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FTB

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  • 16-03-2016 9:26am
    #1
    qm1bv4p8i92aoj
    Closed Accounts Posts: 838 ✭✭✭


    Hi,

    Just a quick question.
    If my wife buys a house this year as a FTB in her name and say 5 years from now we sell that and go to buy a new house will I still be able to avail of the FTB 10% deposit required for the first 220,000 euro?
    Thanks in advance.


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    #2
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,688 Mod ✭✭✭✭Stheno


    Jonathan Drab Sheepskin wrote: »
    Hi,

    Just a quick question.
    If my wife buys a house this year as a FTB in her name and say 5 years from now we sell that and go to buy a new house will I still be able to avail of the FTB 10% deposit required for the first 220,000 euro?
    Thanks in advance.

    No as she will not be a ftb


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    #3
    qm1bv4p8i92aoj
    Closed Accounts Posts: 838 ✭✭✭qm1bv4p8i92aoj


    Stheno wrote: »
    No as she will not be a ftb

    Even though I would be?


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    #4
    Butters1979
    Registered Users Posts: 1,164 ✭✭✭Butters1979


    2 things.

    First, if your wife goes for a mortgage the bank will insist on a joint application as you are married. So she would not be able to go FTB in just her name.
    Second, even if before you were married your wife bought, you could not get FTB status. If either partner has bought in the past than the couple are not treated as FTB's.

    The point of the FTB system is the help people get on the property ladder. If either of you bought before, you are already on it.


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    #5
    Sleepy
    Registered Users Posts: 24,249 ✭✭✭✭Sleepy


    Once you're married, all applications have to be in both names so you can't simply apply in your own names each time.


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    #6
    qm1bv4p8i92aoj
    Closed Accounts Posts: 838 ✭✭✭qm1bv4p8i92aoj


    Thanks guys.


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    #7
    PhoenixParker
    Registered Users Posts: 2,677 ✭✭✭PhoenixParker


    A few things.

    The current relevant definition of an FTB is not someone who has previously bought a house but someone who has previously drawn down a mortgage. That is subject to change so to be used if applicable with caution, but if your wife were in a position to buy a house outright (for instance through an inheritance) then neither of you would lose your FTB status.

    Second, while the difference between a 10% and 20% sounds huge, the 220k threshold means the maximum difference in a first time buyer deposit vs a second time buyer deposit is 22k.

    I think a lot of people hear 10% vs 20% and think that for say a typical E350K house a FTB needs a E35K deposit and a second time buyer needs E70K but the reality is the FTB needs E48K, which very much closes the gap.

    If you were to buy a property together and pay it off at a reasonable rate you will have E22K paid off in 5 years no problem. Obviously you're still going to incur purchase & selling costs as well as exposing yourself to risk in the property market so that's to be used with caution but the difference is not so overwhelming as people seem to think.


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    #8
    qm1bv4p8i92aoj
    Closed Accounts Posts: 838 ✭✭✭qm1bv4p8i92aoj


    PhoenixParker wrote: »
    A few things.

    The current relevant definition of an FTB is not someone who has previously bought a house but someone who has previously drawn down a mortgage. That is subject to change so to be used if applicable with caution, but if your wife were in a position to buy a house outright (for instance through an inheritance) then neither of you would lose your FTB status.

    Second, while the difference between a 10% and 20% sounds huge, the 220k threshold means the maximum difference in a first time buyer deposit vs a second time buyer deposit is 22k.

    I think a lot of people hear 10% vs 20% and think that for say a typical E350K house a FTB needs a E35K deposit and a second time buyer needs E70K but the reality is the FTB needs E48K, which very much closes the gap.

    If you were to buy a property together and pay it off at a reasonable rate you will have E22K paid off in 5 years no problem. Obviously you're still going to incur purchase & selling costs as well as exposing yourself to risk in the property market so that's to be used with caution but the difference is not so overwhelming as people seem to think.

    Thanks PP.


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