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

heebusjeebus

Business Cat wrote: »

We had our place valued last night and we are going to be selling in the coming months and the agent that valued it said their rate is 1.25%, how does that compare to the market average?

I was quoted with 1.5% but talked them down to 1%.
When you include VAT though it will be 1.23%.

goofy141

We are paying 1% plus costs, depends on the value of the house I think

mloc123

Does anyone know what the limitations for bulk overpayments are with PTSB on a fixed rate loan? I have read their T&Cs online without learning this... before I phone them up I am checking here

TheShow

mloc123 wrote: »

Does anyone know what the limitations for bulk overpayments are with PTSB on a fixed rate loan? I have read their T&Cs online without learning this... before I phone them up I am checking here

AFAIK, no overpayments permitted on a fixed rate loan. You can only do that on variable rate loans.

ELM327

TheShow wrote: »

AFAIK, no overpayments permitted on a fixed rate loan. You can only do that on variable rate loans.

Incorrect.
Generally you can overpay a defined percentage for free. I believe it's 110% with BOI.
Above that you can overpay but there will be fees attached.

autumnbelle

No overpayment on ptsb fixed rate we were told the other day

Bargain_Hound

PTSB dont allow. BOI allow +10% overpayment without penalty on Fixed rates.

mloc123

That is disappointing, had assumed 10% like most others.

Sarn

Bargain_Hound wrote: »

PTSB dont allow. BOI allow +10% overpayment without penalty on Fixed rates.

BOI only allows a max overpayment of about €65 a month.

chrismon

Hi guys.
Really basic question which I feel stupid for asking.
If I want to buy a house valued at 225k as a first time buyer how much would I need as a deposit.

Is it 90% of the value of the house needed = 202.5k and I pay the rest = 22.5k deposit?

myshirt

chrismon wrote: »

Hi guys.
Really basic question which I feel stupid for asking.
If I want to buy a house valued at 225k as a first time buyer how much would I need as a deposit.

Is it 90% of the value of the house needed = 202.5k and I pay the rest = 22.5k deposit?

Yes, you pay 22.5k + stamp duty, legal fees, and other bits and pieces, call it 5-6k on top of the 22.5k.

Also, you need c. 60k of a household income to get a mortgage of 200k.

p.s No stupid questions around here. We are all here to share knowledge.

chrismon

myshirt wrote: »

Yes, you pay 22.5k + stamp duty, legal fees, and other bits and pieces, call it 5-6k on top of the 22.5k.

Also, you need c. 60k of a household income to get a mortgage of 200k.

p.s No stupid questions around here. We are all here to share knowledge.

Thanks very much, I was doubting myself.

Tipsy McSwagger

Who has the best interest rates at the moment? I read that PTSB cut theirs earlier this year but when you compare with other banks they seem to be the worst. Is 3.5% the average fixed rate at the moment?

myshirt

Tipsy McSwagger wrote: »

Who has the best interest rates at the moment? I read that PTSB cut theirs earlier this year but when you compare with other banks they seem to be the worst. Is 3.5% the average fixed rate at the moment?

Whays your scenario? First time buyer? Second time borrower?? How much of a deposit have you?

As a FTB, Bank of Ireland are probably the best in terms of rate, though be prepared to change in 5 years as they'll shaft you if you are complacent.

AIB are probably the best with all things considered. Their product is more flexible, standard rates the lowest, and they have a reputation of being 'nicer' to their customers. Only slightly more expensive per 100 grand than BOI.

Tipsy McSwagger

myshirt wrote: »

Whays your scenario? First time buyer? Second time borrower?? How much of a deposit have you?

As a FTB, Bank of Ireland are probably the best in terms of rate, though be prepared to change in 5 years as they'll shaft you if you are complacent.

AIB are probably the best with all things considered. Their product is more flexible, standard rates the lowest, and they have a reputation of being 'nicer' to their customers. Only slightly more expensive per 100 grand than BOI.

FTB, joint application. Have the full deposit on the type of property within our limits. We are waiting on AIP from PTSB which should come tomorrow but have been told it should be grand, was attracted by their 2% cashback offer.. I bank with AIB but haven't talked to them yet.

Sarn

We have gone with BOI with their 3% fixed, 2% cashback and €2k mortgage saver bonus (before DIRT).

xper

Sarn wrote: »

We have gone with BOI with their 3% fixed, 2% cashback and €2k mortgage saver bonus (before DIRT).

Just FYI, you my want to check the current terms and conditions of both the mortgage saver and cashback offers. They apparently cannot be combined.

More info

EDIT: Whoops, looks like that thread has been updated and BoI have removed the condition preventing you taking up both offers.

Very good deal now as long as you remember to review whether to switch mortgage provider when your fixed term ends.


The cashback offer is currently due to expire at the end of June but it would be a surprise if they don't extend it as they have done multiple times.

Apocalypticism

I earn 32,000E per Year before tax, and would like to get mortgage for apartment costing 179,000. I hear about the 3.5 times salary rule which means I could get 112,000, if I saved the rest (67k) would a bank consider giving me loan of 112 with my input of 67k?

I can save 1500 euro per month living with my parents but I have to commute 4 hours in total every day which kills me! And renting is dead money to me and sharing is not something I would like to do xD

flashforward

Apocalypticism wrote: »

I earn 32,000E per Year before tax, and would like to get mortgage for apartment costing 179,000. I hear about the 3.5 times salary rule which means I could get 112,000, if I saved the rest (67k) would a bank consider giving me loan of 112 with my input of 67k?

