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

Sunrise_Sunset · 17-07-2019 11:26pm

BadSanta wrote: »

5 to 9 weeks. sorry that's start from booking. so minus those days you did from booking to contract signing.

Ok, gotcha.
6 weeks sale agreed on property we're selling. 5 weeks sale agreed on property we're buying.

drunkmonkey · 17-07-2019 11:58pm

Time it your last in the chain to fully commit make sure your solicitor knows that. Read and article today 1 in 4 sales are falling through after sale agreed. The closer we get to Brexit I think people are getting jittery with the talk of job losses and recession. You can be full sure the media will keep ramping it up especially since it's silly season and Leo is off working on his tan.

LoonyLovegood · 18-07-2019 7:37am

I was going to ask, is anyone holding off buying because of Brexit? By the end of the year I'll have a 30k deposit saved, but being a single applicant that puts places I can afford out in the middle of nowhere on my income. People keep saying prices are going to fall, so I'm thinking keep saving a higher deposit and wait it out? It's just a guessing game at the minute that I hate.

drunkmonkey · 18-07-2019 8:10am

Do you need a house now, as in are you still relatively young can you hold off a few years and enjoy your freedom until someone locks you down. Then the 2 of you can afford a place in a better location. Buying in the middle of nowhere and if there is a downturn and life changes and you need to sell you could get stuck.
I'm not sure there's going to be a recession but still you'd like to see how the world is looking after October.

Lux23 · 18-07-2019 12:57pm

LoonyLovegood wrote: »

I was going to ask, is anyone holding off buying because of Brexit? By the end of the year I'll have a 30k deposit saved, but being a single applicant that puts places I can afford out in the middle of nowhere on my income. People keep saying prices are going to fall, so I'm thinking keep saving a higher deposit and wait it out? It's just a guessing game at the minute that I hate.

We have decided to hold off, but we are interested in a particular development so it depends on what happens with their next big release in September. They sold out in no time in March, but they had a limited release of six housea few weeks ago and they still have five for sale, so they may need to reduce the price.

An estate agents tod me that prices will go down more by the end of the year, maybe even by 10%. But you can only take that with a pinch of salt.

Butterface · 18-07-2019 3:09pm

We're sale agreed on a new build in a perfect location for us. But everybody we've talked to about the development (without them knowing we are thinking of buying there) has said they think they are overpriced.

We are concerned there will be a big drop in prices, but we also know that the location cannot be beaten and it will be our forever home (all going well).

So our choice is either buy now, or wait a few years and see... Since we're in the position to buy now at this price, we most likely will. I don't want to pay high rent for another 2/3 years!!

OEP · 18-07-2019 3:29pm

Butterface wrote: »

We're sale agreed on a new build in a perfect location for us. But everybody we've talked to about the development (without them knowing we are thinking of buying there) has said they think they are overpriced.

We are concerned there will be a big drop in prices, but we also know that the location cannot be beaten and it will be our forever home (all going well).

So our choice is either buy now, or wait a few years and see... Since we're in the position to buy now at this price, we most likely will. I don't want to pay high rent for another 2/3 years!!

If it's your forever home a drop in prices doesn't matter that much. Negative equity is only a big issue if you're looking to sell. It's unlikely that any price drops are going to be that much anyway, certainly no where near like before - maybe 10%

Butterface · 18-07-2019 3:39pm

OEP wrote: »

If it's your forever home a drop in prices doesn't matter that much. Negative equity is only a big issue if you're looking to sell. It's unlikely that any price drops are going to be that much anyway, certainly no where near like before - maybe 10%

Yeah, obviously we can never know what happens in the future, but we have always said we're not going to buy a house we don't consider to be a long-term home. The location of the development is too good to pass up. I guess if the prices drop it will sting, but we won't be planning to sell any time in the near future so shouldn't matter too much.

Creamy Goodness · 18-07-2019 4:33pm

If it’s a new build be careful waiting for a drop especially considering the uncertainty of the Help-To-Buy scheme end date. New builds in my area have all generated queues 3-5 fold the amount of houses per phase and each property gone up roughly 30-40k per phase. The estate agent will just go to next in line and you’ll be kicking yourself.

