Mortgage Application, Deposit and HTB Query

MSVforever

Hi folks.

Just wondering what the situation is with the following situation:

First time buyer, combined salary could qualify us for a mortgage up to €400k (according to the Gross Salary x 3.5 rule etc)

Deposit saved: €25k + a couple of grand for associated fees

Going by our saved deposit we would get a max loan of €225k from the bank.

However if we were buying a €400k house through the help to buy scheme we would only need 5% deposit i. e. €20k.

I am wondering how the process would work in terms of mortgage application. Do you have to apply for the help to buy grand from Revenue first and then apply for the mortgage with a bank?
As banks are only allowing up to 90% mortgages would you still need the €40k I. e. 10%?

Can anybody elaborate please?

Thanks.

LirW

HTB only applies to New builds and only if the builder qualifies for it (which almost all of them do).

awec

Apply for the HTB first and then bring your approval figure with you to the bank for your mortgage appointment.

You will need at least 40k deposit to buy a 400k house. This deposit can be made up from your savings and the HTB money, but the HTB money can not make up more than 5% of the total purchase price or 20k, whatever is lower.

MSVforever

awec wrote: »

Apply for the HTB first and then bring your approval figure with you to the bank for your mortgage appointment.

You will need at least 40k deposit to buy a 400k house. This deposit can be made up from your savings and the HTB money, but the HTB money can not make up more than 5% of the total purchase price or 20k, whatever is lower.

Thanks. Sound advice. We will apply for the HTB first.
Do you know how long it takes to get Revenue approval once all documents are in order (12a, P21 etc)?

Cheers.

awec

MSVforever wrote: »

Thanks. Sound advice. We will apply for the HTB first.
Do you know how long it takes to get Revenue approval once all documents are in order (12a, P21 etc)?

Cheers.

Once everything is in order it's pretty much instant.

Getting everything in order is the slow bit in my experience.

MSVforever

awec wrote: »

Once everything is in order it's pretty much instant.

Getting everything in order is the slow bit in my experience.

Sound. Cheers.

SapHead

My application is “Under Review “ last week or so, how long does that usually take? Had some issue with having members being added and too 12 yes 12 weeks to get it sorted via the “My Enquiries” section and don’t want to be waiting another 4-6 weeks on a reply.

Thanks.

skywayavenue

SapHead wrote: »

My application is “Under Review “ last week or so, how long does that usually take? Had some issue with having members being added and too 12 yes 12 weeks to get it sorted via the “My Enquiries” section and don’t want to be waiting another 4-6 weeks on a reply.

Thanks.

My application was under review for about 2 weeks. I got fed up waiting so rang them and they approved it straight away. She couldn't tell me why it was stuck on under review. Might be worth a phonecall.

MSVforever

Give Revenue a call. You might get sorted there and then (well at least you will find out what the issue is).