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

Bubbaclaus

How do banks feel about investments? I've been putting around 20% of my savings into shares. Just wondering will this be looked at negatively when it comes to applying for a mortgage. I already have enough saved for a deposit, so its not like I'm messing around with the money I'm saving for the house.

Gavin "shels"

skywayavenue wrote: »

They didn't for us. We were paying 400- not a huge amount but still. Had a standing order set up but they said payments to parents didnt count, that they could be handing it back to us in cash...

Question answered :pac:

wardides

Somebody might have an answer on the below, as I can't seem to find anything online.

Got AIP from KBC a couple of weeks back. They requested a couple more bits such as booking deposit receipt (we are purchasing a new build property from plan) which we provided and they've said for us to expect loan offer package this coming Tue or Wed. Once we review this with our solicitor and, all going well, sign, I assume that is mortgage sorted and can look to sign contracts for the house?

Our main worry is understanding when to drawdown? Do you drawdown once contracts are signed? Do you wait until we are ready to move in? Big issue is we are currently renting at the moment so couldn't afford rent & Mortgage payment obviously. New house will be ready in March according to estate agent, so let's say May/June. If we sign for loan offer at end of Oct that will 8 months to June for example, will the loan agreement expire as we have not started to pay back?

Creamy Goodness

wardides wrote: »

Somebody might have an answer on the below, as I can't seem to find anything online.

Got AIP from KBC a couple of weeks back. They requested a couple more bits such as booking deposit receipt (we are purchasing a new build property from plan) which we provided and they've said for us to expect loan offer package this coming Tue or Wed. Once we review this with our solicitor and, all going well, sign, I assume that is mortgage sorted and can look to sign contracts for the house?

Our main worry is understanding when to drawdown? Do you drawdown once contracts are signed? Do you wait until we are ready to move in? Big issue is we are currently renting at the moment so couldn't afford rent & Mortgage payment obviously. New house will be ready in March according to estate agent, so let's say May/June. If we sign for loan offer at end of Oct that will 8 months to June for example, will the loan agreement expire as we have not started to pay back?

You won't be able to drawdown until you have the following:

1. valuation report from the bank about the property (usually done when the building is complete).
2. Home insurance for said property
3. Mortgage protection to cover payments in the case of death/serious illness etc.

usually you'll pay 10% deposit at contract signing stage (this can include your booking deposit) and builder's solicitors will want to see a loan offer at this stage. Loan agreements usually last for 6 months so you may have to re-apply in the new year.

TheShow

Bubbaclaus wrote: »

How do banks feel about investments? I've been putting around 20% of my savings into shares. Just wondering will this be looked at negatively when it comes to applying for a mortgage. I already have enough saved for a deposit, so its not like I'm messing around with the money I'm saving for the house.

Shouldn’t be a problem unless any investments have cashcalls coming up.

Frank Castle

wardides wrote: »

Somebody might have an answer on the below, as I can't seem to find anything online.

Got AIP from KBC a couple of weeks back. They requested a couple more bits such as booking deposit receipt (we are purchasing a new build property from plan) which we provided and they've said for us to expect loan offer package this coming Tue or Wed. Once we review this with our solicitor and, all going well, sign, I assume that is mortgage sorted and can look to sign contracts for the house?

Our main worry is understanding when to drawdown? Do you drawdown once contracts are signed? Do you wait until we are ready to move in? Big issue is we are currently renting at the moment so couldn't afford rent & Mortgage payment obviously. New house will be ready in March according to estate agent, so let's say May/June. If we sign for loan offer at end of Oct that will 8 months to June for example, will the loan agreement expire as we have not started to pay back?

Your solicitor will guide you through all of this and keep you on track.

You firstly pay the booking deposit, then go through the motions with your solicitor on the loan offer.

The loan offer itself will have conditions attached, such as valuation, mortgage protection, house insurance etc. All of this will be in the loan offer package and your solicitor will go through these conditions with you.

You solicitor will also need to assess the contracts from the vendor, there will be various items in these contracts that will need to be looked at to ensure it satisfies both the banks requirements and your own.

