Rebuilding Ireland home loan

Ola Heff

Hi All,

Can anyone help? we submitted our application 5 weeks ago and got an email that it's back from housing agency and waiting on a date for meeting but wasn't advised what the housing agency concluded. Does this mean the housing agency advised we can go ahead or was it declined?

BKWDR

Ola Heff wrote: »

Hi All,

Can anyone help? we submitted our application 5 weeks ago and got an email that it's back from housing agency and waiting on a date for meeting but wasn't advised what the housing agency concluded. Does this mean the housing agency advised we can go ahead or was it declined?

It can mean either. Whether it's an approval or a decline, the underwriters decision is then up to the credit committee to confirm

TaDa

beanyb wrote: »

Have you found a property? I think it varies from council to council but the basic steps from my experience are this:

1) apply
2) approval
3) find property
4) give details of property to council
5) council issue loan pack to your solicitor
6) sign loan pack and contracts (pay full deposit)
7) solicitor sends back loan pack to council
8) get house insurance
9) council issue cheque to your solicitor
10) funds transferred to seller
11) get keys

There can be days, weeks or months between each step, depending on each individual case. For me step 5 happened in May, but we only got to step 6 this week!

Thanks, I think you’re pretty spot on with the schedule there. Nicely laid out.

I’d imagine there’s a step for them asking about wage/bank statements given the Covid scheme in place

Have you had any hiccups with that along the process yet? Have not yet been asked about it so just want to know if it is in fact needed so I can have it ready

kbman

TaDa wrote: »

Thanks, I think you’re pretty spot on with the schedule there. Nicely laid out.

I’d imagine there’s a step for them asking about wage/bank statements given the Covid scheme in place

Have you had any hiccups with that along the process yet? Have not yet been asked about it so just want to know if it is in fact needed so I can have it ready

The only times I got requested for this was when I asked for extensions and when we were ready to close

Be ready with last 3 months of payslip and bank statements(length of these can vary depending on when you request an extension etc... first time was nearly a year of statements). Took a while for me to get some of my payslips.

Ola Heff

BKWDR wrote: »

It can mean either. Whether it's an approval or a decline, the underwriters decision is then up to the credit committee to confirm

Thanks for your response.

beanyb

TaDa wrote: »

Thanks, I think you’re pretty spot on with the schedule there. Nicely laid out.

I’d imagine there’s a step for them asking about wage/bank statements given the Covid scheme in place

Have you had any hiccups with that along the process yet? Have not yet been asked about it so just want to know if it is in fact needed so I can have it ready

Yeah you will be asked for updated payslips and bank statements at various stages of the process. I didn't include those in the stages because it depends how long things take how many times you might be asked. As standard I would expect to do that at least on application, when you submit details about the property and at drawdown.

I was asked for a letter from my employer in July (so during my long wait between stages 5 and 6) saying my job and wages were unaffected by covid. This wasn't a problem for me as my job is unaffected and still paid directly by the organisation. I expect when I go to draw down in the next few weeks I will be asked for pay slips and possibly another letter confirming things remain the same, which thankfully they do.

Lauren52

Hi, we are submiting our form 2. They have asked to include house insurance can we do this without having moved into the house? House is a new build not ready till May?

Very confused

H8GHOTI

That list from few days ago, couple of additions:

1) apply
1a. wait
1b. wait some more
2) approval
3) find property
4) give details of property to council
4a. wait & wait & wait
4b. contact them for an update
4c. wait
5) council issue loan pack to your solicitor
6) sign loan pack and contracts (pay full deposit)
7) solicitor sends back loan pack to council
8) get house insurance
8a. wait..................................................
8b. provide documents that you already provided
8c. more waiting
9) council issue cheque to your solicitor
10) funds transferred to seller
11) get keys

kbman

Lauren52 wrote: »

Hi, we are submiting our form 2. They have asked to include house insurance can we do this without having moved into the house? House is a new build not ready till May?

