Rebuilding Ireland home loan

deise121

Jafin wrote: »

...I've heard of some pretty asinine reasons but that one really takes the cake. I don't know what bank you're with but I'm fairly certain when I downloaded my statements on my computer (Permanent TSB) the details were on every page. Try that if you can. Hopefully they'll allow to submit just those and not have to do the whole application again.

it's the an post current and savings accounts. it's herself's account. i've emailed them back and told her that's exactly what was provided so she said she'd pass that on to the underwriter

deise121

New housing estate being build in Waterford across from a halting site and next to 3 council estates. These are the starting prices...

House Type

Yates - 3 Bed Semi Detached - €255,950 (1,130 sq ft) - PRE LAUNCH PRICE

Completion from August 2021.

What an absolute farce this rebuilding ireland homeloan is when you can't even purchase a house in the worst part of waterford because the max house prices is 250k. I feel so ****ing hopeless.

optogirl

deise121 wrote: »

New housing estate being build in Waterford across from a halting site and next to 3 council estates. These are the starting prices...

House Type

Yates - 3 Bed Semi Detached - €255,950 (1,130 sq ft) - PRE LAUNCH PRICE

Completion from August 2021.

What an absolute farce this rebuilding ireland homeloan is when you can't even purchase a house in the worst part of waterford because the max house prices is 250k. I feel so ****ing hopeless.

It's an absolute joke. Dublin capped at 320 no matter whether you have additional funds to add to your bid. You cannot buy a decent family home for that money. Starting prices for new builds in Waterford at 255 - immediately beyond anyone using this scheme. People's AIP running out despite having gone sale agreed - so what do they want us to do? Find a house in the first month of approval and hope it's all done and dusted within the time frame? Big variance between councils etc. It's a shambles.

deise121

optogirl wrote: »

It's an absolute joke. Dublin capped at 320 no matter whether you have additional funds to add to your bid. You cannot buy a decent family home for that money. Starting prices for new builds in Waterford at 255 - immediately beyond anyone using this scheme. People's AIP running out despite having gone sale agreed - so what do they want us to do? Find a house in the first month of approval and hope it's all done and dusted within the time frame? Big variance between councils etc. It's a shambles.

it's absolutely ridiculous and scandalous. the government doesn't give a toss about anyone. this scheme was just thrown together and not managed correctly or properly. the max amount of the homeloan should go up or down depending on the housing market. end of.

K95hc

Hey I got my refusal letter today. The only reason stated is
Unsatisfactory Savings Record/Source of equity. Does anyone know how long i need to be saving for before I apply again? I currently pay rent and save, but I have only been saving for the last 3 months. Will I be OK to apply again once I have saved 30% of the deposit through regular savings? Or should I wait and save for the next 12 months?

Jafin

K95hc wrote: »

Hey I got my refusal letter today. The only reason stated is
Unsatisfactory Savings Record/Source of equity. Does anyone know how long i need to be saving for before I apply again? I currently pay rent and save, but I have only been saving for the last 3 months. Will I be OK to apply again once I have saved 30% of the deposit through regular savings? Or should I wait and save for the next 12 months?

You have to have records of 12 months worth of savings unfortunately.

K95hc

Jafin wrote: »

You have to have records of 12 months worth of savings unfortunately.

Thanks for replying. I've been saving 500 each month and I pay 650 in rent. Is it ok to reduce my savings payments to say, 350 each month and add more mkney some months if I can? Or am I better off just having the same amount every month? Sorry if it seems like a silly question, but it appears that they can be pretty strict.

Lauren52

deise121 wrote: »

opened the ios app, went to statements and downloaded them. opened the pdf, sent it via airprint to my printer. they said it wasn't good enough because the account details aren't on every page of the print off.

It all depends on how much of a mortgage you are looking for. So we saved minimum 1000 a mt. Sometimes it was 2000 it all depended on how much I worked in the mt and if I got mileage etc. Then rent which was 1200. So minimum savings+rent was 2200 per month. Our Mortgage repayments + mpi is 950 , that was the max we could borrow (221,000) based on savings, rent and wages.