If you are happy to proceed to signing contracts you then have 14 days to pay your 10% deposit. (potentially longer depending on circumstances). this 10% is minus your booking deposit and help to buy if you are using that.
e.g. 200k house = deposit of 20k. booking fee of 5k. means you owe an additional 15k to make up the 10% deposit. (if you use help to buy this further reduces that 15k amount).

You will then proceed with the completion of the house, final fixes etc.
You will also need to have an engineer survey and have snagging done.
Once these are complete and you satisfy the banks loan offer requirements, you then proceed to closing. This is the point where your solicitor will contact the back for drawdown (you do not need to do it yourself). The house will be yours and you will get the keys. your first mortgage payment will be 1 month after this.

Just remember you need to have your solicitor fees and additional fees for items such as searches and stamp duty. This came to around 3300 on top of the solicitor fees for myself. And you need to have this before closing.

Again your solicitor will guide you through everything.

Edit: Loan offers usually last for 6 months, and can be extended beyond that. although the bank may do another statement check to ensure there have been no changes to your circumstances. Provided you keep everything in order there should be no issue extending the loan offer

Bargain_Hound

How long typically does BOI take to release funds to close sale? My solicitor requested / started the funds process Friday, curious how long to expect. Been a long 10 months waiting!

amcalester

Bargain_Hound wrote: »

How long typically does BOI take to release funds to close sale? My solicitor requested / started the funds process Friday, curious how long to expect. Been a long 10 months waiting!

In my case my solicitor sent the request on Wednesday, BOI received it on Thursday and then emailed me Thursday evening to say docs were missing.

Friday was spent getting BOI to find these docs that had been hand delivered to a branch and then funds were sent on Monday, arrived on Tuesday.

I'd ring and ask if the payment is going ahead, otherwise it can drag on and on.

Bargain_Hound

The only doc that was missing was the homebond certificate. That was forwarded to bank today. Sounds like we might be close now.

ArtyC

Bargain_Hound wrote: »

How long typically does BOI take to release funds to close sale? My solicitor requested / started the funds process Friday, curious how long to expect. Been a long 10 months waiting!

Only took about 2 working days for them for me last month

amcalester

Bargain_Hound wrote: »

The only doc that was missing was the homebond certificate. That was forwarded to bank today. Sounds like we might be close now.

Sounds like it, from experience BOI seemed to take 2 days from documents received to actioning these documents. So if you're in a rush I'd ring BOI and ask them to check all is in order.

Does anyone have experience with a "letter of comfort" in the mortgage application process to bypass a jobs probationary period?

My mortgage advisor is confident he can get us over the line with this letter and get us approved, I'm just nervous as we have been let down before

My OH is in a 12 month probation period because she is in a government job

chrismon

Anyone sign up for Sherry Fitz new service as a buyer?
Do you have to upload your approval before you can see offers on houses?

dudara

chrismon wrote: »

Anyone sign up for Sherry Fitz new service as a buyer?
Do you have to upload your approval before you can see offers on houses?

Honestly, I’ll never engage with SherryFitz again if I have a choice. They annoyed the sh*t out of me during our house search with their follow ups and emails.

chrismon

dudara wrote: »

Honestly, I’ll never engage with SherryFitz again if I have a choice. They annoyed the sh*t out of me during our house search with their follow ups and emails.

Can you be a bit more specific?
Looking to buy at the moment and all these auctioneers seem like vampires.

dudara

It’s like I said. Every time we viewed, there were follow up emails and phone calls to see if we were interested. I got sick of it. Plus, they do seem to price their properties higher.

I ge really found the smaller agencies to be more straightforward to deal with.

Bargain_Hound

Re: SherryFitz, we were interested in one of their properties and placed a few offers on the table with them. Once we notified them we were no longer interested, the calls stopped. During the time we were still interested and bidding on the property they followed up to see where we stood anytime other bids came in against ours. The positive to this is at least we knew where we stood at all times. We found hearing no feedback after bidding / viewing properties far worse with other agents. We waited weeks in some case before having to chase the agents for an update.

My opinion still stands regarding Agents - I'm not too fond and take everything they say with a pinch of salt. They're only in it for one reason.

Naos

Does anyone have experience with applying for a mortgage when a large % of your salary was bonus (sales job)?