Very confused

I'm just about to move to a new build, same story as yourself, we signed form 2 in October 2019 and only got house insurance nearly 2 weeks ago now.

You can't get house insurance until you have a valuation on the house and in your case Most likely won't be at that stage until May.

Id talk to your council about the situation, Wicklow were quite happy with me when I told them I can't give them what they were asking for so early on in the process

Cheesemccarthy

Maz2016 wrote: »

You don’t have to go with the mpi through the council. You can source your own (but only if you have been refused through rihl). Sourcing your own is cheaper too. Royal London, Irish life etc

Hi there I was in the same boat as you, MPI wouldn’t cover me, however, they would cover my partner. I had to get my own health and life insurance.

SarahKK1987

FINALLY...... We are home owners. Through Kilkenny CC. Applied in November 2019. AIP in Jan 2020. Sale agreed 7th March and for keys 16th December. Long road but couldn't be happier and we got to keep the lower interest rate too. Feel like it's an accomplishment to say we managed to buy a house during a global pandemic. I will note that due to my sector our wages are still being subsidised by the government and we were still able to close. Just to give some hope to anyone in a similar situation. Best of luck to you all either staring or in the middle of this long process. I promise it's worth it all in the end!!!!

Cantstandsya

Sorry, it may well be somewhere in the thread but could someone tell me, now that there is no variable option what are the fees for overpayment on the fixed rate mortgage?

TaDa

SarahKK1987 wrote: »

FINALLY...... We are home owners. Through Kilkenny CC. Applied in November 2019. AIP in Jan 2020. Sale agreed 7th March and for keys 16th December. Long road but couldn't be happier and we got to keep the lower interest rate too. Feel like it's an accomplishment to say we managed to buy a house during a global pandemic. I will note that due to my sector our wages are still being subsidised by the government and we were still able to close. Just to give some hope to anyone in a similar situation. Best of luck to you all either staring or in the middle of this long process. I promise it's worth it all in the end!!!!

That’s great to hear, congrats.

What, if any, was needed from your company to provide proof you are in receipt of the wage subsidy? You are one of the very few I’ve seen close despite being on the scheme.

kbman

TaDa wrote: »

That’s great to hear, congrats.

What, if any, was needed from your company to provide proof you are in receipt of the wage subsidy? You are one of the very few I’ve seen close despite being on the scheme.

We closed just before Christmas.

I needed several letters from work.
I literally copy pasted the wording of what the council asked for and HR gave me a letter that was accepted, which just specified that we weren't in receipt of any subsidy and also what my earnings were on monthly/annual basis.

greenfiddle

Hi everyone,

I'm intending to apply to this scheme but I have a question about savings. I keep my savings in my current account instead of a particular savings one, so I don't have an exact figure I save each month. I do save - about €1000 a month, but do they need to see a consistent figure and it sitting somewhere? Also are they very strict on at least 12 months of savings as I wouldn't be saving every month until beginning of March. Would I be better to wait until March to apply or apply now and continue to send them bank statements etc as I know it takes a while for them to go through applications?

Thanks

autumnbelle

Cantstandsya wrote: »

Sorry, it may well be somewhere in the thread but could someone tell me, now that there is no variable option what are the fees for overpayment on the fixed rate mortgage?

Does anyone know?

TaDa

kbman wrote: »

We closed just before Christmas.

I needed several letters from work.
I literally copy pasted the wording of what the council asked for and HR gave me a letter that was accepted, which just specified that we weren't in receipt of any subsidy and also what my earnings were on monthly/annual basis.

All I am being asked for is a bank statement and a pay slip

pearsebhoy

Hi lads, we recently applied for a mortgage through a bank and was approved for €84k which wouldn’t buy you anything. We’re going to apply for the rebuilding Ireland mortgage and I’ve got a few questions regarding it that I’ve searched for on this thread and their website, but can’t locate answers to.

