Saving/Applying for a mortgage 2015/16/17/18/19

awec

niamhzie wrote: »

Inspection after snag list, sorry! It's a new build

If everything is ok and you have your valuation done, your mortgage protection sorted and home insurance ready to go then you could have keys by the end of the week if you pushed your solicitor and bank, but next week probably more realistic.

If you still have to sort the mentioned things out then probably a bit longer.

Interested Observer

Corruptedmorals wrote: »

Sale agreed Friday evening and dying to know what sort of closing timeline we will be given.

You'll have to be patient. It could be any amount of time. And even if your solicitor or whoever gives your a timeline now it's a total guess.

niamhzie

awec wrote: »

If everything is ok and you have your valuation done, your mortgage protection sorted and home insurance ready to go then you could have keys by the end of the week if you pushed your solicitor and bank, but next week probably more realistic.

If you still have to sort the mentioned things out then probably a bit longer.

Thanks we do have all these things sorted, I'll try push for Friday, if not this day week. Of the builder/solicitor/mortgage provider, if feel like there's always one dragging their heels

MacDanger

We're looking at a house (~ 300k) but it'll probably need 150-200k to do it up - what's the story with getting a mortgage for this? Will we only be able to get the mortgage for the 300k?

wally79

MacDanger wrote: »

We're looking at a house (~ 300k) but it'll probably need 150-200k to do it up - what's the story with getting a mortgage for this? Will we only be able to get the mortgage for the 300k?

AFAIK you’d need to submit plans for whatever you need to change and the bank need to agree that they are feasible for proposed budget and would increase value of house by at least that amount

MacDanger

wally79 wrote: »

AFAIK you’d need to submit plans for whatever you need to change and the bank need to agree that they are feasible for proposed budget and would increase value of house by at least that amount

Sound, thanks.

Any idea if this is something we'd need to do when applying for the initial mortgage (obviously that would be difficult since we wouldn't own the house)? Or can we do it as an add-on to the mortgage once we own it? I presume the latter......

Corruptedmorals

Yeah it's really the rough estimate I'm curious about, I expect it will be 2ish months anyway.

wally79

MacDanger wrote: »

Sound, thanks.

Any idea if this is something we'd need to do when applying for the initial mortgage (obviously that would be difficult since we wouldn't own the house)? Or can we do it as an add-on to the mortgage once we own it? I presume the latter......

Again I’m just speaking anecdotally and others will have more definite answers but I think you’d need to know in advance

Paul_Mc1988

Yes you can only get a mortgage for the house. You will need 30k deposit (10%) if a first time buyer or 60k deposit (20%) if this is not your first house leaving you with either a mortgage of 270k or 240k. The money to do the house up will need to come from you. How big is this house that it needs that amount of money?

wally79

Paul_Mc1988 wrote: »

Yes you can onky get a mortgage for the house. You will need 30k deposit (10%) if a fist time buyer or 60k deposit (20%) if this is not your first house leaving you with either a mortgage of 270k or 240k. The money to do the house up will need to come from you. How big is this house that it needs that amount of money?

Thanks. OP can ignore what I said so

FutureGuy

Sale agreed sign put up today on the house we wanted. A lot of sweat and tears to get a good sized deposit saved over the years. Went for 14k over asking but really happy as it's a quiet area 20 mins walk from Limerick City centre.

Hoping all goes smoothly.

FastFullBack

Looly8726 wrote: »

Sale agreed on a second hand property 18th April, loan offer received 23rd May, contracts received 3rd June, hope to get keys this Friday 28th June.
It depends on the speed of the vendors solicitor in getting the contracts together and of course the speed of the bank in approving the mortgage.
We were selling at the same time and our solicitor had contracts done for our buyer within 2 weeks.

Curious how you plan to manage the timing between buying and selling at the same time? Are you going to try to co-ordinate then so you can move straight from old house to new? Or planning to spend a couple of weeks with family or ina hotel?

Looly8726

FastFullBack wrote: »

Curious how you plan to manage the timing between buying and selling at the same time? Are you going to try to co-ordinate then so you can move straight from old house to new? Or planning to spend a couple of weeks with family or ina hotel?

After the contracts were sent to our “buyer” the sale actually fell through as they couldn’t get finance. We are getting keys for our new house on Friday and still have our first house so moving will be done in our own time from one house to the other.
It was disappointing at the time obviously when the sale fell through but now when I look back I can’t imagine trying to manage the time between selling and buying tbh.
We ended up taking a mortgage on the new house and keeping our first house. We will make a decision in the next few weeks as to whether we sell the first house or keep it as a rental.

TheW1zard

Got my keys yesterday, i say keys, it was one key!

niamhzie

TheW1zard wrote: »

Got my keys yesterday, i say keys, it was one key!

And i suppose it was one of those DO NOT COPY keys?? :pac:

Congrats and best wishes!

