Saving/Applying for a mortgage 2020-22 Edition

Fitz* · 15-03-2021 11:53am

Does anyone know what happens to the proof of paying rent / savings history if I was to move from Ulster Bank to another bank soon?

Or am I better off just waiting for the new bank to take on Ulster Bank books and have those records 'inherited'?

Markitron · 15-03-2021 11:55am

Fitz* wrote: »

Does anyone know what happens to the proof of paying rent / savings history if I was to move from Ulster Bank to another bank soon?

Or am I better off just waiting for the new bank to take on Ulster Bank books and have those records 'inherited'?

I think as long as you have the bank statements and can prove your history it shouldn't matter.

16-03-2021 9:58am

Fitz* wrote: »

Does anyone know what happens to the proof of paying rent / savings history if I was to move from Ulster Bank to another bank soon?

Or am I better off just waiting for the new bank to take on Ulster Bank books and have those records 'inherited'?

As long as you have all your old bank statements should be no problem.

xElDeeX · 19-03-2021 9:11pm

Just got refused a mortgage from avant via finance solutionsmortgagebroker. I was upfront on the application that I had arrears on my mortgage back in 2016 and had it restructured to make more affordable. Every payment on time since then.
I have a large deposit and solid public service job. Was told affordability wasn't an issue as I'm not borrowing that much. My payments will be far below the rent I'm currently paying while saving at the same time.
The thing is, the broker acted surprised about the credit issues today (the ones I told her about) so now I'm wondering should I go direct next time?

ongarite · 19-03-2021 9:14pm

You can't go direct to Avant, they only deal with brokers.
If you worked with one of their brokers and were turned down, then that's a bust with Avant IMO.

xElDeeX · 19-03-2021 9:36pm

ongarite wrote: »

You can't go direct to Avant, they only deal with brokers.
If you worked with one of their brokers and were turned down, then that's a bust with Avant IMO.

Thanks. I'm not overly concerned about avant tbh. I just expected the bromer to do a bit more due diligence. I was well capable of getting rejected all by myself!

AD07 · 19-03-2021 10:42pm

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

Renjit · 19-03-2021 11:04pm

AD07 wrote: »

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

Yeah, any dependents will reduce your repay ability.

Aisling(",) · 19-03-2021 11:07pm

AD07 wrote: »

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

Generally your repayment ability is tested with an additional 250 per month per dependant.

K.Hawksworth · 19-03-2021 11:33pm

Aisling(",) wrote: »

Generally your repayment ability is tested with an additional 250 per month per dependant.

I've always found this strange considering average mortgage term lengths are 25-30 (?) years, and the fact most couples try to buy their house before having children.
It makes no sense really but their actuaries have to calculate risk somehow.

Lia_lia · 19-03-2021 11:37pm

AD07 wrote: »

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

Made no difference for us. We’ve one child and pay creche fees. We got 3.5 times our income and our broker is pretty certain we’d get an exemption if we wanted. Depends on your income/outgoings.

Antares35 · 19-03-2021 11:38pm

AD07 wrote: »

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

I don't know if it varies between institutions but with EBS they deducted 250 a month for our baby. Well, when I say "deducted" it didn't affect the multiples we could borrow but we had to show living expenses of 1,025 for each of us plus 250 for her i.e. after mortgage repayments stress tested were deducted, we still needed 2300 per month disposable income.

Green Mile · 19-03-2021 11:57pm

ongarite wrote: »

You can't go direct to Avant, they only deal with brokers.
If you worked with one of their brokers and were turned down, then that's a bust with Avant IMO.

Feel for you! You should try KBC directly, although interest rate is slightly higher than Avant, their €3k cash back offsets the higher monthly payments. KBC are competitive to Avant.

Bubbaclaus · 20-03-2021 12:02am

Green Mile wrote: »

Feel for you! You should try KBC directly, although interest rate is slightly higher than Avant, their €3k cash back offsets the higher monthly payments. KBC are competitive to Avant.

You need to also compare how much capital balance is left after the fixed term period. Comparing monthly repayments vs the 3k cash back isn't a full analysis, as more of the monthly replayments with KBC will be interest, so you are not getting the capital down as much.

brianc27 · 20-03-2021 1:05am

AD07 wrote: »

Does anyone know does having 1 child effect your mortgage - how much you can borrow?

