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

Phileas Frog · 17-09-2019 01:08PM

charlietheminxx wrote: »

I'm not 100% familiar with BOI products but that looks like a Life Assurance policy? You need mortgage protection insurance, which is different. Lots of people take out both, but the mortgage protection is the one you need to have.

They're exactly the same thing.

Kamili · 17-09-2019 01:11PM

Stark wrote: »

Looks interesting. Looks like you have to specify a selling agent to sign up though?

yes you do, although once you have signed up you can see other agent's listings too.

Mickiemcfist · 17-09-2019 01:32PM

Phileas Frog wrote: »

They're exactly the same thing.

No they're not

awec · 17-09-2019 01:34PM

Phileas Frog wrote: »

They're exactly the same thing.

Not quite.

Mortgage protection, which banks insist on, is only designed to pay off the mortgage if you need it, and the value of it decreases over time . It'll payout the remaining value of the mortgage and not a cent more.

Life assurance, which is optional, is there to protect your dependents. The value of the payout does not decrease over time. It will payout a lump sum, irrespective of your current mortgage liability, if you die, to replace what would be your income.

TheShow · 17-09-2019 01:35PM

Phileas Frog wrote: »

They're exactly the same thing.

no they are not.

ELM327 · 17-09-2019 01:36PM

Phileas Frog wrote: »

They're exactly the same thing.

nope

whatever76 · 17-09-2019 01:53PM

awec wrote: »

Not quite.

Mortgage protection, which banks insist on, is only designed to pay off the mortgage if you need it, and the value of it decreases over time . It'll payout the remaining value of the mortgage and not a cent more.

Life assurance, which is optional, is there to protect your dependents. The value of the pay-out does not decrease over time. It will pay-out a lump sum, irrespective of your current mortgage liability, if you die, to replace what would be your income.

thanks for explanation … so am I being over sold here getting this policy in place ? Its covering Mortgage protection & Life Assurance then ? No so bad if doing both but Id be peeved if I have to get mortgage protection as well.

sorry I am just addled from it all !! :mad:

TheShow · 17-09-2019 02:01PM

it depends on what you want.
Mortgage protection is the bare minimum. its the cheapest option and works fine. If you die during the term of your mortgage, the policy pays out and clears the debt.

Life cover offers various different possibilities with varying costs.

You only need one life policy - either a basic mortgage protection policy or a something more substantial.

You will also need home insurance, with a rebuild value as stated in the valuation and contents as per the value of your contents.

whatever76 · 17-09-2019 02:11PM

TheShow wrote: »

it depends on what you want.
Mortgage protection is the bare minimum. its the cheapest option and works fine. If you die during the term of your mortgage, the policy pays out and clears the debt.

Life cover offers various different possibilities with varying costs.

You only need one life policy - either a basic mortgage protection policy or a something more substantial.

You will also need home insurance, with a rebuild value as stated in the valuation and contents as per the value of your contents.

thanks soo much !! got it now ...

awec · 17-09-2019 02:19PM

Yea you only need one, but I think many people have both (basic mortgage protection + life assurance for the income cover).

If you want to be certain that the surviving partner will be mortgage free, and have a specific amount paid as a lump sum, then you'll probably want both.

Musefan · 17-09-2019 06:04PM

whatever76 wrote: »

thanks for explanation … so am I being over sold here getting this policy in place ? Its covering Mortgage protection & Life Assurance then ? No so bad if doing both but Id be peeved if I have to get mortgage protection as well.

sorry I am just addled from it all !! :mad:

Hey! I was quoted 34 per month for life assurance. Broker I spoke to said the mortgage protection only worked out about 15 euro. He said he could work with a budget of 34 to get separate life assurance and mortgage protection products. That way, the life assurance lump sum isn’t used to pay off the mortgage, and the mortgage protection takes care of the remainder of the loan.

GingerLily · 17-09-2019 10:14PM

awec wrote: »

Yea you only need one, but I think many people have both (basic mortgage protection + life assurance for the income cover).

If you want to be certain that the surviving partner will be mortgage free, and have a specific amount paid as a lump sum, then you'll probably want both.

Both myself and my partner have death benefit and some illness cover through work, so we only needed the mortgage protection ourselves, I wonder how many people already have the cover they need through work benefits? I know they tried to over sell to us and we almost bought it until we checked!

ChewBerecca · 17-09-2019 10:29PM

GingerLily wrote: »

Both myself and my partner have death benefit and some illness cover through work, so we only needed the mortgage protection ourselves, I wonder how many people already have the cover they need through work benefits? I know they tried to over sell to us and we almost bought it until we checked!

We have death in service and health insurance with work but still decided to get specified illness benefit with our mortgage protection insurance. Didnt go with our banks policy.

Our VHI cover might take care of hospital bills, but it would do nada in terms of paying the mortgage if one of us was diagnosed with a serious illness. I'd rather pay the extra each month to have the peace of mind that should either of us get some dreaded news, half our mortgage would be paid off. Would make things much easier in the long run if one of us was out of work due to illness.

It is a personal decision for everyone. The bank only need th bare minimum, but if you can spare the extra cash it does give a nice safety net.

Blanco100 · 18-09-2019 06:13PM

Can anyone give ballpark timeline of how long it takes for contracts to be drawn up by vendors solicitor?

There is no chain either side, house we are buying is vacant, we are not selling and seller isnt buying if that makes sense.

Solicitor will obviously let us know but wont be carrying out required searches etc.. until contracts are at hand

ChewBerecca · 18-09-2019 07:09PM

Blanco100 wrote: »

Can anyone give ballpark timeline of how long it takes for contracts to be drawn up by vendors solicitor?

There is no chain either side, house we are buying is vacant, we are not selling and seller isnt buying if that makes sense.

Solicitor will obviously let us know but wont be carrying out required searches etc.. until contracts are at hand

If everything is in order, should be done within a day. But this never happens. Either the solicitor is busy/on leave/or trying to locate a missing document.

The actual contracts for the house we were buying were only a few pages, mostly half empty boxes, and the planning maps etc as appendices.

We're in the same situation as you, no chain. Contracts took close to 5 weeks to reach our solicitor. I'd say I could retype the same contracts in an afternoon if not sooner.

It's the deeds, planning etc which can hold everything up.

Blanco100 · 18-09-2019 07:15PM

ChewBerecca wrote: »

If everything is in order, should be done within a day. But this never happens. Either the solicitor is busy/on leave/or trying to locate a missing document.

The actual contracts for the house we were buying were only a few pages, mostly half empty boxes, and the planning maps etc as appendices.

We're in the same situation as you, no chain. Contracts took close to 5 weeks to reach our solicitor. I'd say I could retype the same contracts in an afternoon if not sooner.

It's the deeds, planning etc which can hold everything up.

Dont think our solicitor is looking into the planning searches or deeds or title until contracts are at hand.

Could be a while yet so

Then another wait after that for drawdown I suppose. its a frustrating wait

Musefan · 19-09-2019 04:00PM

Bank valuation complete. Rebuild cost is 35k more than the house which was a surprise.

awec · 19-09-2019 07:21PM

Musefan wrote: »

Bank valuation complete. Rebuild cost is 35k more than the house which was a surprise.

That seems... weird.

ChewBerecca · 19-09-2019 10:24PM

Drawdown request going in first thing tomorrow morning. End is now in sight

Musefan · 19-09-2019 10:43PM

awec wrote: »

That seems... weird.

Thought that too but it’s in a rural location, built by a builder for people who had a few punt to spare with some custom features. Just goes to show you would be hard pushed to recoup the cost of certain custom things like unique stone facades etc if building yourself!

Lux23 · 20-09-2019 09:43AM

So when you put in a bid, do you black out all the numbers in Approval in Principle letter or do you get something else from the bank?

wally79 · 20-09-2019 05:21PM

Lux23 wrote: »

So when you put in a bid, do you black out all the numbers in Approval in Principle letter or do you get something else from the bank?

