New First Active 100% mortage for first time buyers

skywalker_208

So wats it all about? first they would only give this to doctors etc but now anyone can have it? Sounds fishy to me!

and i can see alot of interest being generated at the same time....

soma

Its only publicsied a few hours and Ive aready seen an effect.

A mate of mine was planning on building a property in the west, with a view to making a profit that could then be used as a deposit to fund a house purchase in dublin.

He's just decided to forget that and go straight for dublin now with that 100% mort from FA.

I think it's a huge deal actually. Had it existed in the past 2 years (while ive been renting) I can safely say Id have taken it up and the thing that has always stopped me was the deposit, 20-30k is absolutely huge money at least to me :rolleyes:

At the moment, Im not too sure, even though Ive been saving hard for a deposit I've been getting increasingly worried about the property market here possibly being a bubble & the threat of future interest rate rises etc.

And now this..? Just when I thought things couldnt get any crazier.. this opens the door to literally thousands of people & couples.

I think I may have to throw up my hands and just go with the herd Im afraid...

seamus

Have to agree on the deposit problem. I know of people who've been in their mid-thirties before they've managed to save enough just for their deposit. As it is, it would take me 5 years, minimum, to build up a 30k deposit, and by then, I'd probably need €40k or €50k :rolleyes:

Fair play to first active. I'd say this will shake up the rest of the sector.

soma

seamus wrote:

Fair play to first active. I'd say this will shake up the rest of the sector.

There seems to be a concensus that the rest will follow suit, they're hardly going to sit idly by while F.A. corner the FTB market.

Merrion

The fact that you cannot borrow the stamp duty limits the inflationary pressures of this move to the lower end of the market, imo.

fred funk }{

soma wrote:

There seems to be a concensus that the rest will follow suit, they're hardly going to sit idly by while F.A. corner the FTB market.

I cant see the rest of them sitting back and letting FA corner the market either.
Is this as simple as it sounds? It is a great idea. I have been saving for the past two years, I will need about 30,000 yo yo's to get my eight %. Now i might go for the 100% and put the saved money into the house.

is_that_so

I'd be very wary of this having seen the debt levels we have and the collapse of the housing market in the UK in the late 80's.
100% is just house cost, on top of that you have all the anciallairy costs to kit it out, insurance, legal, etc. 100% can very quickly become 110% or 120%

Caveat Emptor :rolleyes:

Einstein

Already a 4 page thread about it here