Saving/Applying for a mortgage 2020-22 Edition

CalisGirl

https://www.boards.ie/discussion/comment/118127234#Comment_118127234

Not advice as such, but make sure to check the drawdown while on probation policy of whichever lender you go with. If you're going with a broker, get them to double check the policy again even if they seem certain. You'll likely be able to get to offer stage with the lender but won't be able to drawdown. Thats what happened with me, broker assured me drawdown wouldn't be an issue but once drawdown was requested bank said I'd have to wait until probation finished and had a letter from employer stating that. Probation wasn't mentioned in offer letter, it was only a couple of weeks to wait but a nasty shock at the last stage and without warning.

Outside of that, check with each bank and then a broker. I think Hse probationary contracts are treated more favourably then others and other factors may affect your circumstances.

Emma2019

https://www.boards.ie/discussion/comment/118155410#Comment_118155410

Took the full 40 days for me. Possibly a day or two less, but pretty sure it was the full 40.

DubLad69

Has anyone been through the process of getting a 6 month extension with AIB? Did it take long?

Spooch

Trying to get house insurance in place for our new build ahead of drawdown, however we can't seem to get a quote due to the Eircode being so new/not existing in their databases, even though it definitely is on the Eircode website.

Is house insurance definitely required before drawdown? We have life cover in place. Has anyone been in a similar situation with a new build?

ongarite

Yes, it’s expected for new builds. Go on Google Maps and get precise coordinates on your home and then ring insurance company & provide it instead of Eircode.

elchupanebrey

https://www.boards.ie/discussion/comment/118158944#Comment_118158944

I think they will give a one month extension on the phone, but anything longer I'm not sure it's possible unless you can convince them covid is the reason the house is not completed.

Get on to it a couple of weeks in advance as they will more than likely look for payslips/statements etc before giving an extension. I tried a couple of days in advance of my expiry date and was told this wasn't enough time to organise an extension.

If you are dealing with a branch as opposed to online go in there and they will tell you

HairySalmon

If I give the developer my 2021 HTB code this year but I’m not drawing down until next year, can I reapply for the 2022 code and provide them with that if I can claim more?

Creamy Goodness

https://www.boards.ie/discussion/comment/118173910#Comment_118173910

Yes, the 2021 HTB code is only valid to the end of the year, if there's a potential of you claiming more in 2022 tell this to the developer. They're not going turn down more free money especially if they just have to wait 6~ weeks

__oc__

I have applied to haven through a broker, sent everything in 4 weeks ago today. they came back three times looking for extra things. just trying to figure out if there is much more of a wait?

bleaks

Hi folks, just received an AIP letter from BOI. Presume this means we can start bidding on houses? Sorry, still new to the whole process FTBs!

Pete123456

https://www.boards.ie/discussion/comment/118175638#Comment_118175638

I would expect some sort of update relatively soon… You’re broker should be able to get an idea from their account manager.

Haven are extremely slow in my experience, however they have eased some of their COVID related expectations/requirements which is only a good thing for you.

They also seem to send their queries back in trickles like you have seen… they are very particular on original paperwork, dates, addresses, names and everything else matching up. Often your broker and or solicitor deals with these without updating you so it can seem like nothing has gone on in weeks, if that makes sense.

hopefully you get good news in the next week or two!

Jaybmw

Hi lads . Newbie around here and new to the whole mortgage game.. Anyway our situation is as follows.. applied with AIB. Got aip a few weeks ago which was fine. Took very little notice of that as we though we had to wait till we got approval before we could look at a house. But as I now see it we should have been looking and offering on houses with aip. Which I though funny as what happens if you have problems down the line and can't get approval.

Few days ago the bank has come back and approved us and are looking for the house and solicitor details etc which we don't have.

Have I done things backwards ?

