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

Jake2

Valeria Rich Somehow wrote: »

Hi all,

My husband and I have been saving for the last few months getting ready to apply for a mortgage in October. Today my husband got quite a large salary increase which was kind of unexpected and effective from this months paycheck. We still want to apply for the mortgage in October but this increase will really help us with how much we can borrow because we were going to be very tight anyway and it will make things a lot easier. My question is will the banks let us borrow based on his new salary now in October even though the increase is only from this month? He isnt on probation and it isnt conditional on anything its just his raise so it will be on his salary cert, just his payslips for 6 months wont reflect this. He will only only have 2 payslips saying that amount.

No you will be fine they might just say you need to have 3 payslips by the time you drawdown the mortgage which you will do. They will probably just list it as a condition for drawdown.

whatever76

hmmm Interesting ! wonder will other banks follow suit
http://www.independent.ie/business/personal-finance/how-customers-can-get-a-cash-reward-for-paying-the-mortgage-36067575.html

c6ysaphjvqw41k

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Jake2

Valeria Rich Somehow wrote: »

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Increasing the amount you save wont increase the amount you are offered for mortgage as that is based on your earnings.

But you will need to show in that 6 months you can afford the mortgage and pass the stress test. Obviously more savings also means you have your deposit sorted. They will be looking for your 10% deposit plus your legal fees etc they will want to see you have this amount in your savings account.

I would certainly save as much as you possibly can it will only benefit your application

TheShow

donkeyoaty0099 wrote: »

So nearly by accident we've been approved for a mortgage. Was kind of strange. My partner is on a fixed term contract so I figured it was pointless even applying. She is a bit stubborn so insisted on getting onto a broker, even after two flat out rejections from the banks. The broker spoke to haven, who have approved us for a nice chunk of change. Happy days I guess but I still don't really believe it ha.

I'll just stress that the contract is grand, it will definitely roll into another one indefinitely but the banks didn't seem to want to hear it. Strange how it works. Anyway, off viewing our first house this evening. Don't even know what to look for but sure we'll learn as we go.

what are the rates like on Haven, mind out for that as they could be a bit more expensive.

TheShow

Valeria Rich Somehow wrote: »

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Should be grand as long as you have a salary cert that confirms the current salary. probation period etc are not relevant as its the same employer and its just a salary increase.

TheShow

does anyone know, have all the banks stopped offering more than 80% as per the central bank rules exceptions, for non FTB's trading up?

angeldelight

TheShow wrote: »

what are the rates like on Haven, mind out for that as they could be a bit more expensive.

They're pretty competitive - Haven are the broker arm of EBS/AIB

Cuddlesworth

TheShow wrote: »

does anyone know, have all the banks stopped offering more than 80% as per the central bank rules exceptions, for non FTB's trading up?

They all burn through the exceptions at the start of the year but allegedly there are some for grabs towards the end of the year too.

Henrys Grimey Paws

Agreed to buy a new build house so we're now at the mortgage approval stage with KBC, we've applied for less than the amount stated in our approval in principle letter so I'm hoping that everything will be ok in that regard. Does anyone know usually how long it takes to get full approval, assuming all documents you've provided are up to date etc.?

Jake2

Henrys Grimey Paws wrote: »

Agreed to buy a new build house so we're now at the mortgage approval stage with KBC, we've applied for less than the amount stated in our approval in principle letter so I'm hoping that everything will be ok in that regard. Does anyone know usually how long it takes to get full approval, assuming all documents you've provided are up to date etc.?

Something like 5 to 10 days

Jake2

If drawdown happened today ( or supposed to happen) does the bank contact you to let you know its been processed? Or do I just wait for my solicitor to do so ?

Bored Accountant

Jake2 wrote: »

If drawdown happened today ( or supposed to happen) does the bank contact you to let you know its been processed? Or do I just wait for my solicitor to do so ?

Just have to wait for your solicitor.

heebusjeebus

Anyone know where is the best place to get quotes for repair work that will satisfy the bank?
Have a few items noted as needing urgent repair in the surveyors report and the bank need costings for these to ensure we can afford the repair work once we've moved in.

Jake2

Bored Accountant wrote: »

Just have to wait for your solicitor.

You were correct, my solicitor informed me he received funds today! Hurray, one step closer to the end of this process!!

Next step get the keys :eek: hopefully vendors are ready to close by Friday I still have to hand in notice on rented accommodation. They wont be pleased as Im not giving much notice but of course they will have my deposit so hopefully we wont fall out over it.

c6ysaphjvqw41k

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TheShow

heebusjeebus wrote: »

Anyone know where is the best place to get quotes for repair work that will satisfy the bank?
Have a few items noted as needing urgent repair in the surveyors report and the bank need costings for these to ensure we can afford the repair work once we've moved in.

any contractor that can provide you a quote on headed paper should suffice.

awec

Valeria Rich Somehow wrote: »

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I could be wrong, but I don't think they need to see the approval amount, just that you have been approved for a mortgage (and are not currently in the process of getting approval). Redact the letter to hide the amount.

They would assume that you are not going to buy a house which you blatantly cannot pay for, given that it would nothing other than a huge waste of your time and money.

What they want to avoid (I think) are people putting down deposits but who have not yet even got approval, as there's a decent chance these people will have to back out if approval isn't given.

Thepoet85

Hi Folks, have another couple of questions sorry!

Firstly, is there a minimum that a bank would be willing to lend regarding offering a mortgage. We are looking at a house that is valued at €150k and the mil wants to give us €100k towards it.

