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

Benny Biscotti · 07-02-2019 4:58pm

stiofan85 wrote: »

Do brokers tend to be faster getting approval than going direct? Just handed over our documentation to a broker but we're a bit tight on time. Any harm in applying directly also?

Sorry I misunderstood. It was an advisor we went to see and not a broker. So I dont know much about them or if they are quicker.

Frank Castle · 07-02-2019 5:16pm

Mrnew wrote: »

How do banks look on you if you got a lump some off a parent (not a loan) and didn't save any yourself for a deposit, but have good credit history paying back loans and paying rent ?

Same situation myself, wasn't a problem.

Deposit from parents (5% and other 5% from HTB) and basically no savings ourselves, but good credit rating and 2 years of paying rent.
No problem at all with PTSB.

Edit: They will want your parents to sign a letter stating that the money is a non repayable gift and that they have no stake in the property. Your solicitor will sort this out for you.

TheShow · 07-02-2019 6:07pm

Mrnew wrote: »

How do banks look on you if you got a lump some off a parent (not a loan) and didn't save any yourself for a deposit, but have good credit history paying back loans and paying rent ?

You will need to be able to demonstrate saving some amount.
if you have loans running off, save the same amount every months etc. have you been paying rent?

If you have zero savings and just a cash lump sum, i'd say you might struggle to get approval be honest.

Samuel T. Cogley · 07-02-2019 6:56pm

+1 on them wanting to see regular savings not just loans and rent being paid.

Sunrise_Sunset · 07-02-2019 9:16pm

GingerLily wrote: »

If you're looking to buy a new build be aware that you might need flooring, it was the second largest expense for us after the purchase of the house itself! And it's something you need before moving in

Roughly how much does flooring cost?

Teach30 · 07-02-2019 9:21pm

Recently engaged and have no idea where to begin with mortgage.
I am a full time teacher however I have no savings. Living at home so haven’t been paying rent.

Looking for advice really on what best way to deal with banks considering I have nothing to show for the last few years working.

Never thought I’d see the day when I would be looking to build, as to be honest in my mind I was staying at home and partner would move in but that’s not an option now due to his work.

Thanks in advance .

Creamy Goodness · 07-02-2019 9:49pm

lililanny wrote: »

Roughly how much does flooring cost?

Really depends we were 130sqm split between wood downstairs and carpet upstairs cost €7-8k including fitting. Bathrooms came with tiles so we saved another 2-3k there too.

Samuel T. Cogley · 07-02-2019 9:58pm

Teach30 wrote: »

Recently engaged and have no idea where to begin with mortgage.
I am a full time teacher however I have no savings. Living at home so haven’t been paying rent.

Looking for advice really on what best way to deal with banks considering I have nothing to show for the last few years working.

Never thought I’d see the day when I would be looking to build, as to be honest in my mind I was staying at home and partner would move in but that’s not an option now due to his work.

Thanks in advance .

Sit down, do a budget you can stick too and save for six months then start approaching the banks. What's your plan re deposit? Are you getting help there or do you need to save it?

Teach30 · 07-02-2019 10:21pm

Samuel T. Cogley wrote: »

Sit down, do a budget you can stick too and save for six months then start approaching the banks. What's your plan re deposit? Are you getting help there or do you need to save it?

Ok thanks for that, it’s some way positive at least.

Will be getting help with mortgage deposit but want to create best impression myself also.
May not have six months to save but will start immediately. I should add I had savings until recently but have put them towards wedding payments, hotel etc.

It’s all very daunting but I’m hoping to put the unnecessary spending aside and banks won’t look upon me too unfavourably then.

awec · 07-02-2019 10:32pm

lililanny wrote: »

Roughly how much does flooring cost?

Depends on what type of floor you go for.

We are 130sqm and ours was 7k, that's wood most of downstairs, and carpet the rest of downstairs and upstairs. If you get wood everywhere it'll be more expensive. If you get engineered wood it'll be a lot more expensive.

This doesn't include tiling bathrooms, you can probably add on another 4-5k for tiles and labour.

Katie1_14 · 07-02-2019 10:39pm

Can anyone recommend a solicitor in north Dublin please?

purpleisafruit · 08-02-2019 8:43am

lililanny wrote: »

Roughly how much does flooring cost?

I live in a 4 bed 1800 sq ft 2 storey house. Hallway, kitchen, utility and 3 bathrooms all tiled. Tiles cost us 3k and fitting was covered by PC sum from builders. Carpet on stairs and landing came to to 500 quid, have small kids so didn't spend a fortune.
Timber flooring everywhere else, a 12mm AC5 laminate that cost us 2500 to buy. Lucky enough to have it fitted by a friend who does that all the time so only cost us 1k.
As others have said, can be anywhere between 7-10k to floor out a house. With tiles and flooring, if you have left overs, keep some for potential replacement down the line and generally suppliers will take back any full, unopened boxes from you. We managed to get 300 back from tiling and wood floor shops.

lawred2 · 08-02-2019 8:46am

Teach30 wrote: »

Recently engaged and have no idea where to begin with mortgage.
I am a full time teacher however I have no savings. Living at home so haven’t been paying rent.