This week we have a few houses to look at. What happens if we can't find anything say within the next month or two. Will it take months for drawdown etc

6 months from looking, to offering, to drawdown and eventually moving in or getting keys etc seems tight. Or am I missing something. I'm talking to my solicitor this week. I'll assume he'll smack me in the mouth

yer man!

https://www.boards.ie/discussion/comment/118199064#Comment_118199064

Once you have AIP you can absolutely start looking for houses and placing bids. If you find a house and a bid is accepted then you will go back to the bank and apply for letter of offer. This will be issued before signing the contract normally so you can be sure that you will be able to fund the house. It’s also possible to have the contract stating that it’s subject to financing so you could even go much further down the house buying process without that loan offer.

AIP normally lasts for 6 months and with AIB you get that initial one within a few minutes of applying and then a more official one called “clean approved in principle” once they see all your documents. That expiry date for both will be same though, 6 months from first application.

if you’re buying a new build it’s a little different. The letter of offer is applied for when you reserve the house and it’s good to have this issued before signing the contract. If the house is not complete yet it could happen that the letter of offer will expire before drawdown so a mini reapplication needs to happen if it takes longer than 6 months from the issue of letter of offer.

All in all, it’s a relatively easy process (just long) and when things expire it’s not too difficult to get them extended.

user_account_1

Looking for a bit of advice at the mo.

Have mortgage approval and am house hunting but I am not really happy in my current job. Do people go ahead with house purchases regardless of career and job. Genuinely wondering. My current job allows me to to get what I need house wise at 3.5 times my salary. But I am just too scared to put in an offer on a house thinking about this dame job.

Pete123456

https://www.boards.ie/discussion/comment/118203048#Comment_118203048

I think if you’re genuinely interested in buying a house within the next 6-9 months, you should consider staying put if you can stick it. Once you draw down you can do what you want, so you could even have the new job lined up in the weeks coming close to that and ask for a longer notice period to give yourself some breathing space in case you needed to revert or something got delayed?

a new role with likely mean a probation period, so that’s 6 months that you can’t draw down in - and I wouldn’t bank on the bank waiving this until they put it in writing that they will.

just my take on it - I’m sure others will tell you the opposite.

Eireann81

My fixed rate with Bank of Ireland finishes soon so I rang them to enquire about my options. After looking at their rates on their website, I was interested in the "green" 5 year fixed rate at 2.7% and the cashback offer. However, the lady I spoke to said that the green rates and cashback offers are only for new customers. Is it possible to negotiate these terms with them? She said to ring back within a few weeks of my fixed term ending to see if they could do anything. I'd rather know before then where I stand though, because I'll have to start applying elsewhere if I can't strike a deal with Bank of Ireland.

Creamy Goodness

AIB have a similar green mortgage, starting at 2.45% but can go as low as 2.15% depending on LTV. I was a standard variable rate customer of AIB's, rang them up and had no issues switching me with zero paperwork other than signing a contract informing me of the new rate.

The only thing stopping BOI not giving you that rate is them being stubborn enough to throw away your custom.

Edit: Also just to add, mortgages that have cash back/switcher bonus like legal fees paid are generally more expensive in the long run (the bonus is paid usually through a higher interest), please run the figures and ensure it's a good deal. Also never be loyal to a bank, They sure as hell won't be loyal to you so...

joecork131189

Hi all,

We got approvals from 2 banks:

• Approval in Principle from BOI (they asked us additional documents to move on to a formal letter of offer)
• A montage approval from PTSB

Regarding PTSB, our mortgage manager told us that our we have to meet him again to discuss the conditions of drawdown and what to do now to ensure that the approval is confirmed (he seemed a bit confused and in a rush, so he wasn't able to tell us more).

I was wondering if someone knows what he would be talking about?

I read the information on PTSB website but it's not very clear since we are 1st time buyers and the timeline they describe for each step to perform have been a bit shaken up because of COVID and the fact that we had to book a house before even starting the mortgage process....