Another person on here saves minimum 1,000 per month , no rent , AIP for 160,000. So it depends on how much you want to borrow. You basically have to save/rent a % more than you will need to repay monthly. Also the amount You earn, I'm not sure of the % extra , someone else on here will explain that better than me , but on our side we saved/rent a substantial amount more than we have to repay, or wages were a factor also. Hope that helps, but yes You need to have 12mts of savings+rent (rent will count for proof of repayment but if you were only saving for 3 mts and the other 7 were the 650 per mt then they would need to see more than the 650 if your repayments will be higher or close to 650)

deise121

Lauren52 wrote: »

It all depends on how much of a mortgage you are looking for. So we saved minimum 1000 a mt. Sometimes it was 2000 it all depended on how much I worked in the mt and if I got mileage etc. Then rent which was 1200. So minimum savings+rent was 2200 per month. Our Mortgage repayments + mpi is 950 , that was the max we could borrow (221,000) based on savings, rent and wages.

Another person on here saves minimum 1,000 per month , no rent , AIP for 160,000. So it depends on how much you want to borrow. You basically have to save/rent a % more than you will need to repay monthly. Also the amount You earn, I'm not sure of the % extra , someone else on here will explain that better than me , but on our side we saved/rent a substantial amount more than we have to repay, or wages were a factor also. Hope that helps, but yes You need to have 12mts of savings+rent (rent will count for proof of repayment but if you were only saving for 3 mts and the other 7 were the 650 per mt then they would need to see more than the 650 if your repayments will be higher or close to 650)

yes, i have all that and more. the issue isn't with my savings history or rent payments, the issue was with how the bank statements look when they're printed off from the pdf file from the official app.

Jafin

K95hc wrote: »

Thanks for replying. I've been saving 500 each month and I pay 650 in rent. Is it ok to reduce my savings payments to say, 350 each month and add more mkney some months if I can? Or am I better off just having the same amount every month? Sorry if it seems like a silly question, but it appears that they can be pretty strict.

You're better off saving roughly the same amount every month. If there's a small bit of a difference from month to month it shouldn't be a big deal, but if they're seeing you save 650 one month and 350 the next it might be a red flag that you can't manage your money well. Now that is just an assumption I'm making, I'm not saying they will see it as a red flag.

If you don't think you can afford to save 650 every single month then try to bring it down a bit to an amount that you are confident you can hit every month. They should take your rent into consideration as well as evidence that you can repay the mortgage since that's a set amount coming out of your account every month.

K95hc

Jafin wrote: »

You're better off saving roughly the same amount every month. If there's a small bit of a difference from month to month it shouldn't be a big deal, but if they're seeing you save 650 one month and 350 the next it might be a red flag that you can't manage your money well. Now that is just an assumption I'm making, I'm not saying they will see it as a red flag.

Thank you for the advice. I asked and they said they have no issue with my repayment capacity as my rent is 650 and my mortgage would be 680. It's strictly the savings because I've only put away 500/month steadily for the last 3 months. It's very difficult to tell how much you can put away each month without ever dipping into it because who knows what might come up (car problems etc). Also, I'm single with 3 kids and starting to think about saving for Xmas, but then worried about how it will look if I have some savings and then use that for Xmas.
I'm just going to do my best and apply again in 2022. Do you think they will continue this scheme into 2022?

K95hc

Jafin wrote: »

You're better off saving roughly the same amount every month. If there's a small bit of a difference from month to month it shouldn't be a big deal, but if they're seeing you save 650 one month and 350 the next it might be a red flag that you can't manage your money well. Now that is just an assumption I'm making, I'm not saying they will see it as a red flag.

If you don't think you can afford to save 650 every single month then try to bring it down a bit to an amount that you are confident you can hit every month. They should take your rent into consideration as well as evidence that you can repay the mortgage since that's a set amount coming out of your account every month.

Thank you for the advice. I asked and they said they have no issue with my repayment capacity as my rent is 650 and my mortgage would be 680. It's strictly the savings because I've only put away 500/month steadily for the last 3 months. It's very difficult to tell how much you can put away each month without ever dipping into it because who knows what might come up (car problems etc). Also, I'm single with 3 kids and starting to think about saving for Xmas, but then worried about how it will look if I have some savings and then use that for Xmas.
I'm just going to do my best and apply again in 2022. Do you think they will continue this scheme into 2022?

diceyreilly

K95hc wrote: »

Thanks for replying. I've been saving 500 each month and I pay 650 in rent. Is it ok to reduce my savings payments to say, 350 each month and add more mkney some months if I can? Or am I better off just having the same amount every month? Sorry if it seems like a silly question, but it appears that they can be pretty strict.