The reason we were approved for so little is because my wife receives carers allowance and DCA. No banks include DCA and very few include carers allowance. We’ve also got 4 children, so the banks subtract €250 per month per child from your gross annual income (which is absolutely ridiculous in its own right), then take that figure and multiply by 3.5. My question here is, the amount the calculator on the rebuilding Ireland website outputs doesn’t have a spot for children. Are children included in the figure that they come up with? I haven’t seen any information about that anywhere. Also, how strict are they with the 12 months bank statements? We have our accounts sorted for the past 6 months, but if they require 12 months then we will have to wait to apply. Also, it seems like they don’t include paying rent as a form of a “savings history” like traditional banks do? I’m just basing this off some things of the comments on this thread.

I’m really at my wits end here and starting to get extremely depressed over this. We have €90k in savings, I’m able to pay €1500 a month in rent and still save a few hundred every month, I have zero debt and an extremely good credit history, yet the banks don’t take ANY OF THAT into consideration when applying for a mortgage? The system is broken and it’s designed to help the rich get richer because the working man is penalised for having a family. As I said above I’m really down right now and can’t see any light at the end of the tunnel. I’m finding it hard to get up every morning now because I feel I’ll be renting forever

kbman

pearsebhoy wrote: »

Hi lads, we recently applied for a mortgage through a bank and was approved for €84k which wouldn’t buy you anything. We’re going to apply for the rebuilding Ireland mortgage and I’ve got a few questions regarding it that I’ve searched for on this thread and their website, but can’t locate answers to.

The reason we were approved for so little is because my wife receives carers allowance and DCA. No banks include DCA and very few include carers allowance. We’ve also got 4 children, so the banks subtract €250 per month per child from your gross annual income (which is absolutely ridiculous in its own right), then take that figure and multiply by 3.5. My question here is, the amount the calculator on the rebuilding Ireland website outputs doesn’t have a spot for children. Are children included in the figure that they come up with? I haven’t seen any information about that anywhere. Also, how strict are they with the 12 months bank statements? We have our accounts sorted for the past 6 months, but if they require 12 months then we will have to wait to apply. Also, it seems like they don’t include paying rent as a form of a “savings history” like traditional banks do? I’m just basing this off some things of the comments on this thread.

I’m really at my wits end here and starting to get extremely depressed over this. We have €90k in savings, I’m able to pay €1500 a month in rent and still save a few hundred every month, I have zero debt and an extremely good credit history, yet the banks don’t take ANY OF THAT into consideration when applying for a mortgage? The system is broken and it’s designed to help the rich get richer because the working man is penalised for having a family. As I said above I’m really down right now and can’t see any light at the end of the tunnel. I’m finding it hard to get up every morning now because I feel I’ll be renting forever

They told me that they would need confirmation from owner or estate agents about rent situation and want to see this on your bank statements.
We had a 2 year at the time of applying and when we were due to have another and requested to fill in a declaration of unchanged circumstances, we were told that was ok, so it didn't affect the figures.

It would seem to me that they never took it into account when giving us our mortgage at any stage.

I'm not sure about the savings but it definitely helps to have this in savings account as at the end, it looks like they wanted to confirm that we had sufficient savings to pay the balance and legal fees, outlay etc after deposit and mortgage are provided.

I'd contact the Council you want to apply with or even the rebuilding ireland desk to confirm about the savings how strict they are, seems to vary from council to council from what i've read.

Best of luck.

pearsebhoy

kbman wrote: »

They told me that they would need confirmation from owner or estate agents about rent situation and want to see this on your bank statements.
We had a 2 year at the time of applying and when we were due to have another and requested to fill in a declaration of unchanged circumstances, we were told that was ok, so it didn't affect the figures.

It would seem to me that they never took it into account when giving us our mortgage at any stage.

I'm not sure about the savings but it definitely helps to have this in savings account as at the end, it looks like they wanted to confirm that we had sufficient savings to pay the balance and legal fees, outlay etc after deposit and mortgage are provided.

