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

cerastes

StupidLikeAFox wrote: »

If the banks look through your current account statements and see any DDs to credit card companies it is likely to raise a flag - they will want to see statements to show they are cancelled at least

Is that really seen as completely unacceptable? Id have thought any regular payments off would be ok? Or are full payments off at the end of a month for any spending expected?

Ayuntamiento

cerastes wrote: »

Is that really seen as completely unacceptable? Id have thought any regular payments off would be ok? Or are full payments off at the end of a month for any spending expected?

I think the point being made was that if you cancel credit cards so that you don't have to declare them, the bank will still find out about them as you've probably paid money off the cc in the past from your current account.

Daisy78

StupidLikeAFox wrote: »

If the banks look through your current account statements and see any DDs to credit card companies it is likely to raise a flag - they will want to see statements to show they are cancelled at least

But if you are clearing more than the interest is that a problem? I have a direct debit set up to my credit card to make sure I clear the interest and a bit more than that every month. I use it a couple of times per month but not for nights out (or gambling for that matter). Surely this wouldn't be a problem? The purchases are more one off expenses than anything that could be construed as a bit reckless. I intend to clear it completely before I apply but worried now that it would be seen in a negative light? I'm saving a decent amount and don't have any other loans so didn't think this would be a problem

listermint

Daisy78 wrote: »

But if you are clearing more than the interest is that a problem? I have a direct debit set up to my credit card to make sure I clear the interest and a bit more than that every month. I use it a couple of times per month but not for nights out (or gambling for that matter). Surely this wouldn't be a problem? The purchases are more one off expenses than anything that could be construed as a bit reckless. I intend to clear it completely before I apply but worried now that it would be seen in a negative light? I'm saving a decent amount and don't have any other loans so didn't think this would be a problem

Make sure it's empty before applying consider seriously binning it then.

myshirt

How are people managing to save while also paying Dublin rents? Extreme cost discipline no doubt, but how? What are your experiences?

Truly believe CAT thresholds need to be brought down, as predominantly these impact the rich, or those who achieved wealth in the boom believing it was their own efforts that got them it, rather than a distorted economy.

The bill for this is on the shoulders of young persons and young first time buyers. CAT thresholds to come down, and the tax to be redirected to young persons and first time borrowers who couldn't in a month of Sundays get a gift off their parents. Because it's not really a gift from the parents, it's moreso a gift that everyone else pays for in paying off the excesses that allowed that scenario to emerge and persist.

What sort of an impact do you first time buyers think the getting a 'gift' from parents that others get is having on your own ability to compete in the market and save? Especially in Dublin. How are you doing it?

retalivity

Got the keys today for our apt, delighted but the hard work starts now getting it ready. Fwiw i am a contractor who got a joint mortgage with the wife, and weve been back in the country less than 3 years

Cyrus

myshirt wrote: »

How are people managing to save while also paying Dublin rents? Extreme cost discipline no doubt, but how? What are your experiences?

Truly believe CAT thresholds need to be brought down, as predominantly these impact the rich, or those who achieved wealth in the boom believing it was their own efforts that got them it, rather than a distorted economy.

The bill for this is on the shoulders of young persons and young first time buyers. CAT thresholds to come down, and the tax to be redirected to young persons and first time borrowers who couldn't in a month of Sundays get a gift off their parents. Because it's not really a gift from the parents, it's moreso a gift that everyone else pays for in paying off the excesses that allowed that scenario to emerge and persist.

What sort of an impact do you first time buyers think the getting a 'gift' from parents that others get is having on your own ability to compete in the market and save? Especially in Dublin. How are you doing it?

You believe the threshold on which tax needs to be paid on money that has already been taxed needs to be lowered ? That's an interesting view

angeldelight

If the credit card debt is the only issue I wouldn't stress about it too much - we had 3k owed on credit card at time of application, right up at the limit and the bank still offered us more than 3.5x salary

Daisy78

angeldelight wrote: »

If the credit card debt is the only issue I wouldn't stress about it too much - we had 3k owed on credit card at time of application, right up at the limit and the bank still offered us more than 3.5x salary

Was that in the previous year Angel? My balance would be a lot lower than that which I'd intend clearing anyway, just worried they'd look negatively on DD payments to your credit card. Thought I was being responsible but perhaps now with more stringent requirements they may look unfavourably on it. Feck it every time I think I'm getting closer the goal posts are moved

myshirt

myshirt wrote: »

How are people managing to save while also paying Dublin rents? Extreme cost discipline no doubt, but how? What are your experiences?

Truly believe CAT thresholds need to be brought down, as predominantly these impact the rich, or those who achieved wealth in the boom believing it was their own efforts that got them it, rather than a distorted economy.