I save a different amount every week. The more overtime i do the more i save. Won’t be an issue once your saving enough to pay back the mortgage. That’s all they care about

diceyreilly

Fingal COCO received my pack 12 weeks ago. They emailed me shortly after to say it would take 12 weeks.
So emailed em today to see if there was an update.
They said i will get a letter next week with a decision.
Is this normal for everyone that has been through this.

chigg06

Hi,
Our second child was born after we sent in our application. We now have approval in principle. I'm just wondering will we have to start from scratch again? (Change of circumstances) Nothing else has changed for us. I have read here that it won't make a difference.Does anybody know if the council will withdraw our offer now or we will be ok?Many thanks!

BaguMka

chigg06 wrote: »

Hi,
Our second child was born after we sent in our application. We now have approval in principle. I'm just wondering will we have to start from scratch again? (Change of circumstances) Nothing else has changed for us. I have read here that it won't make a difference.Does anybody know if the council will withdraw our offer now or we will be ok?Many thanks!

Just don't tell them, they won't find out

diceyreilly

Yeah don’t tell them. Unlikely they will ask you. You didn’t lie on the application

LaurenMcHugh

We sent back our signed letter of offer, form 2 and mpi forms back to the council 4 weeks ago. I’ve been in touch with the coco and last week she said the paperwork is with their solicitors and they’ll be in touch with mine. Does anyone know how much longer I will be waiting? Also we both answered yes to parts of the MPI form, they have said nothing about this. When do you know if you will get a phone interview for mpi?
Thanks

clio_16v

clio_16v wrote: »

Sent my application to Cork City Council around 4 weeks ago and got no confirmation email or letter. Emailed them today and was told it has been forwarded to the Housing Agency for a recommendation.

Does this mean they are recommending approval or does it just mean it has been processed?

Any idea of a timeline from here to being able to bid?

Anyone have info on this or a rough time line?

Karis

deise121 wrote: »

it's absolutely ridiculous and scandalous. the government doesn't give a toss about anyone. this scheme was just thrown together and not managed correctly or properly. the max amount of the homeloan should go up or down depending on the housing market. end of.

Can't agree more, we are with Meath Co. Co.and just lost our house...it's very frustrating and unfair...Looking at the way it works we can't really buy a new-build and use our HTB, because all the new houses are sold before they even build, and Co. Co. wouldn't issue the formal loan approval until the house is completely built. To buy the second-hand house you need the deposit, but its very difficult to save for that much deposit paying €2000 rent every month. And then there is bidding...you cant even see the house until you get into the 5 highest bidders. My understanding was that RIHL and HTB were made to help people to buy their first house...in real life it doesn't really work, at lest it didn't work for us. Can something be done about it???? Maybe if several people would wright the letter to local TDs or the paper to get attention.... It look like we not the only family who's going through this nightmare...

BaguMka

Karis wrote: »

Can't agree more, we are with Meath Co. Co.and just lost our house...it's very frustrating and unfair...Looking at the way it works we can't really buy a new-build and use our HTB, because all the new houses are sold before they even build, and Co. Co. wouldn't issue the formal loan approval until the house is completely built. To buy the second-hand house you need the deposit, but its very difficult to save for that much deposit paying €2000 rent every month. And then there is bidding...you cant even see the house until you get into the 5 highest bidders. My understanding was that RIHL and HTB were made to help people to buy their first house...in real life it doesn't really work, at lest it didn't work for us. Can something be done about it???? Maybe if several people would wright the letter to local TDs or the paper to get attention.... It look like we not the only family who's going through this nightmare...

Depends on county council I guess. I'm with Kildare CoCo and I managed to get a loan offer for a new-build that had not begun to be built at the time. We agreed to do two valuation reports first based on plans and second when house is finished

Karis

Yes, I have learned that already. That is the problem unfortunately. Every county should act the same, so people have equal opportunities to by a house. Sorry, I a'm just really upset and lost at the moment...

rob316

Are they going to admit, this thing is little more than a PR exercise, the banks don't make you jump through the hoops they do, the price limits do not reflect the current market and its so drawn out sellers are waiting forever to get paid and give you the keys.

deise121

rob316 wrote: »

Are they going to admit, this thing is little more than a PR exercise, the banks don't make you jump through the hoops they do, the price limits do not reflect the current market and its so drawn out sellers are waiting forever to get paid and give you the keys.

the government admit they're wrong? you'll be waiting

Ace2007

optogirl wrote: »

It's an absolute joke. Dublin capped at 320 no matter whether you have additional funds to add to your bid. You cannot buy a decent family home for that money. Starting prices for new builds in Waterford at 255 - immediately beyond anyone using this scheme. People's AIP running out despite having gone sale agreed - so what do they want us to do? Find a house in the first month of approval and hope it's all done and dusted within the time frame? Big variance between councils etc. It's a shambles.