Didn't seem to be an issue with me, hardly came up in any of the calls and emails I had with banks, I've 1 child and got offered 4.5 with BOI and 3.5 with KBC, all depends on how much you have left over after they stress test your ability to pay I think

AD07 · 20-03-2021 1:16am

brianc27 wrote: »

Didn't seem to be an issue with me, hardly came up in any of the calls and emails I had with banks, I've 1 child and got offered 4.5 with BOI and 3.5 with KBC, all depends on how much you have left over after they stress test your ability to pay I think

Oh very good. How did you get offered the 4.5 do you mind me asking?

solidasarock · 20-03-2021 6:01am

Saving question.

I am single and I set up a savings account for a deposit 2 and a bit years ago. Currently it is nearly 30k.

For the first year I was renting but managed to save consistently each month. I have been living at home due to family stuff the last year and been able to save a lot more as a result but if I move back out in the near future and paying rent and saving less how will that effect me at all?

Black_Knight · 20-03-2021 8:11am

solidasarock wrote: »

Saving question.

I am single and I set up a savings account for a deposit 2 and a bit years ago. Currently it is nearly 30k.

For the first year I was renting but managed to save consistently each month. I have been living at home due to family stuff the last year and been able to save a lot more as a result but if I move back out in the near future and paying rent and saving less how will that effect me at all?

It shouldn't, other than taking longer to build savings.

xElDeeX · 20-03-2021 9:02am

Green Mile wrote: »

Feel for you! You should try KBC directly, although interest rate is slightly higher than Avant, their €3k cash back offsets the higher monthly payments. KBC are competitive to Avant.

I think I will. I've gotten on to CCR to get the mortgage restructuring note removed from 2019 as it occurred in 2016. Anyone have experience with what kind of evidence they need? I have solicitor and lender letters that I've uploaded from the restructuring event.
Once that is sorted I'll apply to KBC directly.

sandman1212 · 20-03-2021 11:45am

xElDeeX wrote: »

I think I will. I've gotten on to CCR to get the mortgage restructuring note removed from 2019 as it occurred in 2016. Anyone have experience with what kind of evidence they need? I have solicitor and lender letters that I've uploaded from the restructuring event.
Once that is sorted I'll apply to KBC directly.

If the restructure was a one-time or temporary event that completed before June 2017, then it should not appear on your CCR report. You can tell the CCR that you do not believe your report is accurate, and they will get on to the lender to verify and correct it. It should take a max of 40 days to complete.

xElDeeX · 20-03-2021 11:51am

sandman1212 wrote: »

If the restructure was a one-time or temporary event that completed before June 2017, then it should not appear on your CCR report. You can tell the CCR that you do not believe your report is accurate, and they will get on to the lender to verify and correct it. It should take a max of 40 days to complete.

Fingers crossed it works that smoothly. I've uploaded the documents successfully from my side and will hopefully hear back next week if those are sufficient. Then its in the hands of the lender which shouldn't be an issue. 40 days is reasonable as we are focusing on selling my rental property and getting that big deposit on hand before we go looking actively. Thanks for that info. Very reassuring!

antimatterx · 20-03-2021 5:08pm

What are the chances of me buying this year if I move jobs in the next few months? It's probably slim right? I need to move for the money, so I have a chance of buying something, but I'll have to wait at least 6 months because of my probation.

Is it possible to start the process while on probation based on your new salary, and only going ahead with it when you pass probation?

20-03-2021 6:21pm

antimatterx wrote: »

What are the chances of me buying this year if I move jobs in the next few months? It's probably slim right? I need to move for the money, so I have a chance of buying something, but I'll have to wait at least 6 months because of my probation.

Is it possible to start the process while on probation based on your new salary, and only going ahead with it when you pass probation?

