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Saving/Applying for a mortgage 2020-22 Edition

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  • Registered Users Posts: 127 ✭✭ ladystardust
    Registered User


    cant26 wrote: »
    Just wondering if anyone has any experience with this...I’m expecting my third child. Due in November. We will be applying for our first mortgage in September. I have absolutely no intention of telling the bank about my pregnancy as I know legally I am not obliged to. However, my obstetrician consultant fees come out of my current account. So far only one payment of €900. I’ve another payment of €1600 due in around four weeks time. And another payment after the birth. Will the bank question what these are for? It will clearly say my doctors name, can they press what the consultation is for? This literally just came to mind now and just wondering has anyone else been in a similar situation? Thanks!

    I could be wrong but I believe they cant enquire regarding a pregnancy, however, when applying you will have to state number of dependants. Obviously they do not count as yet unborn children. They may ask prior to drawdown if your personal circumstances have materially changed. If the baby has arrived then they have and you are obliged to declare.


  • Administrators Posts: 50,501 Admin ✭✭✭✭✭ awec
    Category Moderator


    This question comes up often on here. You only have to declare children, not pregnancies. If they ask you can say you have 2, but if you think this third child is the difference between you getting a mortgage or not then you have some figuring out to do financially. You're only fooling yourself by trying to hide it.


  • Registered Users Posts: 561 ✭✭✭ Pivot Eoin
    Registered User


    bulmersgal wrote: »
    Yes few small conditions to send back to them before I can drawdown like my mam gave me 2k for flights and hotel we were booking back in Nov so have to get letter stating same hopefully hear back from few more banks in next week.

    Not sure difference in mortgage approval in principle and mortgage approval looked at letter and it's approved by head underwriter and they have looked through my bank statements, payslip etc

    Do you mind me asking who with? We're looking for Approval in Principal and fine with conditions.


  • Registered Users Posts: 577 ✭✭✭ cant26
    Registered User


    awec wrote: »
    This question comes up often on here. You only have to declare children, not pregnancies. If they ask you can say you have 2, but if you think this third child is the difference between you getting a mortgage or not then you have some figuring out to do financially. You're only fooling yourself by trying to hide it.

    Where did I say that declaring a third child was the make or break for a mortgage? It certainly is not but I won’t be divulging anything unnecessary willingly. Just preparing myself for all scenarios. Can more than afford the children I have and the children I have yet to have! I am not fooling anyone, especially not myself. My not divulging my pregnancy is because I do not have to, not because i am hiding it! If it was a legal requirement to do so I would with bells on! Thanks so much for your extremely helpful response :)


  • Registered Users Posts: 577 ✭✭✭ cant26
    Registered User


    I could be wrong but I believe they cant enquire regarding a pregnancy, however, when applying you will have to state number of dependants. Obviously they do not count as yet unborn children. They may ask prior to drawdown if your personal circumstances have materially changed. If the baby has arrived then they have and you are obliged to declare.

    Thanks for that, yes of course I would be obliged to declare if asked when the baby is born. No problem doing so and if it was a legal obligation to declare a pregnancy I would also do.


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  • Registered Users Posts: 1,174 ✭✭✭ bulmersgal
    Registered User


    Pivot Eoin wrote: »
    Do you mind me asking who with? We're looking for Approval in Principal and fine with conditions.

    I'm working with a broker you can pm me if you want his details. The approval is with Finance Ireland. He said he will apply to more banks when I find the house I want and make an offer on it. He did mention if any other exceptions became available he would apply for them for me but at the moment no bank is giving any


  • Registered Users Posts: 2,759 ✭✭✭ 2Mad2BeMad
    Registered User


    quick question folks,

    can you get a mortage with rebuildingireland as well as get the help to buy scheme?


  • Registered Users Posts: 4,652 ✭✭✭ CIP4
    Registered User


    Starting to look at houses now have AIP will probably end up waiting a few months to see what way things go with house prices. Obviously I know you need savings to cover deposit, solicitor, stamp duty, Engineer report etc. But I have started thinking I probably shouldn’t buy any house until along with the above I also have a decent rainy day fund saved to have this remaining once I have bought the house. I plan on buying a house in decent enough shape but after you move in you don’t know what will go wrong with the house or indeed life in general within the first few months.

