Topping up new mortgage?

stephentiger

I'm wondering if anyone can advise me.

My situations a little awkward.

I got my mortgage in December 2015 - so not that long ago. I had saved a fair amount most of which I put towards the deposit and the rest was used to renovate the property.

So, I went from having significant savings to basically nothing. In the interim I decided to change jobs. I haven't changed yet but am working my notice. My current job has a company car and my new job does not. I cannot survive without a car so I'll need to buy one. If I wait until I finish up in my current role (I know from my brothers experience) that I will struggle to get a loan as I will be on probation in my new job.

So I need to sort this out in the next 3 weeks! I'm confident a valuation would confirm I have good equity in the property. I'm guessing €65 - 70k which is more than double what I would need to borrow.

I'm just worried I'll get turned down straight because I haven't had the mortgage long and it's not with the bank I have my current account with.

Many thanks in advance

PaulM1977

The lender will need confirmation of your employment situation, so if you are changing jobs then they will give you the funds after you have completed your probation with your new employer.
That would be the main sticking point for you.
If you were staying in your current role, if you were looking for a top-up, some lenders don't have a specific period of time that you have to be paying your mortgage before you can get a top-up. If the work you have done to the property has increased the value of your home then you should have equity there to release, it would just depend how much.

How much do you want to borrow?
Could you make do with a banger for a while?

Have you considered credit union or dealer finance?

If you extend your mortgage you will still be paying for this car long after you have finished with it.

NewCorkLad

Your main problem would be, that banks at the moment are only allowing you to remortgage a property, for the purpose of doing work on the house, so they are unlikely to release funds to purchase a car.

fleet

You need a 30 grand car?

Would a second had cheaper one for 5-10 not do meantime?

The credit union would sort you out for that (usually after saving for a few months first).

ted1

Just get a cheap car. Where you paying BIK on the last one ?

Will you get mileage from work and will you do many miles?

_Brian

Top up on mortgage to buy a car is insaine.
Get yourself a banger and when probation is done in new job buy a better car then.

I really, really thought that with the death of the Celtic tiger that id never again hear of anyone buying a car through their mortgage.

stephentiger

Well, I thought maybe 25k for a modest used car, preferably still under warranty. That's roughly 1/4 of the value of the car I am driving now. Yes, I pay BIK currently and can easily afford up to maybe 600 a month in repayments for a car but I'm aware the bank won't give me a loan when I'm due to start a new job and will be on probation for 6 months to a year

Makood

You will get a decent car for well under 10k. Hold off on it until you are in a better position is my advice. 25-30k on a car after starting a new job is madness.

alibab

Don't be so sure you won't get a loan or hire purchase. I took out my mortgage in 2014 depleted my savings etc . I needed to trade in my old car as it was pre 2008 and costing me a packet in tax and petrol . I went in on the off chance really thinking they would tell me no chance but quite the opposite offered me more than I needed which obviously I didn't take . Once they heard I was a home owner etc and my statements were ok there was no issue approved in less than 24 hours

Trish56

Not a good idea to increase your mortgage to buy a car. You should have no problem getting motor finance from a garage on either your present or future employment.

stephentiger wrote: »

I'm wondering if anyone can advise me.

My situations a little awkward.

I got my mortgage in December 2015 - so not that long ago. I had saved a fair amount most of which I put towards the deposit and the rest was used to renovate the property.

So, I went from having significant savings to basically nothing. In the interim I decided to change jobs. I haven't changed yet but am working my notice. My current job has a company car and my new job does not. I cannot survive without a car so I'll need to buy one. If I wait until I finish up in my current role (I know from my brothers experience) that I will struggle to get a loan as I will be on probation in my new job.

So I need to sort this out in the next 3 weeks! I'm confident a valuation would confirm I have good equity in the property. I'm guessing €65 - 70k which is more than double what I would need to borrow.

I'm just worried I'll get turned down straight because I haven't had the mortgage long and it's not with the bank I have my current account with.

Many thanks in advance