Site Only Mortgage

DanGlee

Hi,

I started a thread about planning on a site, and the knowledge from that thread seems to be that since I lost my job and can't get a mortgage to build, the planning sticks with the site and I've basically gone ahead and got planning on a site for somebody else to build on...

My new question is, does anybody know anywhere that does "site only" mortgages...EBS don't cos we tried them?

I heard somebody mention some crowd called ACC (I think - they were kind unsure) said there were some agricultural people who deal in sites?

I really don't want to lose this site and we can purchase it no prob site only with the missus wage, which would do use find until I get a job.

Thanks,
DG.

unclebill98

Oh course its possible.

UB would do one. People are buying cheap sites now with a few to being able to build on it in the future.

DanGlee

UB = Ulster Bank I'm assuming?

Thats excellent if they do...


Thanks for that

Ginger83

I was looking into the same thing a few years ago, we were renting and i only want to purchase the site until I moved closer to home.

The first thing the bank will look for is proof of planning permission. But a few banks I approached said they would need me to prove intention of starting the build within 12 months of purchasing the site. I think they require this as most sites void permission on sites if building does not commence within a five year period, therefore the "site" would not be classed as a site anymore without planning and would only have a value of agricultural land, probably a lot lower than the original site was paid for. The are just protecting their own investment.

unclebill98

There is a certain amount of building work you can get done to make sure the PP does not get voided. It may be foundations done or up to ground floor windows. Its worth looking into.

professore

DanGlee wrote: »

Hi,

I started a thread about planning on a site, and the knowledge from that thread seems to be that since I lost my job and can't get a mortgage to build, the planning sticks with the site and I've basically gone ahead and got planning on a site for somebody else to build on...

Thanks,
DG.

TBH do you think it's a good investment to take on a lot of debt now when there are a glut of empty houses out there?

unclebill98

professore wrote: »

TBH do you think it's a good investment to take on a lot of debt now when there are a glut of empty houses out there?

Location of those houses may not suit. Plus alot of the empty houses are in un-finished housing estates and there not going to be finished until all those units are sold. This has left many an ugly housing estate behind..

DanGlee

Yeah, we defo plan on building and we have full planning... after 16 months.

Purchasing was something we never really wanted to do, its so much cheaper to build and we have a huge garden at the front and back for the kid(s) and dog.
Also with herselfs family in the building trade, they will build for us at a nice price

Its just bad timing is all, but we put so much effort into getting the site (for anybody thats ever done it, you'll know... and especially when you have to deal with old b*****d farmers!) so it would be a shame to lose at this stage...

Ginger83

DanGlee, not to be too nosy but what kinda figures you talking about?
It may be a case you could finance it without it being a 'mortgage'!

DanGlee

Hi, no, not too nosy... (you only have to pop onto daft.ie to get an idea of the price of sites)

But ours was 80k, but we paid a deposit of 10% so technically its only 70k we need now... and if push comes to shove, I could possibly throw another 10k at that to bring it down to 60k.

I spoke with the credit union and they use EBS, which were the first crowd to tell us they wont do it site only, so mortgage from them is off the cards.

Ya man then talked about a loan, but iterated it would only be a short term loan of around 10 or 15 years.

70k for 10 years is €750(ish) per month (which is more than the mortgage)

70 for 15 years is €550(ish) per month.

The only problem is, this will solely be coming out of the missus salary until I get a job... and the more I read the news, the less hope I feel there is of getting a job in this current climate! But for the sake of €300 a month (mortage rate repayment on that amount), we could manage (we living at parents so no rent to pay) so we could managed to muster up 300 between my dole (200 p/w) her salary, single parents and child benefit...

I know that sounds really bad, like I'm some skanger raking it in off the government... but I'm out there every day trying to get a job... I've always worked and I got a Masters in Digital Forensics last year... I'm not a bum... I might get a job next week.... or I might be waiting till next year, its hard to know these days!
And all the effort we put into the planning and getting it, I'm trying everything not to lose it...

(OK... these is my sob story... sorry for telling it to the world... being made redundant really sucks. Its easy reading about it everyday, but when you get the call to the office and your told, you really know how everybody else in the country must be feeling!. I spose we're kinda lucky we don't have the mortgage and struggling to pay 700+ per month!)

Right... I'll stop before I depress ye all in here!

Anyway... Have meeting with Ulster Bank next week, so fingers crossed!!!

DG.

broker2008

There are other options from a lending perspective. See what Ulster Bank can offer and then try a broker to see if there are any better options. It won't cost you anything.