Saving/Applying for a mortgage 2015/16/17/18/19

whatever76 · 15-02-2019 08:21PM

oh my bad sorry - thanks for that just surprised when I heard 2.9 and missed the rest !

question What the thinking behind 1/2 year low and then increasing the 5 -10 year rate ? Just don't get logic ( clueless !) would have thought they want to lock people in longer with a more attractive rate ?

wally79 · 15-02-2019 09:14PM

whatever76 wrote: »

oh my bad sorry - thanks for that just surprised when I heard 2.9 and missed the rest !

question What the thinking behind 1/2 year low and then increasing the 5 -10 year rate ? Just don't get logic ( clueless !) would have thought they want to lock people in longer with a more attractive rate ?

The lower variable can go up

With the long term fixed you are paying more for security of rate

hanaimai · 15-02-2019 09:40PM

The longer a rate is fixed the more difficult it is for banks to fund the rate. With variable rates the banks can adjust as needed i.e. they can raise if they need more funds. If you fix for 10 years the bank obviously can't change your rate for that 10 years so if margins are tight after 5 years, they can't raise the rate to generate more funds. With a lower fixed rate there's less risk involved, hence rates are usually lower.

I'm no expert on bank funding though so if anyone can explain better feel free!!

Essien · 16-02-2019 06:03PM

Looked at a house during the week and we're considering making an offer.

The house has been on the market since June, with an asking price ~335k. EA says the owners refused an offer of 305k in December.

I'm not a big believer in the idea of made up bids, but would people tend to take this at face value and simply not bother offering any less than 305k?

One thing we do have in our favour is that we're not depending on selling an existing property first, so we could buy immediately, which may be worth something (hopefully).

Sunrise_Sunset · 16-02-2019 06:48PM

Essien wrote: »

I'm not a big believer in the idea of made up bids, but would people tend to take this at face value and simply not bother offering any less than 305k?

I've heard of EA's not even notifying the seller of some offers, if they are below a price that they would consider.

Flyingfast · 16-02-2019 08:27PM

Essien wrote: »

Looked at a house during the week and we're considering making an offer.

The house has been on the market since June, with an asking price ~335k. EA says the owners refused an offer of 305k in December.

I'm not a big believer in the idea of made up bids, but would people tend to take this at face value and simply not bother offering any less than 305k?

One thing we do have in our favour is that we're not depending on selling an existing property first, so we could buy immediately, which may be worth something (hopefully).

I have been in similar positions myself, there really is no right or wrong answer to your query. The most suitable piece of advice I would probably offer is simply offer the amount you are 1. happy to pay for the property and 2. what you really think the property is worth.

And don't just offer for the sake of purchasing a house, I have nearly made this mistake more than once!

Good luck.

raheny red · 17-02-2019 09:25AM

We got the keys to our new gaf this weekend after 3 years of saving this month :cool: - Thanks for all the help and advice throughout the thread.

Samuel T. Cogley · 17-02-2019 10:55AM

raheny red wrote: »

We got the keys to our new gaf this weekend after 3 years of saving this month :cool: - Thanks for all the help and advice throughout the thread.

In Raheny I hope or you'll have to change your username! :pac:

Massive congrats!

17-02-2019 12:42PM

Have been sale agreed for about 3 weeks now and feels like nothing has really happened in that time. My understanding is we're waiting for the vendor (via their solicitor) to get the contracts and deeds sent to our solicitor but all the waiting is a killer!

Samuel T. Cogley · 17-02-2019 12:59PM

Ayan Prickly Road wrote: »

Have been sale agreed for about 3 weeks now and feels like nothing has really happened in that time. My understanding is we're waiting for the vendor (via their solicitor) to get the contracts and deeds sent to our solicitor but all the waiting is a killer!

Keep looking while sale agreed, but the average wait is c.4 months so don't worry just yet.

Jack_92 · 17-02-2019 02:10PM

Samuel T. Cogley wrote: »

Keep looking while sale agreed, but the average wait is c.4 months so don't worry just yet.

I know it depends on many things, but is there any way to find out when is vendor's solicitor going to provide the contract? At what stage would any approx. expected date be known?

Goose76 · 17-02-2019 04:32PM

Jack_92 wrote: »

I know it depends on many things, but is there any way to find out when is vendor's solicitor going to provide the contract? At what stage would any approx. expected date be known?

It varies a lot I think, but your own solicitor should keep you up to date on this.

Glen_Quagmire · 17-02-2019 08:50PM

hanaimai wrote:

The 5 year rate is actually gone up to 3.2% and the 10 year is now 3.7%

Ah sh*te we have a mortgage offer from BOI for 5 years at 3% but will need to get the mortgage offer extended as our house won't be ready for another few months.

We have already signed contracts with our solicitor, can we change banks at this stage in the process?

Ulster Bank seem to be offering 4 year fixed at 2.6%

17-02-2019 09:15PM

Glen_Quagmire wrote: »

Ah sh*te we have a mortgage offer from BOI for 5 years at 3% but will need to get the mortgage offer extended as our house won't be ready for another few months.

We have already signed contracts with our solicitor, can we change banks at this stage in the process?

Ulster Bank seem to be offering 4 year fixed at 2.6%

BOI are still offering 2% cashback at drawdown though so keep that in mind.