Looking for advice really on what best way to deal with banks considering I have nothing to show for the last few years working.

Never thought I’d see the day when I would be looking to build, as to be honest in my mind I was staying at home and partner would move in but that’s not an option now due to his work.

Thanks in advance .

Just how have you no savings with a teacher's salary and no rent?

Time to do some real budgeting.

lawred2 · 08-02-2019 8:47am

Katie1_14 wrote: »

Can anyone recommend a solicitor in north Dublin please?

<SNIP>

ILikeBoats · 08-02-2019 9:36am

<SNIP>

myshirt · 08-02-2019 9:38am

A good rule is to take the square footage of the new build, and add a zero to it to get a realistic budget for kitting out the house. Floors, furniture, etc. Of course you could do it cheaper and you could do it more expensive, but ballpark the square footage plus a zero is a reasonable estimate and budget for you to work off.

1,400sq feet = 14 grand
Etc

f@steddie · 08-02-2019 9:42am

Teach30 wrote: »

Recently engaged and have no idea where to begin with mortgage.
I am a full time teacher however I have no savings. Living at home so haven’t been paying rent.

Looking for advice really on what best way to deal with banks considering I have nothing to show for the last few years working.

Never thought I’d see the day when I would be looking to build, as to be honest in my mind I was staying at home and partner would move in but that’s not an option now due to his work.

Thanks in advance .

How much do you intend to borrow? Check online for the interest rate you'd be eligible for. Use an online calculator to find out what the repayments would be for a mortgage for the amount you wish to borrow at the rate you are eligible for. Save more than that amount for 6 months (the banks will stress test your ability to pay if interest rates rise).

After 6 months talk to the banks.

Another suggestion: Get a variable rate. Switch your mortgage provider after 6 / 12 months. Repeat while banks are giving incentives to do this. Same as you would with your energy / insurance provider.

If you're living at home with no kids you're in an enviable position. This is probably the time of your life when you have the greatest capacity to save. You should probably look to put 60 / 70% of your salary towards your deposit.
Good luck.

awec · 08-02-2019 10:55am

myshirt wrote: »

A good rule is to take the square footage of the new build, and add a zero to it to get a realistic budget for kitting out the house. Floors, furniture, etc. Of course you could do it cheaper and you could do it more expensive, but ballpark the square footage plus a zero is a reasonable estimate and budget for you to work off.

1,400sq feet = 14 grand
Etc

I think that budget is way too low. Of course, depends on what you have to do, but if you've to floor, tile, get blinds, tables, beds, sofas, buy any white goods then you've no chance you're kitting out a 1400sqft house for 14k these days.

stiofan85 · 08-02-2019 11:01am

awec wrote: »

I think that budget is way too low. Of course, depends on what you have to do, but if you've to floor, tile, get blinds, tables, beds, sofas, buy any white goods then you've no chance you're kitting out a 1400sqft house for 14k these days.

I thought the same - assuming you're not getting mates rates or DIY, I would've thought €10k more, but I guess it depends on how resourceful you are. Can get very good stuff in IKEA or second hand.

What's the norm for appliances when selling a house? Are all appliances usually included (washer, drier, dishwasher, microwave, oven, hob, fridge/freezer)? We're happy enough to include them, but does it need to be negotiated explicitly? Part of sale or cash deal?

Thanks

purpleisafruit · 08-02-2019 11:13am

stiofan85 wrote: »

I thought the same - assuming you're not getting mates rates or DIY, I would've thought €10k more, but I guess it depends on how resourceful you are. Can get very good stuff in IKEA or second hand.

What's the norm for appliances when selling a house? Are all appliances usually included (washer, drier, dishwasher, microwave, oven, hob, fridge/freezer)? We're happy enough to include them, but does it need to be negotiated explicitly? Part of sale or cash deal?

Thanks

Generally, integrated appliances are included (cooker, hob, dishwasher if integrated) but others aren't. You are free to include them if you like but most buyers will prefer to bring their own white goods (new warrantys etc)

Creamy Goodness · 08-02-2019 11:34am

awec wrote: »

I think that budget is way too low. Of course, depends on what you have to do, but if you've to floor, tile, get blinds, tables, beds, sofas, buy any white goods then you've no chance you're kitting out a 1400sqft house for 14k these days.

shockingly low.

