Stupid questions

from_atozinc

Hello

first of all, I want to apologise for my ignorance on the matter of mortgages, I dont really know much about them.

Myself and the wife are looking to get a mortgage, she already has one and a good chunk paid off on it too. I can go in to more details here but for now, will leave it at that. Both of us bank with AIB

My question is : high level who is best to give mortgages in this day and age ? ( ebs, aib, ulster etc )


Or does it all depend on personal circumstances

whomitconcerns

from_atozinc wrote: »

Or does it all depend on personal circumstances

in a nutshell you have your answer already

from_atozinc

whomitconcerns wrote: »

in a nutshell you have your answer already

Thanks, so no real good lender over another as such.


Very High level on a house of 300,000, what would the ball park fees be for

> estate agent
> solicitor
> stamp duty

Any other fees I am missing ? snag list person etc etc

Alf Veedersane

from_atozinc wrote: »

Thanks, so no real good lender over another as such.


Very High level on a house of 300,000, what would the ball park fees be for

> estate agent
> solicitor
> stamp duty

Any other fees I am missing ? snag list person etc etc

Solicitor should be at the lower end of 1000-1500 ex vat.
Stamp duty is 1%.
Valuation is 100-150
Building Survey somewhere around 300-350.

As regards the mortgage, shop around. And if you can get a decent advisor/broker, get one. It's just easier. Well, in my limited experience.

from_atozinc

Alf Veedersane wrote: »

Solicitor should be at the lower end of 1000-1500 ex vat.
Stamp duty is 1%.
Valuation is 100-150
Building Survey somewhere around 300-350.

As regards the mortgage, shop around. And if you can get a decent advisor/broker, get one. It's just easier. Well, in my limited experience.

perfect reply. thanks

what do you mean by valuation ?

Is this another person that has to be engaged - what does he do exactly ?

L1011

The bank will insist on an independent valuation to make sure you're not wildly overpaying and that the asset the loan will be secured on is reliable. They'll give you a list of acceptable valuers in the area.

Alf Veedersane

The bank want a valuation to see tha tthe house is worth what you're proposing to pay for it. Yes, it's another person you need to engage. They assess the house visually and estimate its value and forward their report to the bank.

Most banks will have a panel of valuers.

from_atozinc

thanks all, another lad to engage so.

as far as I am aware, there are 3 high level types of Mortgages now

fixed
variable
tracker

Is the tracker going away in 2015 ?

MouseTail

Trackers are no longer available and haven't been for some time.

Alf Veedersane

Probable best to engage a mortgage advisor/broker or the whole application process could take a looooong time.

from_atozinc

Alf Veedersane wrote: »

Probable best to engage a mortgage advisor/broker or the whole application process could take a looooong time.

are you saying that based on the fact that I don't know much about things ?

Alf Veedersane

from_atozinc wrote: »

are you saying that based on the fact that I don't know much about things ?

Well, yes but it doesn't take much to cause delays and having seen friends go through stupid delays, it just helps when you have someone just tell you what to provide and then run through the different type of mortgages and give you a better idea of what they mean in reality with respect to repayments

from_atozinc

thanks.

Again, very high level, if I was to get a mortgage of 300,000 euro, at the end of the day roughly how much am I paying back with everything included, will it be roughly 500,000 ?

Alf Veedersane

from_atozinc wrote: »

thanks.

Again, very high level, if I was to get a mortgage of 300,000 euro, at the end of the day roughly how much am I paying back with everything included, will it be roughly 500,000 ?

Depends on the interest rate and the term. But I wouldn't expect much, if any, change out of 500k.

Citizenpain

from_atozinc wrote: »

thanks.

Again, very high level, if I was to get a mortgage of 300,000 euro, at the end of the day roughly how much am I paying back with everything included, will it be roughly 500,000 ?

http://www.mortgages.ie will give you an indication of the repayments .... no affiliation

from_atozinc

Alf Veedersane wrote: »

Depends on the interest rate and the term. But I wouldn't expect much, if any, change out of 500k.

very expensive, one of my friends got a 700,000 mortgage lately, he must me mad !!

Alf Veedersane

from_atozinc wrote: »

very expensive, one of my friends got a 700,000 mortgage lately, he must me mad !!

The level of repayments is far more relevant than the total that you have to pay back.

from_atozinc

Alf Veedersane wrote: »

The level of repayments is far more relevant than the total that you have to pay back.

indeed.

but I suppose what I need to keep in my head is that if I get a loan of 300,000 for a house, I am in fact paying back a loan of roughly 500,000

from_atozinc

from_atozinc wrote: »

very expensive, one of my friends got a 700,000 mortgage lately, he must me mad !!

That really is high level !