    Interested to hear what other have done would you be happy enough to buy once you have the deposit saved and enough to cover the costs of buying. Then once moved in start to build back up a rainy day fund. Or would you wait until you have a decent chunk of savings in excess of the cost of buying the house. It’s hard to know.


  • Registered Users Posts: 37 ✭✭✭ Techn0
    Registered User


    2Mad2BeMad wrote: »
    quick question folks,

    can you get a mortage with rebuildingireland as well as get the help to buy scheme?

    Hi 2Mad,

    Yes you can, two separate functions. Of course each have they're own criteria however if all are met both can be used.


  • Closed Accounts Posts: 190 ✭✭ Febreeze


    CIP4 wrote: »
    Starting to look at houses now have AIP will probably end up waiting a few months to see what way things go with house prices. Obviously I know you need savings to cover deposit, solicitor, stamp duty, Engineer report etc. But I have started thinking I probably shouldn’t buy any house until along with the above I also have a decent rainy day fund saved to have this remaining once I have bought the house. I plan on buying a house in decent enough shape but after you move in you don’t know what will go wrong with the house or indeed life in general within the first few months.

    Interested to hear what other have done would you be happy enough to buy once you have the deposit saved and enough to cover the costs of buying. Then once moved in start to build back up a rainy day fund. Or would you wait until you have a decent chunk of savings in excess of the cost of buying the house. It’s hard to know.

    This one is interesting. Exactly what I was thinking myself. Would love if someone replied with their experience :-)


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  • Moderators Posts: 12,128 ✭✭✭✭ Black_Knight
    I speak fluent sarcasm


    CIP4 wrote: »

    Interested to hear what other have done would you be happy enough to buy once you have the deposit saved and enough to cover the costs of buying. Then once moved in start to build back up a rainy day fund. Or would you wait until you have a decent chunk of savings in excess of the cost of buying the house. It’s hard to know.

    You'd like to think the engineers report would have found any big issues before buying.

    Can't say about a "spending everything" scenario. We bought back in the brief 10%+20% days, but had about 20k leftover after our deposit, but we knew there were some works we wanted to do (about 5-6k immediately). Nothing unexpected popped up, and we took our time buying some furniture and décor. But it can be surprising how little bits and bobs tot up.

    The buffer we had was nice I guess, but we had no loans (other than the mortgage now) or kids etc, so we were also saving quite heavily at the time. All depends on your current circumstances. In our first year, including the 5k mentioned, we spent 15k (furniture, new boiler, new rads, put in a stove, some small works, paint and necessary tools)

    IMO, we likely wouldn't have been comfortable spending all our money on the house. Would probably have wanted 10k at hand after all was said and done. Saves you having to spend the first year of ownership building up a reserve, then more months saving for bits you want to do to the house.


  • Registered Users Posts: 3,728 ✭✭✭ 3DataModem
    Registered User


    guyfawkes5 wrote: »
    Legal fees will be €1,500 - €2,500 depending on the solicitor. Be aware cheaper fees may mean they are treating your case as part of a backlog and that may entail delays, but this is not always the case.

    This.

    Don't choose your solicitor based on their price. It's a paper-riddled complex process. Most of the time there are no issues, but when there is an issue, a good solicitor is worth their weight...


  • Registered Users Posts: 10 ✭✭✭ Bobmo123
    Registered User


    I was wondering, we have been on HAP for a while now and we are both back at work as of this week.

    This means we will be leaving HAP due to the amount we earn will take us off it. We really want to buy. Does anyone know of any help to buy scheme for people coming off HAP? I have tried to find out but cant find anything.

    Thanks in advance.


  • Moderators, Society & Culture Moderators Posts: 17,643 Mod ✭✭✭✭ Graham
    Moderator


    There's nothing specific for previous HAP recipients.

    Standard mortgage or Rebuilding Ireland Home Loan are your usual options (subject to eligibility).

    Income, history of saving, size of deposit and length of employment are the main areas for you to concentrate on.