Yep you can get approval in principal while on probation, I started around 4 month mark. So was all ready to go by 6 month mark.

tommyombomb · 21-03-2021 1:44am

Looking to start buying process in 12 months but wont be meeting with broker or bank as saving like mad now and want to get an idea of likelihood of getting 4.5 exemption rather than getting my hopes up on areas while i watch the market. Salary would be 66k, single with deposit of 70k roughly. Does having about 19% deposit and my salary mean likely i would get this. Also on scale so salary rises year on year.

ms vieria · 22-03-2021 9:40am

I have AIP in place if I go sale agreed on a property and apply for the mortgage can I reduce the amount of mortgage I take before drawdown if I am given a gift by my parents? There is probate ongoing and I am not sure if it will be completed before we purchase.

whiskeyman · 22-03-2021 9:55am

I just got a few hundred in additional tax credits per month.
Will this be a factor in a possible increase to my AIP if I reapply, or do they just factor gross salary?

thomas 123 · 22-03-2021 10:40am

Any update on Shared Equity Scheme.

Anyone hazard a guess as to when it might become available?

MacronvFrugals · 22-03-2021 12:31pm

Hi folks,

If i was maxing my pension contributions to 15% which would cost 440 net per month would the bank view this as just another expense like a personal or car loan or are pensions treated differently from a mortgage affordability standpoint?

voldejoie · 22-03-2021 12:51pm

MacronvFrugals wrote: »

Hi folks,

If i was maxing my pension contributions to 15% which would cost 440 net per month would the bank view this as just another expense like a personal or car loan or are pensions treated differently from a mortgage affordability standpoint?

I don't think they factor it in at all because the look at your gross income, so the pension contribution doesn't get taken into account? Not sure if it varies by bank but I asked my broker if my high pension contributions would be a positive or negative and she said it's basically neutral.

MacronvFrugals · 22-03-2021 1:06pm

voldejoie wrote: »

I don't think they factor it in at all because the look at your gross income, so the pension contribution doesn't get taken into account? Not sure if it varies by bank but I asked my broker if my high pension contributions would be a positive or negative and she said it's basically neutral.

Thank you

caligg102 · 22-03-2021 9:43pm

Has anyone experience with changing jobs after getting Approval In Principle but before drawdown? I'm currently waiting for the bank to make the formal offer but will be changing job in April. House is at Builder's Finish so final valuation still to be done. Job probation is 6 months so afraid the bank will withdraw the approval.

Busi_Girl08 · 23-03-2021 10:34am

Waiting any day/hour now for our AIP to come through. My F5 button has been worn down with me checking my emails

Anon2018 · 23-03-2021 12:06pm

Hi,

I didnt expect to apply for a mortgage as soon as I am and over the past few years I've been careless with money.
I had a car loan for 15k, another loan for 4k, an overdraft for 1900€ and a credit card with a limit of 3900€.
In the past 6 months I've cleared all these and started saving, I've closed my overdraft and credit card.
I got my credit report and never missed a payment on anything but I did go over my credit card limit multiple times in two years by quite a lot.
Does anyone know the likelyhood of a mortgage being approved due to my over the limit credit card?

Thanks

caligg102 · 23-03-2021 1:43pm

Anon2018 wrote: »

Hi,

I didnt expect to apply for a mortgage as soon as I am and over the past few years I've been careless with money.
I had a car loan for 15k, another loan for 4k, an overdraft for 1900€ and a credit card with a limit of 3900€.
In the past 6 months I've cleared all these and started saving, I've closed my overdraft and credit card.
I got my credit report and never missed a payment on anything but I did go over my credit card limit multiple times in two years by quite a lot.
Does anyone know the likelyhood of a mortgage being approved due to my over the limit credit card?

Thanks

Well your credit report history will be checked via Irish Credit Bureau. You can check with them yourself to see what's appearing on your credit record and it's free to do so.

You'll also need to provide 6 months of bank statements so they'd need to be in fairly good shape.

Markitron · 23-03-2021 1:47pm

Anon2018 wrote: »

Hi,

I didnt expect to apply for a mortgage as soon as I am and over the past few years I've been careless with money.
I had a car loan for 15k, another loan for 4k, an overdraft for 1900€ and a credit card with a limit of 3900€.
In the past 6 months I've cleared all these and started saving, I've closed my overdraft and credit card.
I got my credit report and never missed a payment on anything but I did go over my credit card limit multiple times in two years by quite a lot.
Does anyone know the likelyhood of a mortgage being approved due to my over the limit credit card?

Thanks

You are fine, this doesn't appear on your credit reports as long as you paid the bill so the banks shouldn't care. It may come up if you apply for your mortgage with the same bank that issued your card but even then I don't think it would be a big deal. Did you get both the CCR and ICB credit reports? Doesn't hurt to be sure.