MacDanger

Paul_Mc1988 wrote: »

Yes you can only get a mortgage for the house. You will need 30k deposit (10%) if a first time buyer or 60k deposit (20%) if this is not your first house leaving you with either a mortgage of 270k or 240k. The money to do the house up will need to come from you. How big is this house that it needs that amount of money?

Balls

It's a pretty big house (5 bed) and it's ~ 100 years old so I'm thinking it will cost a decent amount to get it properly insulated, etc.

Blanco100

hypothetical scenario and looking for some advice.

House price 214k, getting 90% mortgage (192,600). Mortgage 31 years.

Going on fixed rate (5 years) of 2.85%.

Can anyone break it down to me exactly how much we are paying back over next 5 years at that rate?

hypothetically, what would the monthly repayment be?

Greyian

Blanco100 wrote: »

hypothetical scenario and looking for some advice.

House price 214k, getting 90% mortgage (192,600). Mortgage 31 years.

Going on fixed rate (5 years) of 2.85%.

Can anyone break it down to me exactly how much we are paying back over next 5 years at that rate?

hypothetically, what would the monthly repayment be?

About €780/month or €46800 over 5 years.
Source

Bigmac1euro

If you wanted to borrow 3.7 or 3.8 times would you need an exemption to cover this ? Or is it a case by case basis ? Hopefully won’t need an exemption but just wondering.

el Fenomeno

Bigmac1euro wrote: »

If you wanted to borrow 3.7 or 3.8 times would you need an exemption to cover this ? Or is it a case by case basis ? Hopefully won’t need an exemption but just wondering.

The rule is 3.5 times your salary. Anything over that is an LTI (Loan to Income) exemption.

SpaceRocket

Self employed, sole trader. Is my 3.5x income multiplier used against my salary before tax just like PAYE workers, or is it 3.5x my salary after tax is taken out? Hope someone has some insight on this. Thanks!

benjy1000

SpaceRocket wrote: »

Self employed, sole trader. Is my 3.5x income multiplier used against my salary before tax just like PAYE workers, or is it 3.5x my salary after tax is taken out? Hope someone has some insight on this. Thanks!

Correct it’s Before tax for self employed ..
Like Gross for PAYE

Phileas Frog

SpaceRocket wrote: »

Self employed, sole trader. Is my 3.5x income multiplier used against my salary before tax just like PAYE workers, or is it 3.5x my salary after tax is taken out? Hope someone has some insight on this. Thanks!

It'll also probably be 3.5x the average of your last 3 P60s and not your current salary, at least it was for me.

Looly8726

Can someone advise is it possible to draw down and close on the same day or how does it work?

TheW1zard

Looly8726 wrote: »

Can someone advise is it possible to draw down and close on the same day or how does it work?

Took 2 days in our case.
The bank releases funds to your solicitor 2 days prior to agreed closing date.
Solicitor receives and then sends it to theirs.
Their solicitor receive and do final checks and when they are happy they instruct EA to release keys.

Prospector1989

TheW1zard wrote: »

Got my keys yesterday, i say keys, it was one key!

We changed the locks yesterday. We've been living in the house a couple of years but bought out family. Finally closed on Monday!

Glenbhoy

SpaceRocket wrote: »

Self employed, sole trader. Is my 3.5x income multiplier used against my salary before tax just like PAYE workers, or is it 3.5x my salary after tax is taken out? Hope someone has some insight on this. Thanks!

It will be based on your annual taxable profits. You'll need 3 years accounts, certified by an accountant. Probably good idea to also provide last 3 form 11's or notices of assessment (income tax return) to verify.

swatch

Phileas Frog wrote: »

It'll also probably be 3.5x the average of your last 3 P60s and not your current salary, at least it was for me.

My partner and I both work in healthcare, I’m in the public system and earning €53k. Partner works in private system, and took in €56k last year. Hoping to buy a house in Dublin for €400k. Applied for approval in principle from one bank and they averaged my partners salary out to €44k, meaning we can’t qualify for a big enough mortgage. Currently paying rent of €1310 per month and saving €1800 per month.

Does anyone know if there are any particular banks who look more favorably on self employed applicants, and don’t necessarily average out your last 2-3 years salary when calculating what you qualify for?

Paul_Mc1988

swatch wrote:

Does anyone know if there are any particular banks who look more favorably on self employed applicants, and don’t necessarily average out your last 2-3 years salary when calculating what you qualify for?

As far as I'm aware all banks use the 3 year rule when it comes to self employment. With both them salaries it gives you a combined mortgage of 340k + deposit so your not a million miles away from 400.

sheroman01

Went for my first mortgage review with AIB. Was a bit surprised how strict they were on the 3.5 times my salary. After their "manual" amendments, it went to approx 3.6 times my salary. I've good income and savings, but applying alone, so perhaps that's the issue? I'm approx 40k off the property value I'd ideally like.