Council shared mortgage?

aligator_am

Does anyone know much about the offer that Dublin county council have? you know the one where they will pay 50 or 60% of the mortgage for you? what I really want to know is will they allow you to sublet rooms in the house and so basically let the lodgers pay the mortgage for me? if anyone has any experience/advice on this it would be much appreciated.

Thanks

Al

minority

o dont see why you couldnt sublet.
Though the council might be entitled to half the rent you get??

KdjaCL

They wont let you ,its something to help people get on property ladder not abuse it.

Also if you do get a mortage dont tell them you subletting as it goes against the contract and they WILL evict you.


kdjac

eth0_

Originally posted by aligator_am
what I really want to know is will they allow you to sublet rooms in the house and so basically let the lodgers pay the mortgage for me? if anyone has any experience/advice on this it would be much appreciated.

No, you can't do that (legally, anyway). The whole point of co-ownership is to help people who can't otherwise afford a house to get on the property ladder. You can buy the house with a friend, but you can't let it out fully anyway. Sublet might be allowed, check oasis.gov.ie and search for co-ownership, there's a lot of good info on there, and links to relevent departments in your local county council.

Victor

First off there are three county councils in Dublin and each will have a different scheme.

As best I know the houses are prioritised on a housing needs basis - this would appear not to be your case, as you would be putting in lodgers.

aligator_am

Thanks, also does anyone know if the council give the option to buy the house at the end of the mortgage term? ideally I'd rather buy a house than go through the council but this certainly an ideal world

Is it possible to remortgage the house through that scheme? so if in the future I'm doing well for myself and decide to sell up and move to a bigger house or whatever can I do it? and finally, does anyone know if there's a waiting list (I'm assuming there is) to be approved on the joint ownership shceme?

Thanks again

Al

KdjaCL

you HAVE to buy the house at the end , basically they buy house give you a mortage for 50% then rent out the other half to you.

My Mortage is €380 rent is 160 so 540 a month.

Ath the end of the 1st mortage you have to buy the 2nd half. you can pay off the 2nd poart in minimum 1000 installaments at any time.
Some banks will give you mortage for the 2nd part but thats 2 mortages you paying.

Yes they do make massive profit but it got me a house where banks would not.

You can remortage on the very 1st day of your mortage ,be careful tho banks will glady take your deed as colleratal. Whether bank gives it you is a diff stroy (maybe reason you going with council in 1st place)

kdjac

Victor

Oh, search here for the term "Shared Ownership".

Originally posted by aligator_am
Thanks, also does anyone know if the council give the option to buy the house at the end of the mortgage term?

Usually you can buy out the council, but they will clawback part of the profit if you sell in the short term.

Originally posted by aligator_am
Is it possible to remortgage the house through that scheme? so if in the future I'm doing well for myself and decide to sell up and move to a bigger house or whatever can I do it?

I imagine it will be structured to facilitate a change in needs. I don't think it will facilitate you as a property speculator.

Originally posted by aligator_am
and finally, does anyone know if there's a waiting list (I'm assuming there is) to be approved on the joint ownership shceme?

Most certainly - I don't know how long those lists will be though.

KdjaCL

Takes 6 weeks from filling in form and applying to find out if you successful.

kdjac

SoBe

be wary of the shared owner ship scheme,i used it to buy my house and i remorgaged it a year afterwards.their shared value of the house is index linked and keeps increasing every year.use the scheme to buy the house but remorgage the house and buy the coulcil out asap.just a bit of advice from someone that did it a few years back,good luck with it.

Bluehair

Originally posted by aligator_am
you know the one where they will pay 50 or 60% of the mortgage for you?

Um you do realise that you have to pay them rent for this bit? (i.e. you're paying your own mortgage on your own half and renting the other half from the council, it's not free).

Check KdjaCs post for an example. The shared ownership scheme seems to be becoming redundant though due the purchase price ceiling of €220k, hard to get something decent in Dublin for that these days.