Anon2018 · 23-03-2021 2:15pm

Markitron wrote: »

You are fine, this doesn't appear on your credit reports as long as you paid the bill so the banks shouldn't care. It may come up if you apply for your mortgage with the same bank that issued your card but even then I don't think it would be a big deal. Did you get both the CCR and ICB credit reports? Doesn't hurt to be sure.

Hi, yeah I got my reports from both. One doesn't show any credit card but one shows my limit and me going over it on occasions. I always paid the minimum amount but just went over the limit again and again. I've not missed any payments on loans or anything. I'm just afraid now

Anon2018 · 23-03-2021 2:17pm

caligg102 wrote: »

Well your credit report history will be checked via Irish Credit Bureau. You can check with them yourself to see what's appearing on your credit record and it's free to do so.

You'll also need to provide 6 months of bank statements so they'd need to be in fairly good shape.

Yeah it shows on one of the reports and over the limit, but no missed payments on credit card or any other loans. Is this really bad when applying for mortgage?

diago3211 · 24-03-2021 3:20pm

Hi All,

I have been following this thread for some time and the info has been great.

I am currently in the process of applying for a mortgage and going through a broker. The application has gone in and I am in the nervously waiting stage. 1 week down and 2 weeks to go (2-3 week timeframe given for approval)

I tried to find this topic and was unable to find out any info so hoping someone on here may know. I have received my CCR report and it's all good I don't have any past debt history and only shows closed off accounts all in good order.

ICB, I requested this report and I got 2 letters back. One said to send them back a copy of a bill to prove I am at my current address (that all good I can do that)

The other one gave me a phone number and said that they had a query about my address. As it is level 5 restrictions, it seems the ICB are not in the office so the phone never answers.

Just wondering if anyone had anything similar and what the call should be about?

Also just to add I applied for my ICB report last year (I have since moved - which could add to this reason) There were no issues (and there shouldn't be in relation to any past debt)

Can I also ask, how many previous addresses should I put down? I have moved due to renting about 5 times in my lifetime. Should I only be putting my my address for the last 5 years or all time ?

I just want to make sure I have everything in order whilst I wait on the feedback from the bank .

Thanks for any advice

Markitron · 24-03-2021 4:37pm

Anon2018 wrote: »

Hi, yeah I got my reports from both. One doesn't show any credit card but one shows my limit and me going over it on occasions. I always paid the minimum amount but just went over the limit again and again. I've not missed any payments on loans or anything. I'm just afraid now

You will be fine, it wasn't a problem for me.

Apoapsis Rex · 24-03-2021 10:35pm

We are applying for a joint mortgage and we are filling in the direct debit mandate.
I was wondering do we both pay our halves seperately or can one of us pay the full amount into the mortgage?

Do we both need to submit direct debit mandate forms? Or is one sufficient?

Thanks for any help

Milena009 · 24-03-2021 11:00pm

Apoapsis Rex wrote: »

We are applying for a joint mortgage and we are filling in the direct debit mandate.
I was wondering do we both pay our halves seperately or can one of us pay the full amount into the mortgage?

Do we both need to submit direct debit mandate forms? Or is one sufficient?

Thanks for any help

From what our broker said it is one DD
We have chosen to pay mortgage from my account (as it's already with KBC)
Definitely do not split the DD
How you arrange the money funding between yourself bank doesn't care, they just want the full amount paid from what I understand ðŸ˜Š

Apoapsis Rex · 24-03-2021 11:10pm

Milena009 wrote: »

From what our broker said it is one DD
We have chosen to pay mortgage from my account (as it's already with KBC)
Definitely do not split the DD
How you arrange the money funding between yourself bank doesn't care, they just want the full amount paid from what I understand ðŸ˜Š

Thanks, thats what I was hoping for too.

DancingDaisy · 25-03-2021 6:09pm

Have been intently lurking here for the last couple of weeks, but just got the email that our mortgage application has been accepted and we've been issued with our offer letter.

We went sale agreed on a house in February based on an AIP that we'd received, however after we'd gone sale agreed, the bank contacted us to say that we'd been flagged due to my employers (I work in Tourism, but we haven't been impacted by the Pandemic). We had to reapply and jump through a couple of extra hoops. I don't think I've ever been as stressed as I've been over the last 3 weeks, and although we had everything in order, I was convinced we'd be declined and would lose the house! We got put to the bottom of the underwriters queue twice because the bank mislaid bank statements etc, but the hard part is done now (I hope!), and we can leave it all in the hands of our solicitor at this point!