  • Registered Users Posts: 10 ✭✭✭ Bobmo123
    Registered User


    Thanks very much for the reply.

    I will get on with the normal procedures for it.

    Cheers.


  • Registered Users Posts: 614 ✭✭✭ random_banter
    Registered User


    Just off the phone to the bank. No problem getting approved, borrowing and repayment capacity proven, but as I feared, the LTV exemptions are gone as well as the LTI.

    All we wanted to was the LTV exemption (the other half has another mortgage and I'm FTB, so we are both seen as mover and need a 20% deposit). Frustrating as we've been saving hard and have a significant amount done, would have been ok for a 15% deposit. It feels like climbing Everest to get to 20%. Had been focused on buying our own home before the end of the year. We were planning to see how prices go in Q3+4 and be ready to bid then.

    There are worse things happening in the world, I know. Be a long time before the 20% can come together so will just have to get over it!


  • Registered Users Posts: 4,652 ✭✭✭ CIP4
    Registered User


    You'd like to think the engineers report would have found any big issues before buying.

    Can't say about a "spending everything" scenario. We bought back in the brief 10%+20% days, but had about 20k leftover after our deposit, but we knew there were some works we wanted to do (about 5-6k immediately). Nothing unexpected popped up, and we took our time buying some furniture and décor. But it can be surprising how little bits and bobs tot up.

    The buffer we had was nice I guess, but we had no loans (other than the mortgage now) or kids etc, so we were also saving quite heavily at the time. All depends on your current circumstances. In our first year, including the 5k mentioned, we spent 15k (furniture, new boiler, new rads, put in a stove, some small works, paint and necessary tools)

    IMO, we likely wouldn't have been comfortable spending all our money on the house. Would probably have wanted 10k at hand after all was said and done. Saves you having to spend the first year of ownership building up a reserve, then more months saving for bits you want to do to the house.

    Thanks for the response. Yes when writing this I kind of had 10k minimum to 20k ideal left over after deposit and basic buying costs in my head. My thinking is the same as you I don’t want to buy the house have nothing left and then spend months trying to build back up some cash before I can start getting anything for the house.


  • Registered Users Posts: 153 ✭✭ trinib
    Registered User


    Just off the phone to the bank. No problem getting approved, borrowing and repayment capacity proven, but as I feared, the LTV exemptions are gone as well as the LTI.

    All we wanted to was the LTV exemption (the other half has another mortgage and I'm FTB, so we are both seen as mover and need a 20% deposit). Frustrating as we've been saving hard and have a significant amount done, would have been ok for a 15% deposit. It feels like climbing Everest to get to 20%. Had been focused on buying our own home before the end of the year. We were planning to see how prices go in Q3+4 and be ready to bid then.

    There are worse things happening in the world, I know. Be a long time before the 20% can come together so will just have to get over it!


    Do you mind me asking which bank?
    Got told over the phone from our bank 3 weeks ago we could get a LTV exemption from 20% to 10%, have just been getting the paperwork ready to lodge this week. Really hope it hasnt changed!


  • Registered Users Posts: 631 ✭✭✭ pauldoo
    Registered User


    Would anyone know if voluntary payments into a company share scheme would count as part of the capacity to repay? Its effectively a savings scheme that could be stopped at any time

    We are applying with BOI and they have been a disaster, after going on months, they say there could be issues on a capacity to repay, despite looking for well under the max mortgage for our salary and having about a 35% deposit (equity on the sale of the house is covers the 20% deposit)


  • Registered Users Posts: 318 ✭✭ fago
    Registered User


    pauldoo wrote: »
    Would anyone know if voluntary payments into a company share scheme would count as part of the capacity to repay? Its effectively a savings scheme that could be stopped at any time

    We are applying with BOI and they have been a disaster, after going on months, they say there could be issues on a capacity to repay, despite looking for well under the max mortgage for our salary and having about a 35% deposit (equity on the sale of the house is covers the 20% deposit)

    In my case AIB did consider it as evidence of monthly savings on an initial AIP.


