2017-21 help to buy scheme - megathread. All help to buy discussion here please

BrentMused wrote: »

Hello,

Sorry for the very basic question and I'm sure it's been answered 100 times, but with regards to the Help to Buy scheme I just want to get some clarification around potential deposit needed.

Say the new house price is €250,000. Ordinarily you'd be looking at a 10% deposit needed, so obviously €25,000. However, with the Help to Buy, 10% of the value of the property will be covered under the scheme?

Banks will obviously be looking for a track record of savings, a lump sum saved up to show ability to save etc, but is it now the case where if you satisfy the requirements of the bank that you don't necessarily need to have that sort of a deposit saved if the Help to Buy is essentially covering it? Or is that not how it works at all? :pac:

Thank you.

Yes that's how it works now

Troula wrote: »

I would also say that the banks will probably still be looking on track records, but not necessarily for all the 10%.
For certain they will need to verify that you have enough to pay for stamp duty for example. Maybe even for the rest of running expenses that you need before buying a house like solicitor expenses etc, but not sure on that.
My understanding is that the track record of saving shows that you were able to save an amount of money meaning you would be able to pay off your mortgage. Maybe I am wrong.

I can guarantee you though that you don't have to have all the 10% in savings if you get the HTB.
We got approved for a mortgage without having that amount saved. (we still had money saved but not the whole 10%, or even the 5% for that matter).

That is super reassuring for me as well.
Myself and him qualify for 21k right now, excluding 2020 tax
Hopefully we get to 30k by next year 😸

Putting money aside for the fees at present as well

If i have a deposit saved can i still get the HTB money ? If yes, can i use it towards a deposit, making my deposit about 20% the value of the property ?

does the amount deposit paid have anything to do with what will be refunded from help to buy? For self builds i dont get deposit aspect.

Yes , I'm in a similar situation. BOI consider me as a first time buyer, KBC also.
UB considered me a second for some reason

Meandyou999 wrote: »

So would an accountant telling you the best way to avoid paying tax or how save paying on tax be illegal?
Its not tax evasion if its not illegle. Its being smart
Its NOT illegle to buy a house and put it in someone else's name so how would it be classed as being ""tax evasion illegal"".

Tax avoidance is perfectly legal. That's what a tax accountant would advise on.

Tax evasion is very much illegal.

Meandyou999 wrote: »

I agree as the law states. My point being is that putting a property in some elses name before when ftbs were exempt from stamp duty is not tax evasion it is tax avoidance.

It would have been considered a gift to you though, given you now had an asset in your name that had been paid for by someone else. So either a large chunk of your lifetime tax free CAT exemption was used up, or else you failed to pay CAT on it (if the property was in excess of the lifetime exemption).

Meandyou999 wrote: »

HTB eligibility. First time buyer status. Parents bought a house in my name 15 years ago when i was 18 as first time buyers were exempt from paying stamp duty back then hence why they put it in my name on the deeds, house was boughy for cash with the sale proceeds from the previous home they were in. They sold n bought. No mortgage, house bought in my name, am i still a first timer buyer to get the HTB???
Thanks.

Why do you keep asking the same question and ignoring when you get answers you don't like?

For a self build is it just engineers valuation report i need or do i have to get an auctioneer to value too?

Katerrrs wrote: »

Hi all,
I'm wondering if anyone could advise - we're buying a showhouse, it's ready to go now, other than a few snags which the foreman has told us will be completed by Tuesday, and the developer has indicated that they want us to close within 2 weeks of contracts being exchanged (which happened on Friday 23/10/20).
We submitted our HTB claim on Friday night.
My question is how soon can we progress to mortgage drawdown - do we need to wait for the HTB to be verified by the developer or for the HTB funds to actually reach the developer's account before our solicitor can instruct the bank to proceed to mortgage drawdown? And how long does the drawdown process then typically take? We've a baby due in 5 weeks so starting to get a bit impatient and willing things to move as quickly as possible!

Many thanks for your advice

Hi Katters. To get the loan offer we had to supply the bank with the codes you get from HTB once the claim is verified.
With us we had to get a letter from the developer or the developers solicitor confirming they had received the funds before the bank would proceed to drawdown. They said the codes were not enough. Our broker said they were never asked for this before so it seems new.
This was not stipulated in the loan offer but was one of a few things that drew out the drawdown process.
We had a very quick turnaround. Eight weeks in total from when we submitted our mortgage application to closing the sale and the drawdown process for us was the longest.
Also had a few delays with the HTB, nothing serious but you really need to keep on top of them through My Enquireries. We found them very quick to get back. If you’ve just submitted your application keep a good eye for any extra info they are looking for.
Like you we are due a baby any day now so there was so much pressure to get it over the line. Best of luck with it all.

GingerLily wrote: »

If your mortgage is at least 70% Loan to Value you can use HTB. With those numbers you'd be about 85% (285000/33500) LTV so you're fine!

Do revenue check this? I'm not completly au fait with the LTV but I'm self building and will be using savings so mortgage may not be enough. Just to see if my understanding is correct - I want to build a house for €200,000, I get mortgage of 110,000 - this does not allow me draw HTB as 110,000/200,000 is 55% - am I correct?
But if you were building for 240,000 and borrowing 180,000 that would be 75% so yes.

Empsey wrote: »

Hello all

My bank has told me to try and apply for HTB. We inherited the property, both first time buyers. Mortgage to renovate is €250,000.

Is there any way we are elegible HTB as house inhabitable??

Bank said there was but rev blocking application as LPT on property

to claim HTB, you must:

be a first-time buyer
buy or build a new property between 19 July 2016 and 31 December 2021
live in the property as your main home for five years after you buy or build it
be tax compliant, if you are self assessed you must also have tax clearance.

Unless you knock the house and do a new build on the site I would say no
But It costs nothing to check with revenue