Alf Veedersane

from_atozinc wrote: »

indeed.

but I suppose what I need to keep in my head is that if I get a loan of 300,000 for a house, I am in fact paying back a loan of roughly 500,000

Not really.

What you need to keep in mind is what a 300k mortgage over X years will mean in terms of repayments because that's the only way you'll be able to gauge whether it's too much or not. You compare potential repayments wioth income and expenditure and particularly rent that you may be paying at the minute.

Citizenpain

from_atozinc wrote: »

indeed.

but I suppose what I need to keep in my head is that if I get a loan of 300,000 for a house, I am in fact paying back a loan of roughly 500,000

time value of money .... its not that bad

from_atozinc

Citizenpain wrote: »

time value of money .... its not that bad

indeed, but I still think basic houses especially in Dublin are way overpriced. but suppose its all about the 3 L's

pwurple

Depends on how long you take to pay it back, and your interest rate of course. Overpay when you can is the trick to mortgages.

300,000 @ 4.2% over 30 years = repayment total of €528,138.00. Monthly repayment €1,467.05
300,000 @ 4.2% over 25 years = repayment total of €485,049.00. Monthly replayment €1,616.83
300,000 @ 4.2% over 20 years = repayment total of €443,930.40. Monthly repayment €1,849.71

from_atozinc

pwurple wrote: »

Depends on how long you take to pay it back, and your interest rate of course. Overpay when you can is the trick to mortgages.

300,000 @ 4.2% over 30 years = repayment total of €528,138.00. Monthly repayment €1,467.05
300,000 @ 4.2% over 25 years = repayment total of €485,049.00. Monthly replayment €1,616.83
300,000 @ 4.2% over 20 years = repayment total of €443,930.40. Monthly repayment €1,849.71

Thanks great example, and just the high level kinda stuff im looking for to get my head round things

from_atozinc

MouseTail wrote: »

Trackers are no longer available and haven't been for some time.

Thanks. What do you mean by some time - How long you talking about like ?

Citizenpain

Do you remember the "I don't know what a tracker mortgage is " adverts ....?

That long

MouseTail

Withdrawn since about 2009.

from_atozinc

Grand
So essentially only 2 types of mortgage now yeah. Fixed and variable rate or is there something else that I am blissfully unaware of ?

Citizenpain

Also might be different rates in each depending on what you are borrowing compared to the value of the house .. Less than 80% would have a better interest rate

from_atozinc

Is a mortgage broker essentially a person that goes off to all the banks and lending institutions and gets the best mortgage that he can for you ?

How much roughly does this service cost ?

runawaybishop

from_atozinc wrote: »

Is a mortgage broker essentially a person that goes off to all the banks and lending institutions and gets the best mortgage that he can for you ?

How much roughly does this service cost ?

Should be free.

from_atozinc

runawaybishop wrote: »

Should be free.

sure they are hardly going to do it for nothing

MouseTail

They get paid their commission from the bank.

runawaybishop

from_atozinc wrote: »

sure they are hardly going to do it for nothing

Its not you that pays them

from_atozinc

runawaybishop wrote: »

Its not you that pays them

grand, fair enough.Thanks

from_atozinc

and is the the job of a mortgage broker to gather all your information about earnings savings etc and to get the best mortgage that he can for you ?

grahamor

from_atozinc wrote: »

and is the the job of a mortgage broker to gather all your information about earnings savings etc and to get the best mortgage that he can for you ?

They will basically tell you whats needed and you send directly to them along with a few documents from different banks. They do the rest.

P60 from previous year
3 months salary statements
6 months credit card statements
6 months savings statements
Salary certificate
etc....

from_atozinc

grahamor wrote: »

They will basically tell you whats needed and you send directly to them along with a few documents from different banks. They do the rest.

P60 from previous year
3 months salary statements
6 months credit card statements
6 months savings statements
Salary certificate
etc....

Thanks very much.

And regarding the surveyor that does the snag list. ..... if he found a major structural problem, wood the whole sale be canceled ?

Citizenpain

from_atozinc wrote: »

Thanks very much.

And regarding the surveyor that does the snag list. ..... if he found a major structural problem, wood the whole sale be canceled ?

That'd be up to you

from_atozinc

ok. so what is the norm what this surveyor thing. He comes in....... finds a few things wrong. ...... presume to a value of roughly 2 or 3 k ?

And then it's up to the buyer to fix these issues after the sale - is that the way it normally works ?

Citizenpain

from_atozinc wrote: »

ok. so what is the norm what this surveyor thing. He comes in....... finds a few things wrong. ...... presume to a value of roughly 2 or 3 k ?

And then it's up to the buyer to fix these issues after the sale - is that the way it normally works ?

He/she might put a value on it ..or might just make the observation . You either fix yourself if you choose to go ahead or renegotiate .. Surveyors reports are not very detailed really