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

wolfyboy555 · 06-01-2020 11:40pm

Does anyone have a spreadsheet comparing mortgages rates of each that was made by a fellow boardsie and put up a good while ago. I thought I had it downloaded but cant find it.

zweton · 06-01-2020 11:57pm

Oh would be great to see this.

drunkmonkey · 07-01-2020 12:36am

Have a look on bonkers there all there, you just need to decide if the cash back offers and that are worth it, depending on the amount your borrowing they may well be. Look at them over the length of the deal term not the mortgage term and be prepared to switch when the deals up if there's a better one.

Woshy · 07-01-2020 10:11am

zweton wrote: »

Do both myself and partner have to have a pension going? Or just one person?

I'm not sure what you mean?

my post is saying that the bank wanted my husband to have the ability to stop contributing to his pension, not that they wanted him to have one.

drinkingwater · 07-01-2020 10:56am

wolfyboy555 wrote: »

Does anyone have a spreadsheet comparing mortgages rates of each that was made by a fellow boardsie and put up a good while ago. I thought I had it downloaded but cant find it.

https://touch.boards.ie/thread/2058018419/1/#post111357595

fin12 · 09-01-2020 12:51am

Question on how to show savings record:

I save in my credit union.

I withdraw my wages from my bank account and deposit cash into my credit union every month.

If the bank statement from credit union show a deposit of the same amount going in each month is that enough?

I’m just wondering cause it’s not electronic transfer and it’s cash being deposited, could it be a problem?

L1011 · 09-01-2020 12:52am

That should be fine

Dolbhad · 09-01-2020 7:33am

fin12 wrote: »

Question on how to show savings record:

I save in my credit union.

I withdraw my wages from my bank account and deposit cash into my credit union every month.

If the bank statement from credit union show a deposit of the same amount going in each month is that enough?

I’m just wondering cause it’s not electronic transfer and it’s cash being deposited, could it be a problem?

I do that and bank had no issue with it. You should ensure you lodge it immediately though from withdrawal into the credit union. The bank so look at any withdrawals so they check it corresponds.

what_traffic · 09-01-2020 9:46am

fin12 wrote: »

Question on how to show savings record:

I save in my credit union.

I withdraw my wages from my bank account and deposit cash into my credit union every month.

Is the amount always the same or do you change from month to month?

gnf_ireland · 09-01-2020 10:40am

zweton wrote: »

Do both myself and partner have to have a pension going? Or just one person?

I have never been asked about pensions when I was applying for mortgages. I imagine it only gets important in the following circumstances:
- you have a public sector pension and therefore have a 'stable' income and defined lump sum in retirement. This may become important if you are looking to have a mortgage beyond 65
- you are contributing large amounts to your pension now and have the flexibility to reduce this in the future to meet other commitments (such as the mortgage)

In general, most private sector workers have negligible pensions when they are looking to buy a house, so its not material in any way to the overall financial position. Defined contribution pensions are uncertain by their nature, so banks would be slow to consider them unless material in value

gnf_ireland · 09-01-2020 10:45am

hanaimai wrote: »

This is exactly what everyone should be doing. The numbers of switchers in Ireland are pretty low and it's crazy the amount of people who sign up for a fixed rate and then just sit on a high variable rate once that's up! As you've already mentioned, the only cost really is legal fees to move bank (assuming you're not breaking out of the fixed rate early) but that's usually well recouped by the potential savings and possible cashback/switching offers etc.

I would go a step further, and given the way the break out fees are now calculated, once the cashback has been received, people can consider switching at that stage if a better offer exists. In the majority of cases, break out fee will be negligible at the moment.

Switching to save you money should be done across the board - and being on a fixed rate is not a reason for not switching (at least until you check the break out fee)

As for staying on high default variable rates - if anyway wishes to give the bank the equivalent of a holiday per year in extra interest fees, then thats their own call ! In real terms, if you have a 300k mortgage and default variable is 4.5% and the rate on the market is 2.8%, every year you are paying the bank 5100 euro extra in interest payments for nothing (after you have paid income tax etc). Think about it...

fin12 · 09-01-2020 11:02pm

what_traffic wrote: »

Is the amount always the same or do you change from month to month?

The amount is always the same I lodge but sometimes the period at certain times between lodgment wouldn’t always be every 4 weeks.

I aim to save €1000 every month but sometimes I don’t get to the €1000 every month so sometimes a period between a lodgment could be 5/6 weeks.

fin12 · 09-01-2020 11:22pm

Dolbhad wrote: »

I do that and bank had no issue with it. You should ensure you lodge it immediately though from withdrawal into the credit union. The bank so look at any withdrawals so they check it corresponds.

