Budget Headline-€8k for FTB

godtabh · 06-12-2006 1:48pm #1

Any updates on the budget?

Just saw this headline in the Herald

Edit: Budget doesnt start till 3:45. ****ing Hearld. Why did I bother!

whizzbang · 06-12-2006 2:08pm

8k for FTB, now that would be a silly quick fix to grab a few votes for the election, not that they'd do that..

I think thats just the herald trying to sell papers

godtabh · 06-12-2006 2:11pm

whizzbang wrote:

8k for FTB, now that would be a silly quick fix to grab a few votes for the election, not that they'd do that..

I think thats just the herald trying to sell papers

If they did it I wont vote for them but I'd take their money.

Probably just to sell papers all right. I was set to buy it but I didnt have enough change and I wasnt breaking any notes. Ha you lose EH!

Lex Luthor · 06-12-2006 4:01pm

so all houses are going up by €8k tonight?

godtabh · 06-12-2006 4:14pm

Lex Luthor wrote:

so all houses are going up by €8k tonight?

Hopefully not the ones that have been signed for!

diego · 06-12-2006 4:54pm

they are only dealing with mortgage interest relief. it won't have any impact on the market so we get to see if things are really tanking or if there's one last dying sting left...

godtabh · 06-12-2006 4:58pm

Mortgage interest relief for first-time buyers to be doubled to €8,000 for a single person

How does mortgage interest relief work?

markpb · 06-12-2006 5:02pm

kearnsr wrote:

How does mortgage interest relief work?

I was going to describe it but this does it better.

Basically you can claim 20% of part (16k) of the interest part on your mortgage back, up to a certain limit.

CiaranC · 06-12-2006 5:07pm

Im just a lowly engineer, this mumbo jumbo gives me a headache.

Where are you getting 16k from and how do you know what the limit is?

JackieChan · 06-12-2006 5:08pm

Currently for a single person paying a mortgage they claim tax relief(at 20%) on up to 4000 of the interest they pay in a given year.
4000 @20% is 800(or approx 67 per month).

With todays budget this relief becomes 134pm(relief of up to 8000 pa)

The 16k is the interest limit for a married couple(double the 8k for a single person)

CiaranC · 06-12-2006 5:09pm

Thanks JackieChan. If theres two people on the mortgage can they both claim credits? Or just one of you?

podge018 · 06-12-2006 5:15pm

Okay, so what does this mean for a person who is buyinga house tomorrow, literally, I'm closing the deal tomorrow.

Victor · 06-12-2006 5:27pm

podge018 wrote:

Okay, so what does this mean for a person who is buyinga house tomorrow, literally, I'm closing the deal tomorrow.

Assumming you are paying maximum interest and maximum tax, you will be €67/month better off.

godtabh · 06-12-2006 10:57pm

Victor wrote:

Assumming you are paying maximum interest and maximum tax, you will be €67/month better off.

What do you mean by maximum interest?

Victor · 10-12-2006 9:22pm

kearnsr wrote:

What do you mean by maximum interest?

You can only avail of the full credit if you are paying that amount in interest. If you only have a modest mortgage and are only paying €500 a year in interest, then you credit will be based on that, not the €16,000.

godtabh · 10-12-2006 9:30pm

Victor wrote:

You can only avail of the full credit if you are paying that amount in interest. If you only have a modest mortgage and are only paying €500 a year in interest, then you credit will be based on that, not the €16,000.

Thanks for that.

Another quick question.

A friend of mine bought a place with his girlfriend.

Can each of them get the €8000 or is down to the mortgage only?

Victor · 10-12-2006 9:49pm

kearnsr wrote:

Can each of them get the €8000 or is down to the mortgage only?

I suspect both will need to be owners, named on the mortgage and paying enough tax.

godtabh · 10-12-2006 10:43pm

Victor wrote:

I suspect both will need to be owners, named on the mortgage and paying enough tax.

They arent sure so they are going to see their money man next week

BaZmO* · 11-12-2006 12:23pm

Victor wrote:

I suspect both will need to be owners, named on the mortgage and paying enough tax.

I bought a house with a friend back in May. Will both of us will be entitled to the increased mortgage interest relief? Or is it only for people that are in the process of buying a new house?

Victor · 11-12-2006 3:54pm

BaZmO* wrote:

I bought a house with a friend back in May. Will both of us will be entitled to the increased mortgage interest relief? Or is it only for people that are in the process of buying a new house?

I suspect its the same definition they had before - I think the first five years. You may have to wait for the Finance Bill for clarity.

Budget Headline-€8k for FTB

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