In the grand scheme of things if the house is something you definitely want a 10% drop is minuscule in terms of 15-20 years.

charlietheminxx · 18-07-2019 4:57pm

Another point to note is if you're waiting 2-3 years for a good price drop, how much rent have you paid while you're waiting? For a lot of people in Dublin, that can be about €30-60k per couple... it seems like a gamble on house prices dropping by that much.

ste · 18-07-2019 5:26pm

charlietheminxx wrote: »

Another point to note is if you're waiting 2-3 years for a good price drop, how much rent have you paid while you're waiting? For a lot of people in Dublin, that can be about €30-60k per couple... it seems like a gamble on house prices dropping by that much.

Agreed. Also the cost to build in Ireland is not going to change much (will remain high) in any short-medium period of time. Already builders are slowing housing completions in Dublin as stock isn't clearing as fast. They will not make the same mistake of over-building & there being a glut of new homes. It looks like there will only be 22k new houses (or thereabouts) this year. Control supply, control prices.

I must say though that some new build prices in Dublin are cheekily high. In some areas they are way out if line with older properties. Yes refurb costs are high & yes Help-to-buy is nice but still I think there are some overpriced new homes. Nothing that would move the dial on general house price growth/decline, just regional blips imo.

Corruptedmorals · 19-07-2019 12:31am

Far more relaxed now that the little things are all done or ready to roll as soon as we have a date. It's reassuring to see all of the tasks accomplished on the AIB app. It hasn't been 4 weeks yet, would love the contracts to issue before August purely because we feel nothing will be done that month with the high chance of annual leave but it's not a disaster if it doesn't and at least we know nothing on the bank or insurance side can hold us up.

Misssally · 21-07-2019 9:50pm

Does Anyone know the average time for the loan pack to issue? Had underwritten AIP & went sale agreed almost 5 weeks ago. House valued by bank a week later & still no loan offer. They keep saying it’ll be issued in the coming days but as of Friday it still hadn’t. They’re not waiting on anything from me. Is this normal? I’m starting to worry.

Dolbhad · 21-07-2019 10:04pm

Misssally wrote: »

Does Anyone know the average time for the loan pack to issue? Had underwritten AIP & went sale agreed almost 5 weeks ago. House valued by bank a week later & still no loan offer. They keep saying it’ll be issued in the coming days but as of Friday it still hadn’t. They’re not waiting on anything from me. Is this normal? I’m starting to worry.

Which bank is is? I was Ulster Bank and took about three weeks. However it is holiday time so I expect banks to have delay due to staff going on holidays so may be nothing to worry about.

Corruptedmorals · 21-07-2019 10:43pm

Depends on the bank. AIB have a standard set of 5 working days, must apply only when there is no outstanding paperwork etc. It took 2 days post sale information being sent for them to move it to underwriters and then 5 to issue the letter. Whatever bank that is, would definitely keep on to them. They might be struggling a bit with timelines with annual leave I suppose.

Sunrise_Sunset · 22-07-2019 12:04pm

Misssally wrote: »

Does Anyone know the average time for the loan pack to issue? Had underwritten AIP & went sale agreed almost 5 weeks ago. House valued by bank a week later & still no loan offer. They keep saying it’ll be issued in the coming days but as of Friday it still hadn’t. They’re not waiting on anything from me. Is this normal? I’m starting to worry.

We are with PTSB and got ours within about 4 weeks I think.
That was last month. There could be slight delays now with staff being on annual leave.

Uncle_Joe · 22-07-2019 6:18pm

I’m about to close this week and I’ve just had an email telling me the bank has requested another drive-by valuation.

Is this normal? Especially when the deal so close to closing?

The last one was done in April.

GingerLily · 22-07-2019 6:55pm

Uncle_Joe wrote: »

I’m about to close this week and I’ve just had an email telling me the bank has requested another drive-by valuation.

Is this normal? Especially when the deal so close to closing?

The last one was done in April.

Is it a new build?

VonLuck · 22-07-2019 8:28pm

Does anyone know if any banks are currently providing exemptions? I do not need a particularly large one, but I would like to avoid asking my parents for the gifting of the small amount to get me across the line.

Dolbhad · 22-07-2019 9:34pm

Uncle_Joe wrote: »

I’m about to close this week and I’ve just had an email telling me the bank has requested another drive-by valuation.