I don’t do it immediately cause I save it in cash and when it comes to a €1000 then I lodge it.

what_traffic · 10-01-2020 10:22am

fin12 wrote: »

The amount is always the same I lodge but sometimes the period at certain times between lodgment wouldn’t always be every 4 weeks.

I aim to save €1000 every month but sometimes I don’t get to the €1000 every month so sometimes a period between a lodgment could be 5/6 weeks.

That shows consistency of saving for sure, but it might be better reducing the amount to show a manageable amount of saving per calendar month that coincides with your pay check?

bush · 10-01-2020 1:27pm

flipflophead22 wrote: »

Good info here, im 40 and looking to apply this year with my partner for a mortgage. Am I right in saying the max I can get is 25 year mortgage? My age will go against me I guess.

PTSB were the most lenient about age when I applied. Very easy to deal with too.

CIP4 · 11-01-2020 11:13pm

I am looking to apply for a mortgage soon. Just 2 queries.

I currently have a car loan am I better of to clear this before I even apply or is there any benefit to keeping it on while applying as proof of capability to repay a loan and then clear it before the mortgage is drawn down ?

The other question is with the 3.5 times salary limit what is the stance on Annual bonus and overtime. My annual bonus is not guaranteed but for the last few years I have always got it. The overtime I do is weekends and this is actually in my contract so could that be counted towards earnings or typically how does the bank look at it ?

mycro2013 · 11-01-2020 11:20pm

CIP4 wrote: »

I am looking to apply for a mortgage soon. Just 2 queries.

I currently have a car loan am I better of to clear this before I even apply or is there any benefit to keeping it on while applying as proof of capability to repay a loan and then clear it before the mortgage is drawn down ?

The other question is with the 3.5 times salary limit what is the stance on Annual bonus and overtime. My annual bonus is not guaranteed but for the last few years I have always got it. The overtime I do is weekends and this is actually in my contract so could that be counted towards earnings or typically how does the bank look at it ?

First port of call is to arrange a meeting with a mortgage advisor at your local banks branch and they can advise you and start the ball rolling.

From experience they average out your bonus and overtime from the last number of years and then add 30 per cent of the figure to the figure obtained from your p60.

zweton · 12-01-2020 2:16am

bush wrote: »

PTSB were the most lenient about age when I applied. Very easy to deal with too.

Mind me asking what your age was at time of application?

tolow · 13-01-2020 3:45pm

Hi All,

Looking at getting the ball rolling on applying for a mortgage. Is it best to meet with the banks individually or is it easier to get on to a broker?

How likely are exemptions on the 3.5x salary limit?

Also will having a credit card with a small amount owed affect the application much?

Thanks in advance

Creamy Goodness · 13-01-2020 3:52pm

tolow wrote: »

Looking at getting the ball rolling on applying for a mortgage. Is it best to meet with the banks individually or is it easier to get on to a broker?

Depends on your situation, if you have a straight forward income / outgoing profile it's just as easy to deal with banks separately. If you don't then explaining your income / outgoings to a broker once and let them do the work is beneficial.

How likely are exemptions on the 3.5x salary limit?

depends on your income/outgoing profile, basically you need super clean credit history and be earning over a certain salary depends on the bank but you'll be looking of being north of 60-70k. The bank can only five an exemptions to 20% of their mortgage book in a given year. Some banks give these out all at once (if there's applicants for it) and some hold back and spread them out throughout the year.

Also will having a credit card with a small amount owed affect the application much?

when you say owed are you carrying a balance? if yes, yes it'll affect the application. If you pay off in full every month without putting yourself into more debt elsewhere then it'll have no affect.

scarepanda · 14-01-2020 2:47pm

13 weeks after going sale agreed, the contracts have come through to the solicitor. Waiting on some info for the engineer to finish the survey report now. I feel like we should be doing/organising stuff but not sure what exactly

ebayissues · 14-01-2020 3:00pm

Approximately, how much is solicitor fees? Been quoted 3k...

Stark · 14-01-2020 4:05pm

What does the 3k include? There'll be the solicitor's professional fee which is what the solicitor earns, then there'll be incidental costs like land registry fees, search fees, stamp duty. If the 3k includes the land registry and search fees, then it would be in line with the market. If not, then it would be on the expensive end.

ebayissues · 14-01-2020 4:23pm

Yea 1. 9k including vat is professional fee and the rest registration fees

ILikeBoats · 14-01-2020 4:46pm

I paid 895 for my professional fee

Stark · 14-01-2020 5:03pm

ILikeBoats wrote: »

I paid 895 for my professional fee

With who? Was the solicitor any good? I've been quoted around 1900 incl VAT as well, though it's from someone I trust. Hesitant to go with someone cheaper as I've heard all sorts of horror stories from friends who've had to deal with lazy/incompetent solicitors.

