Mortgage and deposit

mayogirlie

Hi all,

Currently thinking of applying for mortgage in order to build/buy house - thinking approx €100,000.

Both of us are in quite unsecure jobs, ie. not permanent, and that probably looks to remain similar over the next couple of years.

We have approx deposit of €40,000, gained by careful saving over the past while, despite the nature of our work.
What I'm wondering is will such a large deposit as percentage of what we need stand to us? And would we be in with a shot of being approved.

Don't want to go in and then get refused so just wondering what peoples views were?

Otherwise, I wonder would the credit union supply loan (ie. €30,000 each).

Any views/opinions would be gratefully appreciated.

Thanks

chris85

mayogirlie wrote: »

Hi all,

Currently thinking of applying for mortgage in order to build/buy house - thinking approx €100,000.

Both of us are in quite unsecure jobs, ie. not permanent, and that probably looks to remain similar over the next couple of years.

We have approx deposit of €40,000, gained by careful saving over the past while, despite the nature of our work.
What I'm wondering is will such a large deposit as percentage of what we need stand to us? And would we be in with a shot of being approved.

Don't want to go in and then get refused so just wondering what peoples views were?

Otherwise, I wonder would the credit union supply loan (ie. €30,000 each).

Any views/opinions would be gratefully appreciated.

Thanks

Since you are both not in permanent jobs this means the bank are unlikely to give a mortgage. Even with a 40% deposit the concern from the bank would be what happens if you loss your job which is always a concern these days and how would the mortgage be paid then.

Is there any chance of permanency coming at a later point in time?

In terms of the CU a €30k unsecured loan each is a lot. This would have a term of 5 years to be paid back which is a good deal of money each month. The higher rate would end up costing you more.

killers1

mayogirlie wrote: »

Hi all,

Currently thinking of applying for mortgage in order to build/buy house - thinking approx €100,000.

Both of us are in quite unsecure jobs, ie. not permanent, and that probably looks to remain similar over the next couple of years.

We have approx deposit of €40,000, gained by careful saving over the past while, despite the nature of our work.
What I'm wondering is will such a large deposit as percentage of what we need stand to us? And would we be in with a shot of being approved.

Don't want to go in and then get refused so just wondering what peoples views were?

Otherwise, I wonder would the credit union supply loan (ie. €30,000 each).

Any views/opinions would be gratefully appreciated.

Thanks

What line of work are you in and how long have you been with your respective employers?

mayogirlie

Well we're in service/construction and healthcare. Not much chance of permanency with either in the current climate, and not long with employers as we are both not long finished training. Although both jobs do look pretty secureish but in a temporary contract capacity. And both are pretty "in demand" professions which are typically easyish to pick up work in on a temporary basis.

I suppose what I'm really wondering is is there any chance of two non-permanent jobs getting any class of mortgage in these times or am I faced with saving while paying rent until mortage free?

BuffyBot

Practically none, to be truthful.

killers1

mayogirlie wrote: »

Hi all,

Currently thinking of applying for mortgage in order to build/buy house - thinking approx €100,000.

Both of us are in quite unsecure jobs, ie. not permanent, and that probably looks to remain similar over the next couple of years.

We have approx deposit of €40,000, gained by careful saving over the past while, despite the nature of our work.
What I'm wondering is will such a large deposit as percentage of what we need stand to us? And would we be in with a shot of being approved.

Don't want to go in and then get refused so just wondering what peoples views were?

Otherwise, I wonder would the credit union supply loan (ie. €30,000 each).

Any views/opinions would be gratefully appreciated.

Thanks

If you apply and get refused it's not a black mark against your name in any way. I'd suggest trying it and seeing how you get on. As it's a relatively low low amount and you have a good deposit they may be willing to consider it for you or maybe even with a guarantor available? Some banks will automatically decline it as their credit policy insist applicants are in permanent employment or if on a contract they need to be teachers on contracts of indefinite duration. The main issue will be how long you have been on contract with your current employer, the length remaining on the contract, the chances of the contract being extended and the likeliehood of you finding alternative work with a sufficient income to repay the loan should your contracts be terminated for any reason...