Eg. 30k base + 15k bonus

Naos

Does anyone have experience with applying for a mortgage when a large % of your salary was bonus (sales job)?

Eg. 30k base + 15k bonus

Michellenman

Naos wrote: »

Does anyone have experience with applying for a mortgage when a large % of your salary was bonus (sales job)?

Eg. 30k base + 15k bonus

Approx 20% of income was bonus related for us. We Needed to show that the bonus amount was consistent for at least three years and then Ulster bank averaged the 3 years amounts and would take 50% of the average in to consideration and added to the base salary when calculating the loan amount. Once we were sale agreed on a property they actually took more in to consideration for some reason and upped how much they would allow us to borrow but we decided against taking it as we had the savings to cover the difference.

Creamy Goodness

With regards to Sherry Fitz, I found them great to deal with. I'll state that it was the New Homes branch and our estate pretty much sold out of the phases without them having to do much chasing. I could definitely see this not being the case for single sales though


In other news I got my keys today, I'm glad this whole process is over but huge thank you to the regulars in this thread, you've have been a massive help this past 6-12 months .

RebelScorned

Just wondering generally how long did it take folks to get the keys after signing contracts? Vendor's solicitor has not provided closing date yet, we are due to go to our solicitor's office to sign contracts next week.

Glen_Quagmire

Signed contracts with BOI and builder recently and waiting for the house to be built around Spring 2019.

BOI have rang me asking me to complete and return the below forms. Is this normal at this stage or are these typical only required closer to draw down stage?

1. Notice of Interest of Cessation of Interest in Fire Policy
2. Deed of Assignment of Life Policy
3. SEPA Direct Debit Mandate

dudara

RebelScorned wrote: »

Just wondering generally how long did it take folks to get the keys after signing contracts? Vendor's solicitor has not provided closing date yet, we are due to go to our solicitor's office to sign contracts next week.

It’s generally 3 weeks from when both parties have signed contracts.

purpleisafruit

Glen_Quagmire wrote: »

Signed contracts with BOI and builder recently and waiting for the house to be built around Spring 2019.

BOI have rang me asking me to complete and return the below forms. Is this normal at this stage or are these typical only required closer to draw down stage?

1. Notice of Interest of Cessation of Interest in Fire Policy
2. Deed of Assignment of Life Policy
3. SEPA Direct Debit Mandate

These will all be done closer to draw down date. I'm at this point with my own new build. DD mandate can go in now as they won't do anything with it until after drawdown.
The other things should be submitted around 2 weeks before draw down.
Notice of cessation is related to home insurance and Deed of Assignment is for Mortgage Protection/Life Insurance

Bargain_Hound

Bargain_Hound wrote: »

The only doc that was missing was the homebond certificate. That was forwarded to bank today. Sounds like we might be close now.

Can't believe I am finally writing this. The funds came in yesterday and we are closing our sale today.
Can't believe it has come true after years of saving, planning and after nearly 10 months waiting for a new build to complete.
Thanks to everybody in this thread for the help, hints and guidance.
Feeling both relieved and excited!

TheShow

Bargain_Hound wrote: »

Can't believe I am finally writing this. The funds came in yesterday and we are closing our sale today.
Can't believe it has come true after years of saving, planning and after nearly 10 months waiting for a new build to complete.
Thanks to everybody in this thread for the help, hints and guidance.
Feeling both relieved and excited!

congrats!

TheShow

Creamy Goodness wrote: »

In other news I got my keys today, I'm glad this whole process is over but huge thank you to the regulars in this thread, you've have been a massive help this past 6-12 months .

Congrats

purpleisafruit

Bargain_Hound wrote: »

Can't believe I am finally writing this. The funds came in yesterday and we are closing our sale today.
Can't believe it has come true after years of saving, planning and after nearly 10 months waiting for a new build to complete.
Thanks to everybody in this thread for the help, hints and guidance.
Feeling both relieved and excited!

Due to close next week and everything is ready for the bank except effin Homebond :mad:

GingerLily

purpleisafruit wrote: »

Due to close next week and everything is ready for the bank except effin Homebond :mad:

That delayed us too, very frustrating!