ILikeBoats · 14-01-2020 5:07pm

Stark wrote: »

With who? Was the solicitor any good? I've been quoted around 1900 incl VAT as well, though it's from someone I trust. Hesitant to go with someone cheaper as I've heard all sorts of horror stories from friends who've had to deal with lazy/incompetent solicitors.

I found him great - we've used him twice as we switched mortgage.
I should add it was 895 plus VAT
I'll PM you

Stark · 14-01-2020 5:13pm

ILikeBoats wrote: »

I found him great - we've used him twice as we switched mortgage.
I should add it was 895 plus VAT
I'll PM you

Thank you

Naos · 14-01-2020 5:14pm

scarepanda wrote: »

13 weeks after going sale agreed, the contracts have come through to the solicitor. Waiting on some info for the engineer to finish the survey report now. I feel like we should be doing/organising stuff but not sure what exactly

If you wanted, you could get the ball rolling on prices for Mortgage Protection and Home Insurance.

ebayissues · 14-01-2020 5:25pm

ILikeBoats wrote: »

I found him great - we've used him twice as we switched mortgage.
I should add it was 895 plus VAT
I'll PM you

Please PM aswell

Uglysoik1 · 14-01-2020 5:39pm

And me too please

NearlyForty · 14-01-2020 5:59pm

Currently viewing houses at the mo.. Is it normal for an auctioneer to take 2 days to get back to you for a viewing date and time? Are some sellers awkward or needing to pick when it suits them etc..??? We have been to view a few houses already and other auctioneers would give us a time and date straight away and then there’s one house in particular we like so we rang yesterday morning to arrange a second viewing and we’re still waiting for them to ring us back.. Very strange I’d be thinking, or is that the norm..?

alwald · 14-01-2020 7:35pm

ILikeBoats wrote: »

I paid 895 for my professional fee

PM the details as well! thanks!!

Bargain_Hound · 15-01-2020 12:37pm

Paul_Mc1988 wrote: »

Can I ask why you moved so quick. Strange to go through all the hassle and fees only to move a year later.

Probably a bit late replying. We bought a new build, sold it due to to a silly high % of social housing allocated and neighbors of hell.

ECO_Mental · 15-01-2020 12:56pm

NearlyForty wrote: »

Currently viewing houses at the mo.. Is it normal for an auctioneer to take 2 days to get back to you for a viewing date and time? Are some sellers awkward or needing to pick when it suits them etc..??? We have been to view a few houses already and other auctioneers would give us a time and date straight away and then there’s one house in particular we like so we rang yesterday morning to arrange a second viewing and we’re still waiting for them to ring us back.. Very strange I’d be thinking, or is that the norm..?

After just signing contracts today on my house I have just sold

you have to be mindful of the fact people are living in these houses and have lives as well. They cannot at the drop of a hat arrange a viewing to suit you. Its takes A LOT of work to get a house ready for a viewing and most estate agents will try and get 2 or more if possible viewings on the same day or time to accommodate the people in the house. As a seller I am glad its all over but I have now an appreciation of what goes into selling a house as well.

Dolbhad · 15-01-2020 1:18pm

ILikeBoats wrote: »

I paid 895 for my professional fee

Was that fee for the remortgage or the original purchase of property?

ILikeBoats · 15-01-2020 1:23pm

Original purchase

Remortgage was less again

NearlyForty · 15-01-2020 1:53pm

ECO_Mental wrote: »

After just signing contracts today on my house I have just sold you have to be mindful of the fact people are living in these houses and have lives as well. They cannot at the drop of a hat arrange a viewing to suit you. Its takes A LOT of work to get a house ready for a viewing and most estate agents will try and get 2 or more if possible viewings on the same day or time to accommodate the people in the house. As a seller I am glad its all over but I have now an appreciation of what goes into selling a house as well.

Thanks for your reply! Ah that totally makes sense to be fair.. We’re just new to all this and I have a tendency to over think things!
In the meantime the auctioneer got back to us and we’re viewing tomorrow

Best of luck !

NearlyForty · 15-01-2020 1:55pm

Do banks look for proof of funds for the legal fee’s as well, or are they just interested in the deposit ?
We will continue saving after going sale agreed of course but may have to get a gift off a parent

Techn0 · 15-01-2020 2:20pm

Hi all,

First time buyer here looking for a bit of guidance on how to proceed over the next few months. I'll run through my dilemma:

I'm currently talking to a broker and getting the mortgage application underway. I have my eye on a new development of which the final phase is being launched this month. As it stands the mortgage required would put me at circa. 4.5 LTI which as you know is on the high side. I'm a single applicant and aware that lenders may choose to give out exceptions to less risk applicants on higher value homes (mortgage value here around €225k). In saying that however the rest of my application would be quite strong - permanent employment, no loans, regular savings etc.

