Mortgage application - low income

Bitconfused

Hi All

As the title says I am looking to buy the next time i move (currently renting) however the main issues are a low income (€26,000 per anum) and i will be buying as a single person.

I am aiming for a decent 2 bedroom apartment and looking at the properties available in my area between €120,000 - €170,000 is the general cost. with the lending being 3.5 times salary this will leave me short.

I do have €20,000 in total banked and can save €1000 per month, it is also possible that I can get €15000 approx more to out alongside the €20,000 for a down payment

Having rented for the last 8 years consecutively without blemish in payment(€450 per month) would demonstrate that it is unlikely that there would be issues with repayments. other direct debits in my account are paid when requested also. Over the past year i have minimised unnecessary spending cutting out alcohol altogether. Do banks place much weight on those factors when deciding on a loan? Also can they only loan 3.5 times salary or have they the autonomy to go higher on a case by case basis?

I would appreciate if you could share experiences/tips on getting on the ladder especially if you have a low income and managed it. Im pretty green when it comes to this but everything recently is indicating moving towards owning a property is the right step

Thanks

lickalot

Sorry edited this as thought you were on 20K, your on 26K. From the Rebuilding Ireland website you would be able to get 120K, With the 20K deposit that gives you 140K.

Apply to the banks twice and get rejected for the 120K and then apply here.

http://rebuildingirelandhomeloan.ie/eligibility/