Just to say thanks for all the fab (indirect) advice that pops up on this thread, even for a lurker it's a wealth of knowledge and reassurance!

Jasna1982 · 26-03-2021 12:38am

Does anyone know if banks will take a monthly allowance into account, that’s in your payslip but not added on to your base salary?
It’s like an extra benefit that I can show is a fixed amount on my payslip, but it’s not officially on my salary cert

brianc27 · 26-03-2021 12:46am

Jasna1982 wrote: »

Does anyone know if banks will take a monthly allowance into account, that’s in your payslip but not added on to your base salary?
It’s like an extra benefit that I can show is a fixed amount on my payslip, but it’s not officially on my salary cert

Like a shift allowance or over time? If you can prove the allowance is guaranteed then they should, alot of my wages is based around shift allowance and once I could prove I was getting this every week they took it all into account

Jasna1982 · 26-03-2021 12:53am

brianc27 wrote: »

Like a shift allowance or over time? If you can prove the allowance is guaranteed then they should, alot of my wages is based around shift allowance and once I could prove I was getting this every week they took it all into account

Yeah, something like that. It’s guaranteed every month

brianc27 · 26-03-2021 12:59am

Jasna1982 wrote: »

Yeah, something like that. It’s guaranteed every month

KBC and Bank of ireland should take the full amount, think aib and ulster Bank only take 50% into account

I had to show my last 3 years employment detail summary/p60 as proof but was no issue then

Pussyhands · 26-03-2021 10:38am

Just made my first application. Exciting and scary at the same time. I have a couple of questions!

I am going with KBC because on mortgages.ie it came up as the cheapest rate, but then I went to bonkers and it's showing Avant as cheapest. I would be going for 79% LTV roughly. But then KBC give 1500 back so how do you work out what's cheapest?

KBC gave me a list of things I needed...I have a driving licence but it's now out of date but been extended by government for a few months due to Covid. Does this still count as form of valid ID? Any other IDs I could use?

I have a Revolut account but I've used it only literally twice. Should I get a statement for this?

I have 20k of shares in DeGiro, should I wait for them to request things from me regarding this or from experience what would they want here?

KBC seemed to tell me that once I get AIP the next step is to go sale agreed. Is this correct? Just want to be sure I don't waste money - at what stage do I get a solicitor involved?

K.Hawksworth · 26-03-2021 11:37am

Pussyhands wrote: »

Just made my first application. Exciting and scary at the same time. I have a couple of questions!

I am going with KBC because on mortgages.ie it came up as the cheapest rate, but then I went to bonkers and it's showing Avant as cheapest. I would be going for 79% LTV roughly. But then KBC give 1500 back so how do you work out what's cheapest?

KBC gave me a list of things I needed...I have a driving licence but it's now out of date but been extended by government for a few months due to Covid. Does this still count as form of valid ID? Any other IDs I could use?

I have a Revolut account but I've used it only literally twice. Should I get a statement for this?

I have 20k of shares in DeGiro, should I wait for them to request things from me regarding this or from experience what would they want here?

KBC seemed to tell me that once I get AIP the next step is to go sale agreed. Is this correct? Just want to be sure I don't waste money - at what stage do I get a solicitor involved?

I would disclose everything to them, to be on the safe side.

Get a solicitor involved when you're sale agreed.
Bet of luck!

26-03-2021 11:50am

I’m going through the process with KBC too. I have an extended driving licence although there is one month left on it. I’d just explain to them if they query it, it’s not really out of date and not possible to renew it until close to the extended date.

Add in the Revolut statements, no harm.

Are you planning on using your shares in DeGiro towards the purchase? If not it’s fine to leave them in there but they won’t be counted as savings. You’d need to cash them out if that in that case and you’ll still need to show a savings track record, into a savings account or the likes.

Once you have AIP then yes you find your house and go sale agreed all going well. Then another review is done and it moves to Loan Offer, this is needed when you sign the contracts with your solicitor.

Saving/Applying for a mortgage 2020-22 Edition

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