So here's the issue - I am due a promotion in April which will includes a 20% payrise. From talking to my broker he said that I would have no problem getting approval on the revised salary in April. I am eager to reserve one of the units and put a deposit to secure this month, on the basis that when I require the loan (which will be Q4 2020), I will have no issue with getting the mortgage. I understand when putting down a deposit that developers may look for proof of a loan. I also understand it may not be a best course of action to put a deposit down with the above uncertainty.

Any advice on how to navigate this? These units will sell out by April. I want to place a deposit to secure a unit and I have around 15% of the house value in cash (which doesn't include the HTB scheme). I am concerned the agent may look at my current affordability and not accept.

Any thoughts/ inputs are most welcome!

awec · 15-01-2020 2:57pm

Techn0 wrote: »

Hi all,

First time buyer here looking for a bit of guidance on how to proceed over the next few months. I'll run through my dilemma:

I'm currently talking to a broker and getting the mortgage application underway. I have my eye on a new development of which the final phase is being launched this month. As it stands the mortgage required would put me at circa. 4.5 LTI which as you know is on the high side. I'm a single applicant and aware that lenders may choose to give out exceptions to less risk applicants on higher value homes (mortgage value here around €225k). In saying that however the rest of my application would be quite strong - permanent employment, no loans, regular savings etc.

So here's the issue - I am due a promotion in April which will includes a 20% payrise. From talking to my broker he said that I would have no problem getting approval on the revised salary in April. I am eager to reserve one of the units and put a deposit to secure this month, on the basis that when I require the loan (which will be Q4 2020), I will have no issue with getting the mortgage. I understand when putting down a deposit that developers may look for proof of a loan. I also understand it may not be a best course of action to put a deposit down with the above uncertainty.

Any advice on how to navigate this? These units will sell out by April. I want to place a deposit to secure a unit and I have around 15% of the house value in cash (which doesn't include the HTB scheme). I am concerned the agent may look at my current affordability and not accept.

Any thoughts/ inputs are most welcome!

I think your only real hope is either to get that exemption, or hope that the houses are still available in April. You can pay the booking deposit, which is fully refundable, but there is no way you will get from now until April without having to sign contracts and pay the full deposit.

And no solicitor will let you sign contracts and pay the deposit without having a mortgage in place. That would be crazy.

scarepanda · 15-01-2020 3:26pm

NearlyForty wrote: »

Do banks look for proof of funds for the legal fee’s as well, or are they just interested in the deposit ?
We will continue saving after going sale agreed of course but may have to get a gift off a parent

Ya they do. For some reason our broker told us not to give statements for the child benefit account when we were first applying for mortgage approval. It didnt bother us at the time as the house we were bidding on we had enough funds to cover everything from mortgage savings. We've since gone sale agreed on a more expensive house and were about €5k short of having the funds to cover all additional costs in our mortgage savings account at that point. The broker came back to us with a question regarding the discrepancy and we had to get a 'gift' from a sibling to satisfy the bank.

scarepanda · 15-01-2020 3:29pm

Naos wrote: »

If you wanted, you could get the ball rolling on prices for Mortgage Protection and Home Insurance.

Ya, I was thinking of those. We've gone through a broker so I emailed him yesterday to let him know that there's finally movement from the vendors. He's going to sort out the insurance/protection for us.

I'm sick of the waiting around :-/

NearlyForty · 15-01-2020 3:41pm

scarepanda wrote: »

Ya they do. For some reason our broker told us not to give statements for the child benefit account when we were first applying for mortgage approval. It didnt bother us at the time as the house we were bidding on we had enough funds to cover everything from mortgage savings. We've since gone sale agreed on a more expensive house and were about €5k short of having the funds to cover all additional costs in our mortgage savings account at that point. The broker came back to us with a question regarding the discrepancy and we had to get a 'gift' from a sibling to satisfy the bank.

