Buying property in Ireland while on a 457 visa??

rightyabe

Just wondering has anyone done this from Australia. The reason I ask is with the price of property in my native Donegal so cheap I feel its a good time to look at maybe buying a flat/apartment for approx 25,000 euro.

My question basically is could I get a personal loan from my bank (NAB) in Oz of lets say $30,000 and transfer it to Ireland to buy the investment property?

What are my other options?

Cheers

hussey

For irish banks as far as I know you won't be able to get a mortgage, as need to be working in Ireland (I could be wrong)
I asked a bank manager in Ireland this and he said 'In your situation you'd have to buy it outright'

But I don't see why you couldn't do that, BUT interest rates would be a lot higher than a mortgage.

rightyabe

From NAB any personal loan over $10,000 is 14.45%, I would be planning on maybe getting 30,000 over 3 years, paying about 7k interest on that.

Also has any couples got a personal loan in Oz to build a house in Ireland? How do the bank work out how much you can loan?

ballooba

14.45% interest? That's mental.

rightyabe

ballooba wrote: »

14.45% interest? That's mental.

That's on a personal loan, home loans are less.

Cilldara11

It's certainly possible to take out a mortgage in Ireland while based abroad but the bank involved will probably make you jump through some extra hoops.

Each bank have their own individual policies but roughly speaking they will look for the following:

- A loan to value for the transaction of circa 60% e.g. if buying a E100k property, they will approve a max loan of around E60k. This is to reflect the additional risk (customer living abroad).

- Details of who will look after the property while you are away e.g. will family look after the maintenance, collecting rent (if applicable) etc

- How long you intend on staying in Australia and how sustainable your current salary is. E.g. if you were to up sticks and return to Ireland, can you continue to earn the same wage? An I.T. professional would be looked at a little differently to someone working in the mines for example.

- Evidence of a build up of savings comparable to the repayment on the proposed loan. If the repayment is E600pm and you have saved that amount on average over a few months, this would be seen as a positive.

Make contact with the banks in Ireland and ask what they can do for you would be my advice OP, then you can compare the offers that come back with taking out the Oz personal loan and go from there.....

Legend100

How long left do you have on your 457?

When I was looking at a personal loan with CBA - they would only give a term up to a max of my visa end date

Not sure if NAB have the same terms but worth checking

rightyabe

Legend100 wrote: »

How long left do you have on your 457?

When I was looking at a personal loan with CBA - they would only give a term up to a max of my visa end date

Not sure if NAB have the same terms but worth checking

I still have 3 years 11 months. I had a friend look for a 10k car loan with nab and they were offering him 30k if he wanted, he was on a 457 with under 2 years left.

JimmyCrackCorn

Its something I hope to do over the next year but still trying to get a deposit together. Exchange rate is not helping there.

I don't know if an Australian bank will allow you to secure a loan on an asset outside the jurisdiction. There credit criteria doesn't take into account moneys outside the state.

There are also tax considerations that need to be taken into account. Id find a good account on that one.