Quagmire

LirW wrote:

Hollister, no 4,5x is still only the exemption maximum that requires a high household income and a substantial deposit. Look for a change in rules at the end of this year, around November.

Are the rules are changing again?

listermint

Glen_Quagmire wrote: »

Are the rules are changing again?

No they are not.

One poster got it entirely wrong. Put that to bed.

uberwolf

Hollister11 wrote: »

I was 100% convinced the central bank changed the rules for 2017.

they did change the rules. The 3.5 limit was not touched.

LirW wrote: »

Hollister, no 4,5x is still only the exemption maximum that requires a high household income and a substantial deposit. Look for a change in rules at the end of this year, around November.

there is no exemption maximum. There is also no stipulation as to how the banks may distribute the exemptions, albeit clearly a higher household income is more likely to result in an exemption

Glen_Quagmire wrote: »

Are the rules are changing again?

the central bank has committed to an annual review of the limits, so it is possible that the rules will change. Expectations are that this will not result in any changes of note this year.

listermint wrote: »

No they are not.

One poster got it entirely wrong. Put that to bed.

monaghanmissus

Black_Knight wrote: »

Depends. New build or 2nd hand? Does the owner have to source a new house for themselves? Has everyone signed the contracts? You sign first, and then the seller signs. You'd be putting a move in date on the contract, so between you and the seller. You'll need to know this in good time for setting up all your insurance and life cover etc.

We were lucky. The lady in our house was moving in with her kids, so she wasn't in a chain of people buying houses. We signed some time in early Feb, and moved in in early March.

2nd hand. As far as I'm aware the owner has retired and has a new house purchased. We have insurance and life cover sorted but still no movement.

Raoul

368100 wrote: »

No....my site was gifted to me

Will you still get the first time buyers grant? Or will you have to pay tax for having two homes?

368100

Raoul wrote: »

Will you still get the first time buyers grant? Or will you have to pay tax for having two homes?

I am eligible for the grant as long as my LTV is above 70%......I don't and won't have two homes so I don't know where you took that from...

368100

IvoryTower wrote: »

Which bank is it? I'm a few years away myself but my brother might be able to use this

I'll PM as not sure I should post if its against some charter....but my understanding would be that most operate this way