Need mortgage!

Mrs OBumble

No bank is going to lend to you for a one bedroom in your situation. No matter how you ask them.


As regards not wanting government help: I bet you are getting child benefit , and you should be getting FIS too. When you send your kid to school, the government will pay most of the bill.

Etc. You are already getting government help.

StupidLikeAFox

Rock123 wrote: »

with portarlington i have direct connectivity to st. james and luas that's why we were thinking about it...there are some cheap houses in and around portarlington but they are also around 125-140k range...i can even go for them if i get mortgage.

i know one bed will be tight but we will manage somehow....

If you are happy with this line of thinking don't neglect the other towns on train lines to Heuston

Here is a quick search including some Kildare towns, which have a train line - you should be able to find a two bed easy enough without a mortgage for 75k, you could potentially buy a house if you upped it to 100k

http://www.daft.ie/kildare/houses-for-sale/athy,kildare,monasterevin,naas/?s%5Bmxp%5D=100000&s%5Badvanced%5D=1&s%5Bsort_by%5D=price&s%5Bsort_type%5D=d&searchSource=sale

Rock123

Mrs OBumble wrote: »

No bank is going to lend to you for a one bedroom in your situation. No matter how you ask them.


As regards not wanting government help: I bet you are getting child benefit , and you should be getting FIS too. When you send your kid to school, the government will pay most of the bill.

Etc. You are already getting government help.

@ Mrs OBumble - yes you are right i am getting child benefit....and i will look into FIS......but to have a home itself is always better...u never know when the rules are going to change...and me being a person have never ever claimed a red cent in my life...

listermint

Rock123 wrote: »

with portarlington i have direct connectivity to st. james and luas that's why we were thinking about it...there are some cheap houses in and around portarlington but they are also around 125-140k range...i can even go for them if i get mortgage.

i know one bed will be tight but we will manage somehow....

doesnt the train also go to portlaoise.

Im not sure how portarlington has access to the Luas.

edanto

I think you're doing well already running a household on that income; clearly you have a lot on your plate, and hopefully your wife will get better soon.

I don't think a mortgage is the right answer for you at the moment; for all the reasons above.

Getting a higher salary is a higher priority. Depending on your career; are there any training courses you could do that would lead towards a new job/higher salary? It might mean dipping into your savings to take some time off work, or to pay for training/exam.

Talk to your boss about the need to earn more, and find out what options there might be in your existing job to progress.

You should ABSOLUTELY apply for FIS and a local housing list, and anything else your family might be able to claim. Your hard working family is exactly the sort that deserves that support.

Rock123

edanto wrote: »

I think you're doing well already running a household on that income; clearly you have a lot on your plate, and hopefully your wife will get better soon.

I don't think a mortgage is the right answer for you at the moment; for all the reasons above.

Getting a higher salary is a higher priority. Depending on your career; are there any training courses you could do that would lead towards a new job/higher salary? It might mean dipping into your savings to take some time off work, or to pay for training/exam.

Talk to your boss about the need to earn more, and find out what options there might be in your existing job to progress.

You should ABSOLUTELY apply for FIS and a local housing list, and anything else your family might be able to claim. Your hard working family is exactly the sort that deserves that support.

thanks

pilly

Am I missing something here. If you only want to borrow 80k are the rules not 3.5 times your income?

Stheno

I was attempting to be helpful and went to look up how to apply for FIS for the OP.

The maximum you can earn with one child to qualify for FIS is 511 per week

So if OP has a P60 showing 30k including the guaranteed extra income, unfortunately he will not qualify as that's above the 511 limit.

http://www.citizensinformation.ie/en/social_welfare/social_welfare_payments/social_welfare_payments_to_families_and_children/family_income_supplement.html

Michael D Not Higgins

pilly wrote: »

Am I missing something here. If you only want to borrow 80k are the rules not 3.5 times your income?

Banks also have underwriting and won't lend 3.5 times income to a low single income family with a child.

pilly

Stheno wrote: »

I was attempting to be helpful and went to look up how to apply for FIS for the OP.

The maximum you can earn with one child to qualify for FIS is 511 per week

So if OP has a P60 showing 30k including the guaranteed extra income, unfortunately he will not qualify as that's above the 511 limit.

Is that not a net figure quoted for FIS though Stheno?

Stheno

pilly wrote: »

Am I missing something here. If you only want to borrow 80k are the rules not 3.5 times your income?

Yes but the banks also look at your financial commitments, for a family with one child the would want to see that they can afford the mortgage, and calculate other living expenses which is usually around 2-2.3k per month which would be most of the ops earnings, which mean it would show him unable to pay a mortgage, unless a bank were to factor in the rent that would no longer be paid.

edanto

I believe the 511 limit applies to income after tax. OP is probably using/entitled to wife's tax credits, so probably has take home of about 485 per week. I think the FIS would be worth about €20/week; and come next school year an additional €300; so essentially a pay rise of €1,800 per yr or so. Well worth filling out the forms.

pilly

Stheno wrote: »

Yes but the banks also look at your financial commitments, for a family with one child the would want to see that they can afford the mortgage, and calculate other living expenses which is usually around 2-2.3k per month which would be most of the ops earnings, which mean it would show him unable to pay a mortgage, unless a bank were to factor in the rent that would no longer be paid.

Seems very unfair when he's currently managing 1500 per month rent.

Stheno

pilly wrote: »

Is that not a net figure quoted for FIS though Stheno?

edanto wrote: »

I believe the 511 limit applies to income after tax. OP is probably using/entitled to wife's tax credits, so probably has take home of about 485 per week. I think the FIS would be worth about €20/week; and come next school year an additional €300; so essentially a pay rise of €1,800 per yr or so. Well worth filling out the forms.