I'd contact the Council you want to apply with or even the rebuilding ireland desk to confirm about the savings how strict they are, seems to vary from council to council from what i've read.

Best of luck.

Thanks pal. We currently are renting through the HAP scheme so they’d have our rent history anyway and then we pay the balance to the landlord. Save a whopping €40 a month through the scheme.

pearsebhoy

I’ve another question if anyone is able to answer? If we get approval for x amount and we have savings other than deposit or gifts from family members, can we put that toward the house? So in other words if we get approved for 198k mortgage, can we buy a house that’s 250k if we have the rest of the money? Thanks guys.

Antho12

pearsebhoy wrote: »

I’ve another question if anyone is able to answer? If we get approval for x amount and we have savings other than deposit or gifts from family members, can we put that toward the house? So in other words if we get approved for 198k mortgage, can we buy a house that’s 250k if we have the rest of the money? Thanks guys.

Yes you can as long as the price of the property doesn’t exceed 320k in Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow or 250k if you’re looking to purchase in the rest of the country.

pearsebhoy

Antho12 wrote: »

Yes you can as long as the price of the property doesn’t exceed 320k in Cork, Dublin, Galway, Kildare, Louth, Meath and Wicklow or 250k if you’re looking to purchase in the rest of the country.

Ah okay great, thank you

optogirl

pearsebhoy wrote: »

I’ve another question if anyone is able to answer? If we get approval for x amount and we have savings other than deposit or gifts from family members, can we put that toward the house? So in other words if we get approved for 198k mortgage, can we buy a house that’s 250k if we have the rest of the money? Thanks guys.

No unfortunately. This is causing us major hassle. We got approved for 288 & are not allowed to bid a cent over 320 despite having some more in savings above the deposit. Been outbid on every house since September. It's head wrecking.

pearsebhoy

optogirl wrote: »

No unfortunately. This is causing us major hassle. We got approved for 288 & are not allowed to bid a cent over 320 despite having some more in savings above the deposit. Been outbid on every house since September. It's head wrecking.

Just as long as we can make up the difference up to 250, we should be grand. With my luck we’ll be approved for 180k or so and that won’t buy you anything. We have 90k in savings, so have a bit of wiggle room there for that. Absolutely scandalous the banks would only offer is 80k of a mortgage. It’s been such a humiliating experience so far and I’ve a feeling it’s about to get worse when applying for this mortgage

H8GHOTI

pearsebhoy wrote: »

I’ve another question if anyone is able to answer? If we get approval for x amount and we have savings other than deposit or gifts from family members, can we put that toward the house? So in other words if we get approved for 198k mortgage, can we buy a house that’s 250k if we have the rest of the money? Thanks guys.

You’ll be asked at some stage about “gifts”. Probably need to get a letter from the person who gifted the money to you during the application. And once you go sale agreed a deed of confirmation stating they have no interest in your house will be required before closing. Way in the future though.

pearsebhoy

H8GHOTI wrote: »

You’ll be asked at some stage about “gifts”. Probably need to get a letter from the person who gifted the money to you during the application. And once you go sale agreed a deed of confirmation stating they have no interest in your house will be required before closing. Way in the future though.

We have a very large deposit sorted anyway, so I don’t see it being an issue without us getting a gift. The issue I do see is they don’t accept carers allowance, which is a long term social welfare payment even though they say it’s not, so we’ll only be going off my salary. I’ve used to calculator on their website and it comes to €132k. That’s using my base salary without overtime. That’s best case scenario as well, which is not enough to purchase a house in our area. Not even close.

SCLW89

pearsebhoy wrote: »

Hi lads, we recently applied for a mortgage through a bank and was approved for €84k which wouldn’t buy you anything. We’re going to apply for the rebuilding Ireland mortgage and I’ve got a few questions regarding it that I’ve searched for on this thread and their website, but can’t locate answers to.