The 4 dependants we have, showing children’s allowance in bank account etc etc was no issue here but we got loan approval based on our savings and a percentage by way of a gift from my husbands mother.. So that was fine until we discovered this morning that his mother is after giving half of what she had promised us towards our house, to his sister recently and now we have a deficit of e2.5k..! We have a very good chance of going sale agreed over the next few days and now we’re stuck.. So frustrating! We have the full amount for deposit, but the broker told us we need to show proof of funds for the 5k towards legal fee’s etc
Oh well, I guess what will be will be
Best of luck with your purchase ;-)

lir6777 · 15-01-2020 4:29pm

NearlyForty wrote: »

The 4 dependants we have, showing children’s allowance in bank account etc etc was no issue here but we got loan approval based on our savings and a percentage by way of a gift from my husbands mother.. So that was fine until we discovered this morning that his mother is after giving half of what she had promised us towards our house, to his sister recently and now we have a deficit of e2.5k..! We have a very good chance of going sale agreed over the next few days and now we’re stuck.. So frustrating! We have the full amount for deposit, but the broker told us we need to show proof of funds for the 5k towards legal fee’s etc
Oh well, I guess what will be will be
Best of luck with your purchase ;-)

That sounds stressful

best of luck with it, hope it all turns out ok!

Techn0 · 15-01-2020 4:29pm

Thanks awec for your response.

Have you any idea of what exactly the developer needs to see at the deposit stage in terms of adequate funding? What I mean by that is lets say I get only €210,000 from the bank against a property worth €255,000 (new build). That would leave a shortfall of €45,000. €12,750 of that would be covered by HTB and lets assume I have €25,000 in savings. If I had a gift letter at that stage just signed by parents or a partner for the remaining €7k would that satisfy them?

In the grand scheme of things it's only a timing issue, I'll never need a gift but just to prove affordability at that point. The revised mortgage closer to the completion date will realistically fund the shortfall.

I'm not sure if the agents/ developers would require to see more tangible proof (i.e. money in the bank) over a signed gift letter.

Thanks again.

awec · 15-01-2020 4:34pm

Techn0 wrote: »

Thanks awec for your response.

Have you any idea of what exactly the developer needs to see at the deposit stage in terms of adequate funding? What I mean by that is lets say I get only €210,000 from the bank against a property worth €255,000 (new build). That would leave a shortfall of €45,000. €12,750 of that would be covered by HTB and lets assume I have €25,000 in savings. If I had a gift letter at that stage just signed by parents or a partner for the remaining €7k would that satisfy them?

In the grand scheme of things it's only a timing issue, I'll never need a gift but just to prove affordability at that point. The revised mortgage closer to the completion date will realistically fund the shortfall.

I'm not sure if the agents/ developers would require to see more tangible proof (i.e. money in the bank) over a signed gift letter.

Thanks again.

When you're paying your booking deposit (fully refundable) the agent might ask to see that you have mortgage approval. They don't really need to see the amount, they just want to verify that you've actually been through the approval process.

Developers don't care about gift letters or whatever.

When you sign the contracts, the developer wants his 10%. Doesn't usually care where this comes from, cash or HTB. If it's HTB, they will ask for the application codes from Revenue to verify you have the amount you say you have.

Your solicitor, if they are in any way competent, will not let you sign those contracts if you do not have the amount required to cover the full purchase.

Creamy Goodness · 15-01-2020 4:36pm

Techn0 wrote: »

I'm not sure if the agents/ developers would require to see more tangible proof (i.e. money in the bank) over a signed gift letter.

The bank will want to see the money in the accounts before offering you a loan offer, the builders solicitors will want to see this loan offer is in order at contract signing stage. the bank won't issue a loan offer on a property if your financials are not in check at the time of asking for the loan offer.

Also don't forget, you'll need roughly 7-8k for solicitors fees, stamp duty, land registery fees, valuation fees plus furnishing (tbh you'll need much more but they'll usually omit seeing money for furnishings) the bank will want to see this surplus.

NearlyForty · 15-01-2020 6:26pm

lir6777 wrote: »

That sounds stressful best of luck with it, hope it all turns out ok!

Thank you!

scarepanda · 15-01-2020 6:44pm

NearlyForty wrote: »

The 4 dependants we have, showing children’s allowance in bank account etc etc was no issue here but we got loan approval based on our savings and a percentage by way of a gift from my husbands mother.. So that was fine until we discovered this morning that his mother is after giving half of what she had promised us towards our house, to his sister recently and now we have a deficit of e2.5k..! We have a very good chance of going sale agreed over the next few days and now we’re stuck.. So frustrating! We have the full amount for deposit, but the broker told us we need to show proof of funds for the 5k towards legal fee’s etc
Oh well, I guess what will be will be
Best of luck with your purchase ;-)

Oh no :-0, that is a seriously stressful thing to find out at an already stressful time. But the bank will question where the legal funds will come from in that case before they will issue the mortgage. What a pain in the rear.

Best of luck to ye as well, hopefully ye can figure something out.

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

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