Ye are right, I didn't spot that it's after tax.

Well worth applying so.

pilly

It's also worth getting on the housing list either way for a couple of reasons:

1. You may qualify for HAP
2. If god forbid anything were to happen with your job you would definitely qualify for HAP

Mrs OBumble

pilly wrote: »

Seems very unfair when he's currently managing 1500 per month rent.

Its actually for his own good: he cannot afford to keep a house maintained and insured on the current salary.

Rock123

thanks a lot to all of you people...

all of you were very nice...

i will take all the advise....and move on...and keep on trying with banks...

Ayuntamiento

GoneHome wrote: »

You would wonder about the merits of "saving" €70,000 in these circumstances

<mod snip: report don't retort>

OP, Is there any possibility that you could take out a large credit union loan to fund a purchase on top of your savings? I know somebody who did this recently. It was easier than getting a mortgage.

Mortgages also require life insurance protection. Your wife being ill could complicate this process for you. It's something to keep in mind.

Alkers

Woukd you be able to rent a place for cheaper in one of the areas where you're hoping to buy for 150k? Where are you renting currently? Have you any family here?

GoneHome

The point I was making was that the OP stated in an earlier post that he was living "hand to mouth", which doesn't make sense if he has €70,000 stashed away in savings. No one should be under that much pressure living day to day while at the same time having substantial savings.

Yourself isit

GoneHome wrote: »

The point I was making was that the OP stated in an earlier post that he was living "hand to mouth", which doesn't make sense if he has €70,000 stashed away in savings. No one should be under that much pressure living day to day while at the same time having substantial savings.

Maybe he doesn't want to eat into the savings?

Yourself isit

Mrs OBumble wrote: »

Its actually for his own good: he cannot afford to keep a house maintained and insured on the current salary.

It's a fairly blunt tool. Repayments on a 30y mortgage for 80k would be about 500 a month. Saving him 1k. Assuming that adults need to spend 2k per month for a couple is fairly arbitrary. On a higher income we spend nothing like that.

On the other hand the 250 per child is probably a massive underestimate

Sunny Dayz

Rock123 wrote: »

we worked in Australia and that's how we saved this much...now moved backed to Ireland in march...

I wonder is this why the banks are saying no. You only moved back to the country in March of this year. Have you passed your probation in work? Are you permanent? In the job you are in, is there much scope for promotion, pay rises etc.


Also I wouldn't go by the online mortgage calculators. When we did that it was saying we could borrow approx €200k, but when we applied for a mortgage the max we could get was €150k.

daheff

listermint wrote: »

doesnt the train also go to portlaoise.

Im not sure how portarlington has access to the Luas.

train goes to Heuston...Luas connects at Heuston. But I think it would be madness to move that far out...commuting that far can be a big issue (timewise costs etc)...not to mention if your wife is sick and needs looking after at all....and what about when the child goes to school...how would you do that if you are leaving for work at 6.30am and school starts at 9?

Yourself isit wrote: »

On the other hand the 250k per child is probably a massive underestimate

As I understand it, that figure is after child allowance is taken into consideration



also dont buy a 1 bed....it will be a disaster. You wont have enough room for your family. you realistically need a 2/3 bed apt at a minimum.

_Kaiser_

daheff wrote: »

train goes to Heuston...Luas connects at Heuston. But I think it would be madness to move that far out...commuting that far can be a big issue (timewise costs etc)...not to mention if your wife is sick and needs looking after at all....and what about when the child goes to school...how would you do that if you are leaving for work at 6.30am and school starts at 9?

IMO it only works if you have flexible start/finish times and a car. I do a similar commute and it takes me about an hour most days. But then I don't normally start till about 10 and leave the office after 6 to miss the worst of the traffic on the return leg.

It's not cheap though.. houses/rents are significantly less yes, but diesel costs plus extra wear and tear on the car (things like tyres needed more frequently, extra servicing costs etc) are NOT cheap - but better/faster than public transport unless you are only travelling directly from A to B on whatever route/train you take.

listermint

_Kaiser_ wrote: »

IMO it only works if you have flexible start/finish times and a car. I do a similar commute and it takes me about an hour most days. But then I don't normally start till about 10 and leave the office after 6 to miss the worst of the traffic on the return leg.

It's not cheap though.. houses/rents are significantly less yes, but diesel costs plus extra wear and tear on the car (things like tyres needed more frequently, extra servicing costs etc) are NOT cheap - but better/faster than public transport unless you are only travelling directly from A to B on whatever route/train you take.

Motorbike for the win 70MPG

edanto

Simona1986 wrote: »

Woukd you be able to rent a place for cheaper in one of the areas where you're hoping to buy for 150k? Where are you renting currently? Have you any family here?

Other than saving money, there is a second very good reason to rent for a year in the place that you might want to buy. What if you hate living there, or if the location makes your life very difficult?

My advice; focus on increasing salary. Move to the area that you may want to buy in. See how that goes.

edanto

edanto wrote: »

My advice; focus on increasing salary. Move to the area that you may want to buy in. See how that goes.

Exactly. If you're prepared to live permanently in somewhere like Portarlington, why wouldn't you move there temporarily and pay half the rent you're paying now??!!

draiochtanois

This post has been deleted.

givyjoe

GoneHome wrote: »

You would wonder about the merits of "saving" €70,000 in these circumstances

I would say there's always one, but sadly there's many posts like yours in boards.

Saved over 10 years by two people, 3.5k a year. Hardly 'suspicious' :rolleyes: