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

RoyalMarine · 13-07-2016 5:03pm

MrMac84 wrote: »

I also got a gift and it was just a case of my solicitor writing out a document saying in lehmans terms the money is a gift and that they have no legal right to the house

Cheers! We're doing that now.
Submitting all doc's to the bank and we will see how it goes.

Hazydays123 · 13-07-2016 5:47pm

RoyalMarine wrote: »

Cheers, we pay 1225 a month rent, and have saved 1k for the past 5 months.

AIB have stress tested our repayment capacity, and it's wel above their requirements.

Looks all good so.

Hope it works out for you. I'd be interested to see the outcome you get considering your gift outweighs your savings so substantially. You're doing great to have 2,225 per month as repayment capacity anyway.
God knows how anybody saves a deposit with rent the way that it is.

Hazydays123 · 13-07-2016 7:47pm

Has anybody here gone about obtaining the minutes of the AGM of the management company for the property they're purchasing? How forthcoming were they in supplying it? Did it alter your decision as to whether to purchase or not?

athtrasna · 13-07-2016 7:52pm

Hazydays123 wrote: »

Has anybody here gone about obtaining the minutes of the AGM of the management company for the property they're purchasing? How forthcoming were they in supplying it? Did it alter your decision as to whether to purchase or not?

As a director of our management company I would strongly oppose issuing of such documents to a non member. At the very least there are data protection issues.

Hazydays123 · 13-07-2016 8:10pm

athtrasna wrote: »

As a director of our management company I would strongly oppose issuing of such documents to a non member. At the very least there are data protection issues.

Well it's up to the vendor to make that decision. They're entitled to do what they please with their copy. It would definitely set off alarm bells about a property if the vendor outright refused to supply them. Obviously there's something they're trying to hide.

I'd feel very uncomfortable buying blindly into a development where every property is totally co-dependent.

athtrasna · 13-07-2016 8:23pm

Hazydays123 wrote: »

Well it's up to the vendor to make that decision. They're entitled to do what they please with their copy. It would definitely set off alarm bells about a property if the vendor outright refused to supply them. Obviously there's something they're trying to hide.

I'd feel very uncomfortable buying blindly into a development where every property is totally co-dependent.

The accounts are available from the cro, and are in the public domain. The minutes should not be.

Hazydays123 · 13-07-2016 8:27pm

athtrasna wrote: »

The accounts are available from the cro, and are in the public domain. The minutes should not be.

What's in the minutes that needs to be kept hidden? Anything that actually breaches data protection can be redacted. But if there's security issues, anti-social behaviour, etc, why shouldn't the purchaser be able to access that information?
That's basically a cover-up.

Rackstar · 13-07-2016 8:30pm

athtrasna wrote: »

The accounts are available from the cro, and are in the public domain. The minutes should not be.

I think you'd be mad not to try get your hands on the minutes. A friend recently decided not to go ahead with a purchase of an apartment due to information he found with regards to very expensive remedial work which was required where he was buying.

Hazydays123 · 13-07-2016 8:41pm

Rackstar wrote: »

I think you'd be mad not to try get your hands on the minutes. A friend recently decided not to go ahead with a purchase of an apartment due to information he found with regards to very expensive remedial work which was required where he was buying.

I don't think it's unreasonable at all to make your offer completely subject to the vendor supplying the minutes of the most recent AGM.
You wouldn't buy a property without a survey so why would you buy it without knowing what's going on in the development as a whole?
I think it's very obvious why a vendor might not want you to see them...

Hasmunch · 14-07-2016 6:48am

Utah wrote: »

Broker was right!

Where did you get this information? I cant find anything online about this.
Any change to variable rates?

Parchment · 14-07-2016 7:53am

Just wanted to say best of luck to all searching for a house/applying for a mortgage.

We finally went sale agreed yesterday after over a year of looking. The deposit is payed....now the real stress starts! We are going with AIB for the mortgage as we found them to be excellent to deal with, they were the most through with the application process too. Their rates are really competitive also.

Utah · 14-07-2016 7:57am

Hasmunch wrote: »

Where did you get this information? I cant find anything online about this.
Any change to variable rates?

It was a document sent to intermediaries only I think. No variable rate changes, just fixed rate.

Sleepy · 14-07-2016 9:46am

Hazydays123 wrote: »

Hope it works out for you. I'd be interested to see the outcome you get considering your gift outweighs your savings so substantially. You're doing great to have 2,225 per month as repayment capacity anyway.
God knows how anybody saves a deposit with rent the way that it is.

We got a substantial "gift" from my father towards the deposit which greatly out-weighed our own savings and had no real problems. The bank insisted on a deed signed in front of his own solicitor to confirm the money was a gift and that he understood this confirmed no claim to the house but it seems fairly standard stuff.

Our demonstrable repayment capacity (rent and savings) for the previous six months would have been just under double the monthly mortgage but we're a single-income family which lowers the level the bank will lend. It seems to me that gifts making up large percentages of the deposit aren't a real concern once you're not overly stretching yourself and can prove your repayment capacity is significantly high enough to meet any stress testing at the level you're looking to borrow.

mollybird · 14-07-2016 9:48am

Parchment wrote: »

Just wanted to say best of luck to all searching for a house/applying for a mortgage.

We finally went sale agreed yesterday after over a year of looking. The deposit is payed....now the real stress starts! We are going with AIB for the mortgage as we found them to be excellent to deal with, they were the most through with the application process too. Their rates are really competitive also.

Big congrats parchment. we have just gone sale agreed on our house also. it's a new build. We couldn't last as much as ye did. we were only looking for about 6 weeks. it was beyond stressful bidding on two houses we really liked and didn't get so we said cut out the middle man and went with the easier option.

mirrorwall14 · 14-07-2016 10:10am

Turns out Haven and EBS underwriting are on the same floor of a building. We should get a decision from both by tomorrow. We had to write a personal statement about how I would pay the mortgage on my own should the worst happen. Took ages yesterday evening. Now we wait again

Sleepy · 14-07-2016 10:49am

Best of luck mirrorwall14!

Jentle Grenade · 14-07-2016 11:15am

Best of luck Mirrorwall, really hope it works out for you.

mirrorwall14 · 14-07-2016 11:16am

Thanks guys, helping me stay sane!

Irish_rat · 14-07-2016 11:51am

Also a bit of a no-brainer but make sure to go variable rate any folks that are applying now.

I made the mistake of going fixed for 3 years a rate of 3.7%. Looks like it's down to 3.4% now on variable and the government is pushing the banks to further deceases.

[Deleted User] · 14-07-2016 12:40pm

RoyalMarine wrote: »

Hi all,

My parents have given me my inheritance early towards a deposit on a house.

We have 5k ourselves, and they have given us 25 plus 5 for fee's etc.

We're both long time with AIB, and have opened a mortgage application.

We haven't received the funds from my parents yet, however they are happy to provide any proof or letter to the bank. (they are also with AIB).

Does anyone know the best process for them to give us the money, and for us to document it to the bank?

Thanks in advance!

As others have said you will need to get a letter from your parents to confirm its a gift not a loan but aside form that and contrary to the poster I have quoted just below its actually better from a tax perspective to receive the money in the form of a gift rather than an inheritance. You have the same 280k tax free allowance, i.e. you can receive 280k from your parents with out paying any tax however you can also receive 3k each tax free from each of your parents under the yearly small gifts exemption.

Therefore if your parents give you and your wife/partner 25k gift you will only actually reduce your lifetime parent to child threshold by 13k and will still have 267k of threshold left. If it were an inheritance to you would have to take the full 25k from the lifetime threshold.

Zenify wrote: »

Unfortunately revenue do not see this as an early inheritance... make sure you pay the tax liability with any gifts as banks are red flagging it to Revenue.

See above you are actually better of gifting than inheriting from a tax perspective. In fact as the amount is so low in relation to the threshold (25k vs 280k) revenue don't even need to be informed.

elainep13 wrote: »

Yes that is correct, it is a life time limit for gifts and inheritance less the yearly small gift allowance 3k

As I mentioned above its actually much better than 3k in this scenario. its two people gifting money to two people this means they can receive 12k tax free under the small gift exemption.