Is this normal? Especially when the deal so close to closing?

The last one was done in April.

As another poster said if it’s a new build, a final valuation is needed. Just to note Valuations are only valid for 4 months.

Misssally · 22-07-2019 11:09pm

Sunrise_Sunset wrote: »

We are with PTSB and got ours within about 4 weeks I think.
That was last month. There could be slight delays now with staff being on annual leave.

Yeah it’s ptsb. Good to know it’s not too unusual for them!

charlietheminxx · 23-07-2019 9:00am

VonLuck wrote: »

Does anyone know if any banks are currently providing exemptions? I do not need a particularly large one, but I would like to avoid asking my parents for the gifting of the small amount to get me across the line.

It usually depends on the bank, but I know when I first applied in August last year, there were none left to be had - we waited until January to get one.

23-07-2019 10:12am

charlietheminxx wrote: »

It usually depends on the bank, but I know when I first applied in August last year, there were none left to be had - we waited until January to get one.

Apparently not all banks used all their exemptions last year, read it either in this thread or the Property Market thread.

ELM327 · 23-07-2019 10:14am

Back onto this thread again, about 18 months after getting the keys to my last property I want to sell up and buy a larger one with herself.
Booked appointment with PTSB next week, memories of how arduous the process was last time are still fresh in my mind!

Luckily my property has appreciated in the last 18 months and I put down a 20% deposit initially, so I have a fair bit of equity to move, coupled with joint savings near 20k.

Mickiemcfist · 23-07-2019 10:46am

Quick query, would going through a broker in any way harm your chances? Why wouldn't everyone do so?

ELM327 · 23-07-2019 10:48am

Mickiemcfist wrote: »

Quick query, would going through a broker in any way harm your chances? Why wouldn't everyone do so?

Wouldnt harm your chances but theres no need to add a middleman if one is not needed

Some cases which the bank may not approve directly apparently get through via brokers - which as far as I can see, is the only reason to go with one.

Creamy Goodness · 23-07-2019 10:48am

Mickiemcfist wrote: »

Quick query, would going through a broker in any way harm your chances? Why wouldn't everyone do so?

Going with a broker is only good if your situation is complicated. If you've a clean financial record there's no difference doing it yourself.

23-07-2019 11:20am

ELM327 wrote: »

Wouldnt harm your chances but theres no need to add a middleman if one is not needed

Some cases which the bank may not approve directly apparently get through via brokers - which as far as I can see, is the only reason to go with one.

Well that's a pretty big reason in itself. The other reasons are that it consolidates all your applications into one, you'll get good advice on the different products on the market, it speeds up any communications with the bank as the broker will have a direct line to someone, we also got to borrow more through the broker without need an exemption as they got the bank at account for variable income. I highly recommend using a broker, as someone who tried doing it myself initially.

Kh1993 · 23-07-2019 11:54am

VonLuck wrote: »

Does anyone know if any banks are currently providing exemptions? I do not need a particularly large one, but I would like to avoid asking my parents for the gifting of the small amount to get me across the line.

Best bet is to ask them all. PTSB told us recently that they do offer exemptions, but only if salaries combined are over 80k.

Sunrise_Sunset · 23-07-2019 11:56am

Kh1993 wrote: »

Best bet is to ask them all. PTSB told us recently that they do offer exemptions, but only if salaries combined are over 80k.

They told us no exemptions at all.

Sunrise_Sunset · 23-07-2019 11:58am

Misssally wrote: »

Yeah it’s ptsb. Good to know it’s not too unusual for them!

I didn't worry about it, as I wasn't expecting that there could be issues relating to that. I have plenty of other worries now though

r93kaey5p2izun · 23-07-2019 2:09pm

For anyone who used a broker, how long should it typically take to get AIP once all documents provided and broker is submitting the application?

stdidit · 23-07-2019 2:12pm

Amber Round Eyelid wrote: »

For anyone who used a broker, how long should it typically take to get AIP once all documents provided and broker is submitting the application?

It took our broker exactly 7 days.

r93kaey5p2izun · 23-07-2019 4:37pm

Is it normal for AIP to be issued with a maximum purchase price stated as one of the conditions of the offer?

Corruptedmorals · 23-07-2019 6:02pm

Amber Round Eyelid wrote: »

Is it normal for AIP to be issued with a maximum purchase price stated as one of the conditions of the offer?

That sounds a bit mad. How they can account for cash on top of the mortgage? Our mortgage is one-third cash which is good news all around since it lowers the LTV.

I think I'll wait until 6 weeks (4 weeks now) before asking solicitor to chase contracts as we haven't gotten any yet but it's sloooow summer season so remaining hopeful they will issue soon rather than anxious that they haven't so far.

stdidit · 23-07-2019 6:43pm

Amber Round Eyelid wrote: »

Is it normal for AIP to be issued with a maximum purchase price stated as one of the conditions of the offer?

Our one had our 'max purchase price' on it, which we had told our broker was the max we wanted to pay for a house - it was labelled as purchase price.
It also had the loan value on it which was based on the max purchase price minus help to buy and our cash deposit.

I would have thought it was standard enough to get AIP for the max you can afford or the max your want to pay (whichever is higher)

r93kaey5p2izun · 23-07-2019 6:46pm

Corruptedmorals wrote: »

That sounds a bit mad. How they can account for cash on top of the mortgage? Our mortgage is one-third cash which is good news all around since it lowers the LTV.

Yes I will have more than 30% deposit and I don't get why it would matter how much more money I put in. It's also not a round figure - say 3k off the next ten thousand. If I don't go sale agreed until near the end of the the 6 months I would have another 20k to add to the deposit - it makes no sense to me to be capped at this figure.

The letter states AIP for €x subject to the following conditions... including max purchase price of €y and me providing minimum deposit of €z, (difference between x and y). I just want to understand if this is typical and flexible or if it's unusual.

hanaimai · 23-07-2019 8:20pm

Amber Round Eyelid wrote: »

Yes I will have more than 30% deposit and I don't get why it would matter how much more money I put in. It's also not a round figure - say 3k off the next ten thousand. If I don't go sale agreed until near the end of the the 6 months I would have another 20k to add to the deposit - it makes no sense to me to be capped at this figure.

The letter states AIP for €x subject to the following conditions... including max purchase price of €y and me providing minimum deposit of €z, (difference between x and y). I just want to understand if this is typical and flexible or if it's unusual.

Was it KBC? I think I remember something like that being on our AIP and I was confused because we had more cash to put towards the house than was reflected in the maximum purchase price they put. I rang them and I'm pretty sure the guy on the phone just said it's a standard thing they put in their AIP and doesn't really mean anything. Which seems pointless of course!

Spartacus91 · 23-07-2019 8:37pm

Hi does anyone know how long after signing contracts for a new build would it take to get the keys? We have sent over the remaining deposit through solicitor and will draw down the HTB once builders have signed the contracts.. we haven’t really been given much of a timeline.. thanks in advance

peteb2 · 23-07-2019 8:49pm

Spartacus91 wrote:

Hi does anyone know how long after signing contracts for a new build would it take to get the keys? We have sent over the remaining deposit through solicitor and will draw down the HTB once builders have signed the contracts.. we havenâ€™t really been given much of a timeline.. thanks in advance

Have you snagged? Is it actually completed?

r93kaey5p2izun · 23-07-2019 8:59pm

hanaimai wrote: »

Was it KBC? I think I remember something like that being on our AIP and I was confused because we had more cash to put towards the house than was reflected in the maximum purchase price they put. I rang them and I'm pretty sure the guy on the phone just said it's a standard thing they put in their AIP and doesn't really mean anything. Which seems pointless of course!

No, Ulster Bank. I'll try get more info on it tomorrow. Hopefully it's indicative rather than set in stone.

Spartacus91 · 23-07-2019 9:03pm

peteb2 wrote: »

Have you snagged? Is it actually completed?

Haven’t snagged yet and build is completed!

Phileas Frog · 23-07-2019 9:07pm

Spartacus91 wrote: »

Hi does anyone know how long after signing contracts for a new build would it take to get the keys? We have sent over the remaining deposit through solicitor and will draw down the HTB once builders have signed the contracts.. we haven’t really been given much of a timeline.. thanks in advance

That timeline would be in the contract, probably about a month from signing

Spartacus91 · 23-07-2019 9:11pm

Phileas Frog wrote: »

That timeline would be in the contract, probably about a month from signing

No there’s no timeline in contract the builders don’t give one to cover themselves apparently..