(the house is a new built that will be ready next year (approximately Dec 2022), price 335K, we got the mortgage approval from PTSB for 293K and an Agreement in Principal from BOI for 300K, and our HTB request was approved for 30K)

Thanks in advance :)

DubLad69

How soon can you switch Mortgages? One bank is offering more money, but the other has a lower rate. Can I switch to the lower rate one after just a few months if I'm on a variable rate.

Paul_Mc1988

Yeah when your on a variable rate you can switch whenever you want. You will have to get a valuation about €150-200 and solicitor fees €1000-1500. Why in goods name are you on a variable fixed rates are miles lower. What's your rate and LTV at the moment?

Senior

I hope this is the right place to ask this question..

I am due to drawdown my mortgage this week. However I have come into a lump sum without expecting it (20k) Is it possible to pay this off the mortgage more or less straight away? I don't need these funds as have been saving and budgeting for 2 years.

elchupanebrey

https://www.boards.ie/discussion/comment/118307236#Comment_118307236

Should be ok if you have €20000 of the mortgage at a variable rate. If you are on a fixed rate for the entire mortgage you might have to pay a penalty. Some fixed rates permit extra payments I believe, so you may be ok paying a portion of a fixed rate too. Best to check with the bank as to if and how much they will charge.

tommyombomb

Anyone know if you have one deposit on a poker website if it will impact likelyhood of getting a 4.5x exemption. It was got 600 but returned it within two weeks. Was a silly move and realized it when I did it.

If it is a major issue will I get away with it if I let six months pass. Already over a month down so five more months won't kill me and probably help me with deposit

DubLad69

https://www.boards.ie/discussion/comment/118305115#Comment_118305115

I'm choose a variable rate so that I could switch away from the bank ASAP, a couple of months higher variable rate will be more than made up if I can switch to a much lower fixed. I'm currently at 3.7%, well, I'm in process of drawing down at that rate.

Paul_Mc1988

https://www.boards.ie/discussion/comment/118312021#Comment_118312021

That rate is nuts. I'm on 2.6% and switching to 1.95. The difference if I had you rate compared to my rate is €300 PER MONTH. Get on a fixed ASAP

Pete123456

https://www.boards.ie/discussion/comment/118307946#Comment_118307946

I doubt that one transaction would make a difference but then again it’s 600 which is significant and not just a small bet on Cheltenham… the bank typically look for patterns - if you had several payments then it would be a problem but realistically a one off should be ok I would think. You could always give an explanation if they ask

JimmyVik

https://www.boards.ie/discussion/comment/118307946#Comment_118307946

A mate of mine is getting questions about onlyfans payments made in February now.

His girlfriend isnt impressed :)

But its not like you are doing it every month to the poker site so you should be ok.

The Phantom Jipper

https://www.boards.ie/discussion/comment/118304763#Comment_118304763

I'm speculating a bit here but I'd be surprised if that was possible. This bank wouldn't offer you the higher amount a couple of months ago, but will now take you on as a switcher customer a couple of months later for roughly the same amount that they previously weren't willing to offer?

It's definitely worthwhile getting advice from a broker or elsewhere on this, I'd be a bit concerned about getting stuck on that higher rate.

Hi lads, I'm saving for a mortgage at the minute and I'm just wondering if anyone else is choosing variable to pay off more regularly? I have quite a bit of financial leeway and throwing 100 quid extra per month is not what I had in mind, I want to pay down a lot faster like I'm being chased down the street. I've had advice from distant relatives to consider a fixed rate and gamble (sorry I mean "invest", that's what I heard) my money and hope it's still there down the road, you know, taking into account insolvencies, economic meltdowns, imbezzlers, wars etc. Somehow that doesn't appeal to me. Anyone on variable paying a lot extra?

houseyhouse

https://www.boards.ie/discussion/comment/118327956#Comment_118327956

Would you consider getting a shorter term? Many fixed rate mortgages allow you to pay quite a bit extra each year. I’m not doing that myself because we’re saving for an extension but that’s something we’ll probably do after it’s built. If that’s something you’re interested in, I would contact a broker who would know which banks allow the most in extra payments.