Utah · 14-07-2016 1:10pm

Irish_rat wrote: »

Also a bit of a no-brainer but make sure to go variable rate any folks that are applying now.

I made the mistake of going fixed for 3 years a rate of 3.7%. Looks like it's down to 3.4% now on variable and the government is pushing the banks to further deceases.

This would depend on the bank you're with, yes?

Santy2015 · 14-07-2016 5:46pm

Cheque should be at our solicitors office tomorrow!! All we need is to get our engineer to sign off on our snag list and then it's key time

Irish_rat · 14-07-2016 8:26pm

Santy2015 wrote: »

Cheque should be at our solicitors office tomorrow!! All we need is to get our engineer to sign off on our snag list and then it's key time

Nice one! So funds were released today? I think it only takes a day if solicitor is with the bank you're getting the mortgage with.

Hopefully I'll get news tomorrow and have the keys.

Irish_rat · 14-07-2016 8:28pm

Utah wrote: »

This would depend on the bank you're with, yes?

Yep a mate of mine is on 4.2% for 3 years with BOI which is even worse.

Santy2015 · 14-07-2016 8:33pm

Irish_rat wrote: »

Nice one! So funds were released today? I think it only takes a day if solicitor is with the bank you're getting the mortgage with.

Hopefully I'll get news tomorrow and have the keys.

Now that's something I'm not sure about but it'll be there by Monday if she isn't with BOI.
Ah yeah hopefully

you can celebrate over the weekend.
I'm hoping everything is wrapped by this day week so that I can get really started. Have 2.5 weeks holidays starting Saturday.

68 lost souls · 14-07-2016 8:43pm

RoyalMarine wrote: »

Hi all,

My parents have given me my inheritance early towards a deposit on a house.

We have 5k ourselves, and they have given us 25 plus 5 for fee's etc.

We're both long time with AIB, and have opened a mortgage application.

We haven't received the funds from my parents yet, however they are happy to provide any proof or letter to the bank. (they are also with AIB).

Does anyone know the best process for them to give us the money, and for us to document it to the bank?

Thanks in advance!

3k per year can be given as a gift and not effect the life time inheritance tax as far as I am are so if they were to gift you 3k this year and your OH 3k then the same next year that's 12k that doesn't effect your life time engeritance tax which will be effected by a 25k lump sum.

Or I believe that is the case.

We have been given a generic letter to fill out from all banks to show a proof of a gift and not a loan. Hasn't been an issue so far

Irish_rat · 14-07-2016 9:06pm

Santy2015 wrote: »

Now that's something I'm not sure about but it'll be there by Monday if she isn't with BOI.
Ah yeah hopefully you can celebrate over the weekend.
I'm hoping everything is wrapped by this day week so that I can get really started. Have 2.5 weeks holidays starting Saturday.

Nice one! I've 3 weeks holidays starting next Wednesday. My closing date was today so I did cut it tight enough! My lease is finished this weekend, timed it well

Santy2015 · 14-07-2016 9:34pm

Irish_rat wrote: »

Nice one! I've 3 weeks holidays starting next Wednesday. My closing date was today so I did cut it tight enough! My lease is finished this weekend, timed it well[/quote

That's great. You'll get loads done.

[Deleted User] · 14-07-2016 9:39pm

68 lost souls wrote: »

3k per year can be given as a gift and not effect the life time inheritance tax as far as I am are so if they were to gift you 3k this year and your OH 3k then the same next year that's 12k that doesn't effect your life time engeritance tax which will be effected by a 25k lump sum.

Or I believe that is the case.

We have been given a generic letter to fill out from all banks to show a proof of a gift and not a loan. Hasn't been an issue so far

They can gift 12k in one year. Parents joint account to the poster and his wife/gfs joint account and it's 12k tax free in one transaction without touching lifetime parent to child threashold. This can be done every year.

RoyalMarine · 14-07-2016 10:19pm

thanks guys! Great info!!

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

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