Dolbhad · 23-07-2019 10:11pm

Spartacus91 wrote: »

No there’s no timeline in contract the builders don’t give one to cover themselves apparently..

When house is going for snagging that’s when funds are requested from bank and closing documents given to solicitor. Once all in place you’ll get keys after closing. Would expect to be around a week or two from snagging - depends on what issues come up on snagging. But check in with site foreman to see when you get send your engineer in for snagging.

r93kaey5p2izun · 23-07-2019 11:15pm

How much would people suggest would be needed to modernise a 1970s 3 bed semi (90sqm) that has had nothing done with it? Would need new floors throughout, new kitchen, new bathroom (plus other basic decoration, but that could he done gradually)? I realise this may be a case of how long is a piece of string in terms of quality of materials etc, but I really have no idea at all so need some sort of idea to start from. €50k? €100k? Dublin/Kildare area.

tobsey · 23-07-2019 11:21pm

Amber Round Eyelid wrote: »

How much would people suggest would be needed to modernise a 1970s 3 bed semi (90sqm) that has had nothing done with it? Would need new floors throughout, new kitchen, new bathroom (plus other basic decoration, but that could he done gradually)? I realise this may be a case of how long is a piece of string in terms of quality of materials etc, but I really have no idea at all so need some sort of idea to start from. €50k? €100k? Dublin/Kildare area.

If no structural work then 50k should go a very long way. A good kitchen should be 10k, maybe a bit more if you go for expensive appliances and worktops. Windows and doors should be a bit less than that. Flooring no more 5k. Bathroom maybe just over 5k. Still 20k to manage decoration and any other touch ups.

swarmberg · 24-07-2019 10:02am

At what point does the bank issue the funds to our solicitor? We are at the snagging stage of a new build and they are talking about the issue of funds from the bank. I would have thought the bank would need another valuation of the property when its fully ready before issuing funds?

Also as for closing, Is there anything else that needs to be signed or is it more we give our approval that everything in the snag is sorted?

Creamy Goodness · 24-07-2019 10:11am

swarmberg wrote: »

At what point does the bank issue the funds to our solicitor? We are at the snagging stage of a new build and they are talking about the issue of funds from the bank. I would have thought the bank would need another valuation of the property when its fully ready before issuing funds?

Also as for closing, Is there anything else that needs to be signed or is it more we give our approval that everything in the snag is sorted?

the bank will release the funds to your solicitor when the following criteria are met:

1. The builder has stated the building is complete.
2. Once you tell your solicitor you're happy that the snag list has been completed.
3. You have house insurance and mortgage protection ready and in place to start.
4. A valuation has been done and is dated within the last 4 months.
5. Your solicitor requests the funds from the bank, and the bank will only issue the funds after the above are in order.

There's nothing you need to sign, you requesting your solicitor to request/transfer the funds to the builder's solicitor is contract enough that you're happy with the snag, if you're not happy, you won't be transferring the funds.

Best of luck, exciting times ahead.

Mushy · 24-07-2019 2:07pm

Creamy Goodness wrote: »

the bank will release the funds to your solicitor when the following criteria are met:

1. The builder has stated the building is complete.
2. Once you tell your solicitor you're happy that the snag list has been completed.
3. You have house insurance and mortgage protection ready and in place to start.
4. A valuation has been done and is dated within the last 4 months.
5. Your solicitor requests the funds from the bank, and the bank will only issue the funds after the above are in order.

There's nothing you need to sign, you requesting your solicitor to request/transfer the funds to the builder's solicitor is contract enough that you're happy with the snag, if you're not happy, you won't be transferring the funds.

Best of luck, exciting times ahead.

So solicitor shouldn't send request for funds until confirmation of snag list being completed? Got kinda mistracked on earlier comment saying it should be sent earlier.

Snagging this week, arranging valuation and house insurance. If need solicitor to request funds now I will, even if they won't release till full confirmation of completion. Trying to make it as smooth as possible

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

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