I can save 1500 euro per month living with my parents but I have to commute 4 hours in total every day which kills me! And renting is dead money to me and sharing is not something I would like to do xD

Yes the banks will have no problem if you have €67k saved.

Keep in mind - its going to take you almost 4 years to save the €67k, alot can change in 4 years. Its very possible you will no longer want the apartment.

Some questions you need to ask yourself:
Can you get gifted the any of the deposit from family?
What are the possibilities of salary increases in the near future?
What is the possibility of you meeting someone in the near future and going into a joint mortgage with your partner?

€1500 a month is good savings but a 4 hour commute is not sustainable. I'd only consider it if I was close to the deposit needed so I would only have to do it for a handful of months.

AprilMayJune

Hello new to this thread and just at the beginning of applying for mortgages. Our situation is We bought our home in 2007 so we lost a large amount. We are just getting over the hump of negative equity. We had saved 20% originally for our first home but obviously this has been wiped out. It's been very stressful as work and schools etc are in the area which we want to move to.

We currently owe 195K and our type houses are currently getting 225K (We paid 330K) . The house we would need to buy would be approx 330K so a 10% deposit would be 33K and a 20% deposit 66K so we really need a mortgage exemption. We would have approx 30K from the sale of our house and have saved the rest to cover stamp duty, estate agents, solicitor and the extra 3k for deposit. We are on a tracker mortgage so ideally would like to go with tracker retention. We would be borrrowing approx 3.1 times our current salaries (both civil servants with increments to come).

Can anybody help us with the affordability rates for the various banks? Is it 2100 or 2700 for a couple who need an exemption? Anyone heard of any other rates. I know its this plus 250 per child +any loans + the new stressed mortgage.

Thanks!

purpleisafruit

AprilMayJune wrote: »

Hello new to this thread and just at the beginning of applying for mortgages. Our situation is We bought our home in 2007 so we lost a large amount. We are just getting over the hump of negative equity. We had saved 20% originally for our first home but obviously this has been wiped out. It's been very stressful as work and schools etc are in the area which we want to move to.

We currently owe 195K and our type houses are currently getting 225K (We paid 330K) . The house we would need to buy would be approx 330K so a 10% deposit would be 33K and a 20% deposit 66K so we really need a mortgage exemption. We would have approx 30K from the sale of our house and have saved the rest to cover stamp duty, estate agents, solicitor and the extra 3k for deposit. We are on a tracker mortgage so ideally would like to go with tracker retention. We would be borrrowing approx 3.1 times our current salaries (both civil servants with increments to come).

Can anybody help us with the affordability rates for the various banks? Is it 2100 or 2700 for a couple who need an exemption? Anyone heard of any other rates. I know its this plus 250 per child +any loans + the new stressed mortgage.

Thanks!

AIB are 2050 per couple + 250 per child from my conversations with them. 2700 was the exemption number I was told

Hector Savage

I just heard on the radio about AIB wanting social media details for mortgage applicants ?
And it seems mandatory - what happens if you don't use social media ?

skywayavenue

purpleisafruit wrote: »

AIB are 2050 per couple + 250 per child from my conversations with them. 2700 was the exemption number I was told

Think the exemption figure has increased to 3850 in the last month or so. So we were told anyway

purpleisafruit

skywayavenue wrote: »

Think the exemption figure has increased to 3850 in the last month or so. So we were told anyway

Wow, that's a scary number. Another 25k income before tax.

skywayavenue

purpleisafruit wrote: »

Wow, that's a scary number. Another 25k income before tax.

Think it's only because they are pulling back on the exceptions they're giving for the moment. Still a mad number all the same!

zl1whqvjs75cdy

Is that affordability number after you pay your mortgage? So if I have a mortgage of 1000, and earn 6000 between two people you're sorted?

AprilMayJune

skywayavenue wrote: »

Think the exemption figure has increased to 3850 in the last month or so. So we were told anyway

Wow that's a big increase! Getting so difficult isn't it. The increase in my mortgage would be 300 p/m and I save 800-1000 per month so practically I know I can afford the change but the affordability with the exemption looks like I won't quite make the cut.

I can understand that they are being more stringent but having never missed a payment and being in steady employment for 13 years I've saved and had my deposit before and lost so much money its so heartbreaking. The 20% for second time buyer in my situation is a hard pill to swallow.

purpleisafruit

donkeyoaty0099 wrote: »

Is that affordability number after you pay your mortgage? So if I have a mortgage of 1000, and earn 6000 between two people you're sorted?

So affordability is calculated by AIB for normal mortgage as:
- 2050 for a couple
- 250 per child
- Any outstanding loans
- Creche costs for children

Whatever is left over is the total for mortgage, this figure then gets stress tested at 2-3% higher than the current rate. If you can still afford it, you should be fine.

keane2097

chrismon wrote: »

Thanks very much, I was doubting myself.

Just bear in mind that you will probably need to actually have the stamp duty and solicitor's fee saved/in your account before the bank will formally sign off on your approval. They said they would need to confirm we had that extra available on top of the deposit when we were going through it at the time.

LoonyLovegood

I'm starting the mortgage saving process now, and I'm honestly terrified of it. I've got an appointment in the bank to start working out what I should be saving, but does anyone have any advice on starting out? I'm on a 30k salary with decent prospects for upward growth, and I know I'm going to be saving for at least two years, probably three. I'm also in my mid 20s, so shouldn't have an issue with a 30/35 year mortgage. Any suggestions or what you'd do differently if you were starting out again would be much appreciated!