The bill for this is on the shoulders of young persons and young first time buyers. CAT thresholds to come down, and the tax to be redirected to young persons and first time borrowers who couldn't in a month of Sundays get a gift off their parents. Because it's not really a gift from the parents, it's moreso a gift that everyone else pays for in paying off the excesses that allowed that scenario to emerge and persist.

What sort of an impact do you first time buyers think the getting a 'gift' from parents that others get is having on your own ability to compete in the market and save? Especially in Dublin. How are you doing it?

Well that's a load of nonsense and the exact opposite to the way we are moving and rightly so i.e. the threasholds are being increased and will continue to be. CAT is nothing but pure theft.

Prismatic

myshirt wrote: »

How are people managing to save while also paying Dublin rents? Extreme cost discipline no doubt, but how? What are your experiences?

Truly believe CAT thresholds need to be brought down, as predominantly these impact the rich, or those who achieved wealth in the boom believing it was their own efforts that got them it, rather than a distorted economy.






The bill for this is on the shoulders of young persons and young first time buyers. CAT thresholds to come down, and the tax to be redirected to young persons and first time borrowers who couldn't in a month of Sundays get a gift off their parents. Because it's not really a gift from the parents, it's moreso a gift that everyone else pays for in paying off the excesses that allowed that scenario to emerge and persist.

What sort of an impact do you first time buyers think the getting a 'gift' from parents that others get is having on your own ability to compete in the market and save? Especially in Dublin. How are you doing it?

How are you managing to save while paying Dublin rents?

I guess I'm not unique in that during the bubble we (my now wife and I) house shared for a number of years and saved hard while doing so. We built up a big enough deposit during those years to afford a decent house today. I'm not sure that conditions today are that much more extreme than the height of the bubble. Why can't people today live and save in the same way as we had to do to purchase a property??

angeldelight

Daisy78 wrote: »

Was that in the previous year Angel? My balance would be a lot lower than that which I'd intend clearing anyway, just worried they'd look negatively on DD payments to your credit card. Thought I was being responsible but perhaps now with more stringent requirements they may look unfavourably on it. Feck it every time I think I'm getting closer the goal posts are moved

That was in May/June 2015... we paid money off our credit card each month but usually spent that amount again on it during the month so our balance wasn't really decreasing. It wasn't an issue

Ayuntamiento

myshirt wrote: »

How are people managing to save while also paying Dublin rents? Extreme cost discipline no doubt, but how? What are your experiences?

Truly believe CAT thresholds need to be brought down, as predominantly these impact the rich, or those who achieved wealth in the boom believing it was their own efforts that got them it, rather than a distorted economy.

The bill for this is on the shoulders of young persons and young first time buyers. CAT thresholds to come down, and the tax to be redirected to young persons and first time borrowers who couldn't in a month of Sundays get a gift off their parents. Because it's not really a gift from the parents, it's moreso a gift that everyone else pays for in paying off the excesses that allowed that scenario to emerge and persist.

What sort of an impact do you first time buyers think the getting a 'gift' from parents that others get is having on your own ability to compete in the market and save? Especially in Dublin. How are you doing it?

Yeah it's kind of annoying that other people get gifts from their parents which we didn't. Equally we're lucky to have a good combined salary which other people don't.
You just have to play with the hand that you're dealt in life. No point in begrudging other people's good luck.
Now that the CB have relaxed deposit requirements, it looks like the 3.5x combined salary rule will be the biggest factor inhibiting people's borrowing ability.

Cyrus

Ayuntamiento wrote: »

Yeah it's kind of annoying that other people get gifts from their parents which we didn't. Equally we're lucky to have a good combined salary which other people don't.
You just have to play with the hand that you're dealt in life. No point in begrudging other people's good luck.
Now that the CB have relaxed deposit requirements, it looks like the 3.5x combined salary rule will be the biggest factor inhibiting people's borrowing ability.

And hopefully they won't relax that any time soon

lbyrne121

Hi,

we found a house therefore we want to go for a mortgage and apply for the start of January.

I recently got engaged in Oct and we closed our savings account and withdrew 6000 euro and then transferred the remaining balance into a new savings account in Nov... Therefore we took a break in the Month of Oct for savings while transferring the money across i.e. we didn't show any direct debit transaction of saving. we took this money out of our savings to pay for deposit for hotel for wedding and bands etc..

We have shown regular savings of 3,125 per calendar month over the last 2 years and currently have 70K in savings (all of which is ours and not gifted by anyone).

My question is will this impact us now going for a mortgage as we withdrew money from our savings and also took a one month break before we set up our new savings accounts?

Any advice would be greatly appreciated

Zzippy

lbyrne121 wrote: »

Hi,

we found a house therefore we want to go for a mortgage and apply for the start of January.