Black it out

NearlyForty · 21-09-2019 04:41AM

Guys, when saving for a mortgage, what do banks look at in terms of ability to save..? ie..we’re saving e1200 a month and hoping to be ready to apply by February, some weeks it could be e100 that goes in and other weeks it could be e500, depending on when we both get paid but we always aim to save the same amount each month.. Will the bank wonder why if differs on a weekly basis or are they more interested in the total amount by the month..? Hope I’m making sense! Thanks

Corruptedmorals · 21-09-2019 08:32AM

Banks are interested in ability to pay the mortgage. If your savings plus rent or savings by themselves are more than what your repayment would be that's what they care about. Obviously savings matter in terms of deposit or cash on top of mortgage but in terms of amount of savings per month that's what they're looking for.

el Fenomeno · 21-09-2019 10:14AM

Silly question - can you start getting things like flooring, tiling etc. done as soon as it's ready for snagging, or only after snagging has been completed and you get keys at drawdown?

NearlyForty · 21-09-2019 10:22AM

Corruptedmorals wrote: »

Banks are interested in ability to pay the mortgage. If your savings plus rent or savings by themselves are more than what your repayment would be that's what they care about. Obviously savings matter in terms of deposit or cash on top of mortgage but in terms of amount of savings per month that's what they're looking for.

Thanks! I thought as much. It’s always good to clarify

wally79 · 21-09-2019 10:30AM

Well more than the stretch repayment. So they will estimate what your repayment will be if interest rates go up.

Also I think it is good to have a regular monthly amount even if it varies weekly and to not dip into savings. It shows you have that same extra repayment capacity each month.

Ghetofarmulous · 21-09-2019 11:03PM

Ghetofarmulous wrote: »

Hi all,

I am in the process of applying for Mortgages and I thought that some might find this handy. Rather than using the Mortgage calculator every time I search I just enter the latest interest and she auto calculates.

These should be the most recent interest rates on the market as of this week.

The first table is interest rates per fixed term
The second table is the monthly repayments for the same Mortgage of 198000 Eur as an example.
The third table shows the cheapest option however, there are some loyalty rates that for example UB and KBC offer which are not included.

I thought I had uploaded this already. My apologies.

The first table is the interest rates per fixed term. I sourced the information from Bonkers.ie and plugged the rates into the corresponding bank row and Fixed rate year Column. The rest should auto calculate and show the cheapest option down at the bottom. Interest rates may have changed since I updated on Monday.

The second table shows the monthly repayment for the corresponding Interest rate. This may change at the end of the term. None of this takes into account offers with some mortgages (cash back etc..) but this may be accounted for in the the column on the right. One may add any cash intensives to the savings box on yellow.

Change the yellow boxes to suit your own situation. Hope it is helpful. The figures in the attached are not reflective of my situation and are purely fictional. Please let me know if you have any questions on the attached. Its fairly simple.

I myself and about to make an offer on a property next week but I dont know how much I should offer. I dont believe the Guide price of 280,000 is fair when comparing to other houses in the area. Seems to high to me.

Slight change to sheet

Ghetofarmulous · 21-09-2019 11:11PM

averagejoe123 wrote: »

Fair play on doing up the table. What term are you looking at for these calculations?

Sorry Joe I was Away from Keyboard for a while there. I just uploaded a spreadsheet.

r93kaey5p2izun · 22-09-2019 12:05AM

Does anyone have any experience of buying a house in probate? I know to expect long delays so I'm prepared for that. But do I just sit tight in the dark about it, or should I be following up with someone to ensure it's being dealt with as quickly as possible?

My solicitor just said she would let me know when she received contracts, and that was nearly 4 weeks ago. I suppose she won't receive them until probate is granted though. The estate agent said probate had only been applied for 2 weeks before the sale was agreed, and was talking about it being expedited due to being sale agreed. But I'm aware this practice isn't being carried out any more by the probate office. Should I be asking the EA for any update on expected timeline? Or does my solicitor look for information? Or is it just a case of sit and wait in the dark about it for 4-6 months?

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

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