Glen_Quagmire · 17-02-2019 10:39PM

Ayan Prickly Road wrote:

BOI are still offering 2% cashback at drawdown though so keep that in mind.

Yeah could still have that if I draw down before the end of June but if I could switch to Ulster Bank I'd probably go for it

Glenbhoy · 18-02-2019 09:22AM

Glen_Quagmire wrote: »

Yeah could still have that if I draw down before the end of June but if I could switch to Ulster Bank I'd probably go for it

Boi offer extended to year end. Also, make sure you're taking ltv into account as the rates quoted are for greater than 80% iirc.

18-02-2019 09:26AM

Glen_Quagmire wrote: »

Yeah could still have that if I draw down before the end of June but if I could switch to Ulster Bank I'd probably go for it

Fair enough. I'm still aiming to go with BOI because the cashback up front is more valuable to me than saving it back over the fixed term. I'll be switching as soon as the term is over most likely.

Glen_Quagmire · 18-02-2019 12:48PM

Glenbhoy wrote:

Boi offer extended to year end. Also, make sure you're taking ltv into account as the rates quoted are for greater than 80% iirc.

Brilliant, I didn't know it was extended. My mortgage is for 90% so I am in the bracket for cashback

Glen_Quagmire · 18-02-2019 12:51PM

Ayan Prickly Road wrote:

Fair enough. I'm still aiming to go with BOI because the cashback up front is more valuable to me than saving it back over the fixed term. I'll be switching as soon as the term is over most likely.

I will do the maths and see what's better.

BOI are still offering 3% for a 3 year fixed term so I need to weigh that up against 3.2% over 5 years fixed term.

Frank Castle · 18-02-2019 12:56PM

Glen_Quagmire wrote: »

I will do the maths and see what's better.

BOI are still offering 3% for a 3 year fixed term so I need to weigh that up against 3.2% over 5 years fixed term.

Each to their own, but I intend to take advantage of my current fixed term low interest, then switch bank as soon as that is done. hopefully taking advantage of another cashback and low interest rate. And I'll do that as often as I can.

There is nothing wrong with switching bank for your own benefit as often as you can.

Food for thought.

Glen_Quagmire · 18-02-2019 03:59PM

Frank Castle wrote:

Each to their own, but I intend to take advantage of my current fixed term low interest, then switch bank as soon as that is done. hopefully taking advantage of another cashback and low interest rate. And I'll do that as often as I can.

Frank Castle wrote:

There is nothing wrong with switching bank for your own benefit as often as you can.

Yeah definitely if it saves a few quid each month then I'm all for it.

How much hassle is it to switch banks?

Frank Castle · 18-02-2019 04:16PM

Glen_Quagmire wrote: »

Yeah definitely if it saves a few quid each month then I'm all for it.

How much hassle is it to switch banks?

Quite easy, the bank you are switching to handles it all for you really. It is in their interest to get you on their books after all.

IJS84 · 18-02-2019 04:36PM

What about the legal fees for switching banks?

Frank Castle · 18-02-2019 04:40PM

IJS84 wrote: »

What about the legal fees for switching banks?

More of an administration fee, usually covered by the bank you are switching to. (switching inside a fixed term is different).
Again shop around for the best deal.
The point of switching is to save money, so take the time to make the right decision.

ILikeBoats · 18-02-2019 04:42PM

In fairness - you need to reapply for the mortgage to switch banks. It's a massive pain in the hoop.
Get all your documentation together again. Switch mortgage protection/get new mortgage protection. Get your solicitor involved.

hanaimai · 18-02-2019 04:43PM

IJS84 wrote: »

What about the legal fees for switching banks?

Most banks have offers that would cover the legal fees at the moment e.g. Ulster Bank give you 1500, KBC 3000, BoI and EBS have the cashback etc.

hanaimai · 18-02-2019 04:45PM

ILikeBoats wrote: »

In fairness - you need to reapply for the mortgage to switch banks. It's a massive pain in the hoop.
Get all your documentation together again. Switch mortgage protection/get new mortgage protection. Get your solicitor involved.

If you arranged your mortgage protection independently of the bank then all you have to do is assign the policy to the new lender, which is fairly straightforward. Admittedly it is more complicated if you arranged your protection through the bank, as usually the policy can't be transferred to a new bank.

Glen_Quagmire · 18-02-2019 05:11PM

hanaimai wrote:

If you arranged your mortgage protection independently of the bank then all you have to do is assign the policy to the new lender, which is fairly straightforward. Admittedly it is more complicated if you arranged your protection through the bank, as usually the policy can't be transferred to a new bank.

Will keep that in mind as I was going to just get it with the bank.

Best to get it elsewhere if changing banks in the future

Sunrise_Sunset · 18-02-2019 07:28PM

https://www.rte.ie/news/business/2019/0218/1031231-consumer-market-monitor/?fbclid=IwAR2hDdDOFW2LvSFhiamKvb2EY4OE-2NTvqxaopmNl9BsCg4-Xs2XAspvOmM

Eric Cartman · 18-02-2019 07:55PM

Im looking to mortgage a property that is not liveable , its 160k asking so all works out without exemptions and craic and 105 is not hard to come by , but the building at present isnt technically a residential house and would need a fair whack of work. How would I be best to finance this.

Saving/Applying for a mortgage 2015/16/17/18/19

Comments