Got a new build in October where the only things included was paint, sanitary ware, kitchen units and tiles in bathrooms. Have easily spent 20k putting in floors, tiles, appliances, beds, shower doors/screens, sofa and chairs, blinds, tons of little bits and pieces like toilet brushes, towel rails, linen baskets, fire extinguishers/blanket etc.

Planning to spend another 5-10k this year doing more this year.

Obviously it depends what sort of quality of goods you get and whether you can get mates rates and stuff but I'd be hesitant to say it's nearer to 10k than 20k.

awec · 08-02-2019 11:37am

Creamy Goodness wrote: »

shockingly low.

Got a new build in October where the only things included was paint, sanitary ware, kitchen units and tiles in bathrooms. Have easily spent 20k putting in floors, tiles, appliances, beds, shower doors/screens, sofa and chairs, tons of little bits and pieces like toilet brushes, towel rails, linen baskets, fire extinguishers/blanket etc.

Planning to spend another 5-10k this year doing more this year.

Obviously it depends what sort of quality of goods you get and whether you can get mates rates and stuff but I'd be hesitant to say it's nearer to 10k than 20k.

My experience is the same as yours.

Mrnew · 08-02-2019 11:54am

Frank Castle wrote: »

Same situation myself, wasn't a problem.

Deposit from parents (5% and other 5% from HTB) and basically no savings ourselves, but good credit rating and 2 years of paying rent.
No problem at all with PTSB.

Edit: They will want your parents to sign a letter stating that the money is a non repayable gift and that they have no stake in the property. Your solicitor will sort this out for you.

that's perfect as I am paying rent for 5 years now and loans will be cleared in the next 6 months and I am also with PTSB thanks for the reply

Lux23 · 08-02-2019 2:00pm

At what point is it a good idea to approach a mortgage broker or our bank? We have been saving €2k every month for almost a year, so we have close to €25k but I think we may need about €33-36k for a deposit? Is too early to have a chat with our bank?

wally79 · 08-02-2019 2:01pm

Lux23 wrote: »

At what point is it a good idea to approach a mortgage broker or our bank? We have been saving €2k every month for almost a year, so we have close to €25k but I think we may need about €33-36k for a deposit? Is too early to have a chat with our bank?

Definitely not

You may even be able to approval in principle with conditions such as a savings target etc

Lux23 · 08-02-2019 2:03pm

OK, cool. I might organise a chat with our bank so. At least we can see where we stand.

Teach30 · 08-02-2019 2:33pm

lawred2 wrote: »

Just how have you no savings with a teacher's salary and no rent?

Time to do some real budgeting.

Thanks great advice.... Very easy spend it when you’ve had no need to save it all along.
Also teachers salary isn’t what it used to be compared to those now nearing retirement. So yes will start budgeting.

Creamy Goodness · 08-02-2019 2:38pm

Lux23 wrote: »

At what point is it a good idea to approach a mortgage broker or our bank? We have been saving €2k every month for almost a year, so we have close to €25k but I think we may need about €33-36k for a deposit? Is too early to have a chat with our bank?

At your current rate of saving, you'll have the shortfall saved in 5.5 months. if you get the pre-AIP (as I like to call it) to start talking to Estate Agents etc. by the time you do the full-AIP (where it goes to the underwriters) you'll have what you need (36k).

No harm to have early chats with the bank.

Teach30 · 08-02-2019 2:38pm

f@steddie wrote: »

How much do you intend to borrow? Check online for the interest rate you'd be eligible for. Use an online calculator to find out what the repayments would be for a mortgage for the amount you wish to borrow at the rate you are eligible for. Save more than that amount for 6 months (the banks will stress test your ability to pay if interest rates rise).

After 6 months talk to the banks.

Another suggestion: Get a variable rate. Switch your mortgage provider after 6 / 12 months. Repeat while banks are giving incentives to do this. Same as you would with your energy / insurance provider.

If you're living at home with no kids you're in an enviable position. This is probably the time of your life when you have the greatest capacity to save. You should probably look to put 60 / 70% of your salary towards your deposit.
Good luck.

Thanks very much for the solid advice. Really have no idea what we need to borrow yet and I’m clueless about approaching banks, stress tests etc so appreciate your guidance.

Wasn’t aware of the online calculator so we will look into that and yes will certainly start to save hard now.

TheShow · 08-02-2019 3:13pm

Teach30 wrote: »

Recently engaged and have no idea where to begin with mortgage.
I am a full time teacher however I have no savings. Living at home so haven’t been paying rent.

Looking for advice really on what best way to deal with banks considering I have nothing to show for the last few years working.

Never thought I’d see the day when I would be looking to build, as to be honest in my mind I was staying at home and partner would move in but that’s not an option now due to his work.

Thanks in advance .

best thing is to start saving whatever you can now and then start to look at your options c6 months down the line. Does your partner have any savings?

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

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