I recently got engaged in Oct and we closed our savings account and withdrew 6000 euro and then transferred the remaining balance into a new savings account in Nov... Therefore we took a break in the Month of Oct for savings while transferring the money across i.e. we didn't show any direct debit transaction of saving. we took this money out of our savings to pay for deposit for hotel for wedding and bands etc..

We have shown regular savings of 3,125 per calendar month over the last 2 years and currently have 70K in savings (all of which is ours and not gifted by anyone).

My question is will this impact us now going for a mortgage as we withdrew money from our savings and also took a one month break before we set up our new savings accounts?

Any advice would be greatly appreciated

Not at all, once you have statements from the previous account showing regular savings the bank won't mind a break. They really want you to show ability to repay, and that you have built up the funds yourselves without help. Taking a month off or making a withdrawal for once-off payments is not a biggie, especially considering the amount you are saving and have accumulated.

witzky

Great thread. Have a question...

So we had our bid accepted and we're looking at putting down the deposit. The thing is im not sure wether to go full 20% which is 75k or go 15%. If we go the full 20% it would reduce the motgage by 20k and we'll get a lower rate of 3.3% due to the LTV ratio. Thing is with the stamp duty and other fees we would be only left with 5k savings to furnish the house. If we go 15% we would have the extra 20k in the bank tho???

Am i right in putting down the full 20% now?? Cheaper monthly repayments and a reduced interest rate?
Cheers in advance!

W
Edit- sounds obvious when I read it like that... But feel like I'm missing something.. Ah I dunno..im stressed out ha!

Michael D Not Higgins

witzky wrote: »

Great thread. Have a question...

So we had our bid accepted and we're looking at putting down the deposit. The thing is im not sure wether to go full 20% which is 75k or go 15%. If we go the full 20% it would reduce the motgage by 20k and we'll get a lower rate of 3.3% due to the LTV ratio. Thing is with the stamp duty and other fees we would be only left with 5k savings to furnish the house. If we go 15% we would have the extra 20k in the bank tho???

Am i right in putting down the full 20% now?? Cheaper monthly repayments and a reduced interest rate?
Cheers in advance!

W

Go for 20%, you can buy the essentials and build up savings again to buy more furniture later.

bleary

Get the lower rate with 20% and furnish as you go.
You'd be amazed how many people offer you free furniture when you move in.
Then you can replace with your own things as you go along and decide what you like.
5 k is enough to get a bed mattress and Table chairs etc.

Zzippy

Get the lowest interest rate you can. In all likelihood it may take 3 or more months to close once sale agreed, which is an extra 3 months savings, so you will have more than 5k, and 5k is plenty of get the basics.

In other news, our vendors finally signed, so we're getting keys in less than 3 weeks. Sale agreed since 2nd September...

Mink

witzky wrote: »

The thing is im not sure wether to go full 20% which is 75k or go 15%. If we go the full 20% it would reduce the motgage by 20k and we'll get a lower rate of 3.3% due to the LTV ratio. Thing is with the stamp duty and other fees we would be only left with 5k savings to furnish the house. If we go 15% we would have the extra 20k in the bank tho???

Am i right in putting down the full 20% now?? Cheaper monthly repayments and a reduced interest rate?

Without a doubt I'd go 20% and avail of the cheaper rate. As soon as I can avail of the lower rate I will (I've a long way to go as getting a 90% mortgage.

You'll def be able to chip away at whatever you need over the first 6mths/yr.

You're in a great position to do that so go for it

Mink

Zzippy I'd say that's good going to get that far ahead within 3 mths!

We're sale agreed since 1st November. Vendor stipulated a quick sale as no tenants and no chain.

We've already paid booking deposit, done survey, organised mortgage protection and our loan pack is with our solicitor. Just waiting on vendor solicitor to send on contracts to our solicitor now.

I've to give notice to landlord, try find a playschool place for my son and arrange time off work so getting nervous that it'll all be on top of me in one fell swoop or else really delayed by some unforeseen problems on vendors side.

Plus junior infants places and I'm already a year or two behind existing families in the area.

Meanwhile my husband is cool as a cucumber

Zzippy

Mink wrote: »

Zzippy I'd say that's good going to get that far ahead within 3 mths!

We're sale agreed since 1st November. Vendor stipulated a quick sale as no tenants and no chain.

We've already paid booking deposit, done survey, organised mortgage protection and our loan pack is with our solicitor. Just waiting on vendor solicitor to send on contracts to our solicitor now.

I've to give notice to landlord, try find a playschool place for my son and arrange time off work so getting nervous that it'll all be on top of me in one fell swoop or else really delayed by some unforeseen problems on vendors side.

Plus junior infants places and I'm already a year or two behind existing families in the area.