Secondly, if we are only looking for 50k of a mortgage, are there any banks/ building societies that would be able to offer a self employed person who earns 25k per year ( Live in a rural area, so can live comfortably on this) a mortgage for 50k.

I've spoken to BOI and they insisted that I need to earn 40k annually to qualify for a mortgage which seems odd.

Thanks in advance.

PS: It will be a joint application and my OH is a carer, so they don't seem interested in her salary. It has to be a joint application, so that the 100k is not subject to capital acquisition tax.

Jake2

Thepoet85 wrote: »

Hi Folks, have another couple of questions sorry!

Firstly, is there a minimum that a bank would be willing to lend regarding offering a mortgage. We are looking at a house that is valued at €150k and the mil wants to give us €100k towards it.

Secondly, if we are only looking for 50k of a mortgage, are there any banks/ building societies that would be able to offer a self employed person who earns 25k per year ( Live in a rural area, so can live comfortably on this) a mortgage for 50k.

I've spoken to BOI and they insisted that I need to earn 40k annually to qualify for a mortgage which seems odd.

Thanks in advance.

PS: It will be a joint application and my OH is a carer, so they don't seem interested in her salary. It has to be a joint application, so that the 100k is not subject to capital acquisition tax.

I think the minimum mortgage seems to be around the 75k mark and I'm not sure but I think you need to be earning around 35k to qualify for mortgage approval I suppose it depends on the lender . If you are applying as a joint applicant and your oh is not earning a wage or they won't take into account earnings they will expect you to cover your oh as a dependant which will reduce your repayment capacity. I'm not sure 25k earnings would pass for 2 people

Thepoet85

Jake2 wrote: »

I think the minimum mortgage seems to be around the 75k mark and I'm not sure but I think you need to be earning around 35k to qualify for mortgage approval I suppose it depends on the lender . If you are applying as a joint applicant and your oh is not earning a wage or they won't take into account earnings they will expect you to cover your oh as a dependant which will reduce your repayment capacity. I'm not sure 25k earnings would pass for 2 people

That's the worry I have. The other option is shorter term loans from a bank and Credit Union, but I'm not sure if I can do that or not. Will the bank/CU be willing to lend a personal loan towards buying a house?

Jake2

Thepoet85 wrote: »

That's the worry I have. The other option is shorter term loans from a bank and Credit Union, but I'm not sure if I can do that or not. Will the bank/CU be willing to lend a personal loan towards buying a house?

Now I could be wrong on the minimum amount they will lend, I have never enquired so dont take my word for it. Ive just seen that figure mentioned

Thepoet85

Jake2 wrote: »

Now I could be wrong on the minimum amount they will lend, I have never enquired so dont take my word for it. Ive just seen that figure mentioned

No problem, appreciate the advice

Jake2

Thepoet85 wrote: »

No problem, appreciate the advice

Its so difficult ! Talk to a mortgage broker I found them very useful they will let you know your options.

Im sure the Credit Union might be receptive but it would cost you alot more for a personal loan than a mortgage so first option should be getting a mortgage if its possible.

Juwwi

A mortgage broker could well be your best option , l wouldn't worry about the 75k minimum as you could give 75k deposit and then just pay 25k off the mortgage at a later time resulting in the 50k mortgage you wanted.

Jake2

Does anyone know if its possible to take out a personal loan directly after completion? A friend told me I have to wait 6 months, but can I go to Credit Union and borrow 5-10,000 ? My mortgage repayments are very low around the 500 mark so it seems a bit strange to me id have to wait

awec

Jake2 wrote: »

Does anyone know if its possible to take out a personal loan directly after completion? A friend told me I have to wait 6 months, but can I go to Credit Union and borrow 5-10,000 ? My mortgage repayments are very low around the 500 mark so it seems a bit strange to me id have to wait

There's no rule as far as I know, but I guess lenders might find it hard to do a credit check on you with your new address.

Bored Accountant

Jake2 wrote: »

Does anyone know if its possible to take out a personal loan directly after completion? A friend told me I have to wait 6 months, but can I go to Credit Union and borrow 5-10,000 ? My mortgage repayments are very low around the 500 mark so it seems a bit strange to me id have to wait

I took out a 3k loan from AIB about a month after getting mortgage and no issues.
I had looked at getting a loan from CU before I had drawn down mortgage, and was told just to wait till mortgage was drawn down to apply so wouldn't affect the mortgage application.

bigronnie9

Thepoet85 wrote: »

Hi Folks, have another couple of questions sorry!

Firstly, is there a minimum that a bank would be willing to lend regarding offering a mortgage. We are looking at a house that is valued at €150k and the mil wants to give us €100k towards it.

Secondly, if we are only looking for 50k of a mortgage, are there any banks/ building societies that would be able to offer a self employed person who earns 25k per year ( Live in a rural area, so can live comfortably on this) a mortgage for 50k.

I've spoken to BOI and they insisted that I need to earn 40k annually to qualify for a mortgage which seems odd.

Thanks in advance.

PS: It will be a joint application and my OH is a carer, so they don't seem interested in her salary. It has to be a joint application, so that the 100k is not subject to capital acquisition tax.

Maybe give Ulster Bank a shout, in their step by step mortgage guide booklet is says their minimum mortgage amount is €40,000

Thepoet85

bigronnie9 wrote: »

Maybe give Ulster Bank a shout, in their step by step mortgage guide booklet is says their minimum mortgage amount is €40,000

Thanks, I'm now waiting on a call back from a few different places including UB, so fingers crossed someone can work with us.