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  • Registered Users Posts: 24 Kav_Piero
    Registered User


    Would anyone be able to offer some advice please in relation to what is technically classed as "savings" by banks when applying for a mortgage?

    Current situation at the moment is me and my partner have a combined salary of 80k and we have circa 35k locked into a mortgage savers account this has been built up over the last couple of years by saving a combined €400 a month via direct debit (Very low amount I know).

    I currently have 20k+ in my current account - down to the fact I having very little outgoings - Contribute €100 a week to rent living at home, don't smoke, very rarely drink or go on a night out anymore.

    I know the most obvious thing to do would be to increase the direct debit monthly savings instead of hoarding money in the current account but for instance if we were to apply for a mortgage tomorrow would the current account balance be classed as savings and would a bank even consider giving us a mortgage??


  • Closed Accounts Posts: 1,662 Duke of Url


    pauldoo wrote: »
    Would anyone know if voluntary payments into a company share scheme would count as part of the capacity to repay? Its effectively a savings scheme that could be stopped at any time

    We are applying with BOI and they have been a disaster, after going on months, they say there could be issues on a capacity to repay, despite looking for well under the max mortgage for our salary and having about a 35% deposit (equity on the sale of the house is covers the 20% deposit)

    Did you get approval in principle yet?


  • Registered Users Posts: 3,825 ✭✭✭ IvoryTower
    Registered User


    Kav_Piero wrote: »
    Would anyone be able to offer some advice please in relation to what is technically classed as "savings" by banks when applying for a mortgage?

    Current situation at the moment is me and my partner have a combined salary of 80k and we have circa 35k locked into a mortgage savers account this has been built up over the last couple of years by saving a combined €400 a month via direct debit (Very low amount I know).

    I currently have 20k+ in my current account - down to the fact I having very little outgoings - Contribute €100 a week to rent living at home, don't smoke, very rarely drink or go on a night out anymore.

    I know the most obvious thing to do would be to increase the direct debit monthly savings instead of hoarding money in the current account but for instance if we were to apply for a mortgage tomorrow would the current account balance be classed as savings and would a bank even consider giving us a mortgage??

    From my experience the 20k would count as savings in the sense it can be used towards deposit but only saving 400 is what they will take into account as your ability to pay.

    Maybe someone else can confirm


  • Registered Users Posts: 631 ✭✭✭ pauldoo
    Registered User


    Did you get approval in principle yet?

    No, I was actually applying for the deposit exemption, which was delayed when covid hit. I don't particularly need the exemption, just didn't want to leave it too close with cash once we furnish the new house


  • Registered Users Posts: 614 ✭✭✭ random_banter
    Registered User


    trinib wrote: »
    Do you mind me asking which bank?
    Got told over the phone from our bank 3 weeks ago we could get a LTV exemption from 20% to 10%, have just been getting the paperwork ready to lodge this week. Really hope it hasnt changed!

    BOI. You?

    We’ve decided to go ahead and seek AIP so that we will at least be in a position to hunt properly. All our other factors are in very good shape.

    Best of luck and hope you get to keep your exemption :)


  • Registered Users Posts: 153 ✭✭ trinib
    Registered User


    BOI. You?

    We’ve decided to go ahead and seek AIP so that we will at least be in a position to hunt properly. All our other factors are in very good shape.

    Best of luck and hope you get to keep your exemption :)

    AIB. Thank you. Fingers crossed.


  • Registered Users Posts: 5,447 ✭✭✭ Deebles McBeebles
    Registered User


    Anyone know when estate agents will be doing viewings on for sale properties again?


  • Registered Users Posts: 127 ✭✭ ladystardust
    Registered User


    Anyone know when estate agents will be doing viewings on for sale properties again?

    Started today as far as I'm aware


  • Closed Accounts Posts: 1,662 Duke of Url


    Can I ask how long did it take from going from AIP to drawing down a mortgage?


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  • Closed Accounts Posts: 61 ✭✭✭ frw5


    Does anyone know what are the odds of applying for a mortgage 3 months after taking out a car loan? Car loan was 280 per month.
    2 applicants, no other payment or expenses. Both full time workers >2 years same company and all the rest.


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