Meanwhile my husband is cool as a cucumber

In fairness we've had delays too with contracts and loan pack taking a while to issue and a small boundary issue that had to be clarifiied, but we've a good broker who has nursed things along well and a competent solicitor. Have learned there is no point getting stressed about delays, these things have a timeline of their own and you'll get there in the end.

zedhead

Contracts arrived with our solicitor yesterday but he was not in the office. His assistant told us he'd review today and give us a call but she did confirm there was no closing date and an awful lot of special circumstances. Waiting to hear from the solicitor today - hoping its good news and the contracts can be signed by us this week.

dar_cool

Its all starting to come together for us, Solicitor called me today to say Vendors signed the contracts and they requested funds from the bank, the bank emailed me saying they released funds to the solicitors, it looks like we will get our keys end of this week/Monday:D

newacc2015

witzky wrote: »

Great thread. Have a question...

So we had our bid accepted and we're looking at putting down the deposit. The thing is im not sure wether to go full 20% which is 75k or go 15%. If we go the full 20% it would reduce the motgage by 20k and we'll get a lower rate of 3.3% due to the LTV ratio. Thing is with the stamp duty and other fees we would be only left with 5k savings to furnish the house. If we go 15% we would have the extra 20k in the bank tho???

Am i right in putting down the full 20% now?? Cheaper monthly repayments and a reduced interest rate?
Cheers in advance!

W
Edit- sounds obvious when I read it like that... But feel like I'm missing something.. Ah I dunno..im stressed out ha!

You should always match your borrowings without long you expect to have the item. If you choose to borrow on your mortgage. You will be paying off it at around 3.3% for the next 20 years. So the furniture will be costing you a small fortune

You are better off moving in and then after a few months see what you actually need. If you buy a house and furnish it immediately, you will buy a ton of stuff you dont need.

If you really need stuff, try auctions or donedeal. You can pick up some amazing bargains but it takes time.

tony1980

Got a phone call from the estate agent earlier asking what date we would like to close as the current owners are looking to be out 2 weeks before Christmas , my solicitor hasn't received the contracts yet so I said once solicitor has done checks and survey shows up ok, we could be ok for around the 20th of Dec. He said to talk it over with my solicitor as everything is now ready on their side, my solicitor should receive contracts tomorrow.

We were expecting this to go on until January and for closing to be some time that month. We only went Sale Agreed on Nov 15th :eek: We have to give 6 weeks notice here and have planned for Christmas in our current rented house. I know the solicitor will still have to do her work and surveyor also but he sounded pretty confident that all would be done in the next 2-3 weeks. This all seems scarily fast. Things would be a bit tight closing at Christmas but we should be ok if this happens.

Would it be better to see if we can get them to agree on a date in January? Are the solicitors professional fees (not registry fees, etc) usually paid on the date of closing or are you sent a bill for this part of it which you could pay a few weeks later?

Bored Accountant

tony1980 wrote: »

Got a phone call from the estate agent earlier asking what date we would like to close as the current owners are looking to be out 2 weeks before Christmas , my solicitor hasn't received the contracts yet so I said once solicitor has done checks and survey shows up ok, we could be ok for around the 20th of Dec. He said to talk it over with my solicitor as everything is now ready on their side, my solicitor should receive contracts tomorrow.

We were expecting this to go on until January and for closing to be some time that month. We only went Sale Agreed on Nov 15th :eek: We have to give 6 weeks notice here and have planned for Christmas in our current rented house. I know the solicitor will still have to do her work and surveyor also but he sounded pretty confident that all would be done in the next 2-3 weeks. This all seems scarily fast. Things would be a bit tight closing at Christmas but we should be ok if this happens.

Would it be better to see if we can get them to agree on a date in January? Are the solicitors professional fees (not registry fees, etc) usually paid on the date of closing or are you sent a bill for this part of it which you could pay a few weeks later?

For us professional fees had to paid prior to closing.
We were advised the latest date you will get mortgage check issued is 18th December, so any delays with mortgage protection, house insurance, bank mandate valuation, somebody on holidays and everything can slip by a day here and there. I'd say its very ambitious to try get in before Christmas.
We went sale agreed in September and vendors wanted quick sale yet still just hoping to get keys this week.

Bored Accountant

Solicitor just emailed me to say the Bank will not issue funds until Friday so won't close until next week. He said some problem with the valuation which is what delayed us.
So Frustrating.

So Close, but yet so far

lbyrne121

Hi

I just wanted to ask people's advice. I want to go for a mortgage but my fiance is currently in probation which is due to end on the 4th of January 2017. He has been in continuous employment for 7 years as a lecturer (public servant) but left his job for a better paid job as science specialist (private sector).

My question is what are our chances of getting a mortgage in Jan for someone just finished probation and would we be even able to be approved in principal in Dec?

The reason why I ask is we see a house we like and would like to make an offer but we just wondered about get aip prior to his probation period ending.

We have the deposit saved and have showed great savings etc.