But the idea is for those of a certain wage, it's not suitable for high earners, or those with additional capital.

if Dublin was say 400k, and they still give 90% mortgage - you would have people borrowing 360k, when only having 75k of a salary, i.e. 4.8 times their salary - which is more than anyone else can get on the open market. With the exception rule, the most you can get is 4.5x your salary.

The scheme mightn't be perfect, but why should someone on a lower wage, be able to borrow more than someone on a slightly higher wage?

deise121

Ace2007 wrote: »

But the idea is for those of a certain wage, it's not suitable for high earners, or those with additional capital.

if Dublin was say 400k, and they still give 90% mortgage - you would have people borrowing 360k, when only having 75k of a salary, i.e. 4.8 times their salary - which is more than anyone else can get on the open market. With the exception rule, the most you can get is 4.5x your salary.

The scheme mightn't be perfect, but why should someone on a lower wage, be able to borrow more than someone on a slightly higher wage?

that's not the point. the point is the max value of the mortgage is not in line with current housing prices. i have over 100k saved and if i'm offered a 160k or 170k from rebuilding ireland, i can't put the full 100k towards the house. the max price of the home cannot exceed 250k. in waterford most homes that suit my family's needs are in excess of 250k. even ones that are being listed under are selling for way over.

Ace2007

deise121 wrote: »

that's not the point. the point is the max value of the mortgage is not in line with current housing prices. i have over 100k saved and if i'm offered a 160k or 170k from rebuilding ireland, i can't put the full 100k towards the house. the max price of the home cannot exceed 250k. in waterford most homes that suit my family's needs are in excess of 250k. even ones that are being listed under are selling for way over.

But that's not what Rebuilding Ireland Home loan is for really. surely if you have saved over 100k, then a bank would give you a mortgage unless you have a poor credit history.

Is it fair that you could potential outbid someone who doesn't qualify for the scheme?

Lauren52

Karis wrote: »

Can't agree more, we are with Meath Co. Co.and just lost our house...it's very frustrating and unfair...Looking at the way it works we can't really buy a new-build and use our HTB, because all the new houses are sold before they even build, and Co. Co. wouldn't issue the formal loan approval until the house is completely built. To buy the second-hand house you need the deposit, but its very difficult to save for that much deposit paying €2000 rent every month. And then there is bidding...you cant even see the house until you get into the 5 highest bidders. My understanding was that RIHL and HTB were made to help people to buy their first house...in real life it doesn't really work, at lest it didn't work for us. Can something be done about it???? Maybe if several people would wright the letter to local TDs or the paper to get attention.... It look like we not the only family who's going through this nightmare...

We bought ours before house was built. This is incorrect. Some councils are saying this even Kildare said it to me , but I got the valuation before house was done he went to the site. Then when the house was ready got the same man out to do a final so we could drawdown.

Lauren52

Ace2007 wrote: »

But that's not what Rebuilding Ireland Home loan is for really. surely if you have saved over 100k, then a bank would give you a mortgage unless you have a poor credit history.

Is it fair that you could potential outbid someone who doesn't qualify for the scheme?

I think this comment is unfair. Just because some saved 100k does not make them a high earner. It is irrelevant how much a person has saved. It's based on what they earn if they earn under the amount then they are entitled to the scheme as much as those who have 10k saved.

Ace2007

Lauren52 wrote: »

I think this comment is unfair. Just because some saved 100k does not make them a high earner. It is irrelevant how much a person has saved. It's based on what they earn if they earn under the amount then they are entitled to the scheme as much as those who have 10k saved.

That’s 100% correct, but just two points:

The poster believes the current system is unfair and that they should be able to top up the amount in order to pay more for a property - in essence buying a property that is above the majority of other buyers under the scheme.

Secondly they believe the market cap should be increase to keep up with the market - despite the fact the majority of people using the scheme are low earners. It makes no financial sense that a couple on sat 75k or a single person on 50k, could potentially borrow 360k for a 400k cap in dublin. When an individual on 90k a year wouldn’t even get that mortgage through a bank. They low earners would be in way over their head.

Would you agree?