The reason we were approved for so little is because my wife receives carers allowance and DCA. No banks include DCA and very few include carers allowance. We’ve also got 4 children, so the banks subtract €250 per month per child from your gross annual income (which is absolutely ridiculous in its own right), then take that figure and multiply by 3.5. My question here is, the amount the calculator on the rebuilding Ireland website outputs doesn’t have a spot for children. Are children included in the figure that they come up with? I haven’t seen any information about that anywhere. Also, how strict are they with the 12 months bank statements? We have our accounts sorted for the past 6 months, but if they require 12 months then we will have to wait to apply. Also, it seems like they don’t include paying rent as a form of a “savings history” like traditional banks do? I’m just basing this off some things of the comments on this thread.

I’m really at my wits end here and starting to get extremely depressed over this. We have €90k in savings, I’m able to pay €1500 a month in rent and still save a few hundred every month, I have zero debt and an extremely good credit history, yet the banks don’t take ANY OF THAT into consideration when applying for a mortgage? The system is broken and it’s designed to help the rich get richer because the working man is penalised for having a family. As I said above I’m really down right now and can’t see any light at the end of the tunnel. I’m finding it hard to get up every morning now because I feel I’ll be renting forever

When I was first applying I asked about the kids on the online helpdesk and they said They dont take dependants in to account! Which is great, we have 3 so banks were offering us pittance as well. The online calculator seems to be nearly bang on to what they will give you plus or minus a few hundred. Best of luck!

Lauren52

SCLW89 wrote: »

When I was first applying I asked about the kids on the online helpdesk and they said They dont take dependants in to account! Which is great, we have 3 so banks were offering us pittance as well. The online calculator seems to be nearly bang on to what they will give you plus or minus a few hundred. Best of luck!

You are similar to us, we have our approval now , approved for 221,
I get DCA also for my son, none of this was accounted for. They took his full wage of 30,000, last year I was on PUP a good bit , was on it when we got the AIP so I think they only took my Basic which would be 15,000 , they didnt take in anything else I earn. Had I of not been on A Covid payment we would of got 260,000 in AIP.

We applied to EBS in 2019 and were approved for 165,000 they took more of my wage in at the time.

We have 2 kids , with rent & savings its 2000+ every month for the passed 18+ Months

Lauren52

pearsebhoy wrote: »

Hi lads, we recently applied for a mortgage through a bank and was approved for €84k which wouldn’t buy you anything. We’re going to apply for the rebuilding Ireland mortgage and I’ve got a few questions regarding it that I’ve searched for on this thread and their website, but can’t locate answers to.

The reason we were approved for so little is because my wife receives carers allowance and DCA. No banks include DCA and very few include carers allowance. We’ve also got 4 children, so the banks subtract €250 per month per child from your gross annual income (which is absolutely ridiculous in its own right), then take that figure and multiply by 3.5. My question here is, the amount the calculator on the rebuilding Ireland website outputs doesn’t have a spot for children. Are children included in the figure that they come up with? I haven’t seen any information about that anywhere. Also, how strict are they with the 12 months bank statements? We have our accounts sorted for the past 6 months, but if they require 12 months then we will have to wait to apply. Also, it seems like they don’t include paying rent as a form of a “savings history” like traditional banks do? I’m just basing this off some things of the comments on this thread.

I’m really at my wits end here and starting to get extremely depressed over this. We have €90k in savings, I’m able to pay €1500 a month in rent and still save a few hundred every month, I have zero debt and an extremely good credit history, yet the banks don’t take ANY OF THAT into consideration when applying for a mortgage? The system is broken and it’s designed to help the rich get richer because the working man is penalised for having a family. As I said above I’m really down right now and can’t see any light at the end of the tunnel. I’m finding it hard to get up every morning now because I feel I’ll be renting forever

I replied to this on the wrong reply , 84,000 is shocking did You speak with a Mortgage Adviser.

We felt the same as You, but finally we are getting somewhere 18mts later.

Best Of Luck