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

Santy2015 wrote: »

I have a query and was wondering if someone could help me. We got approval in principle last week and currently bidding on a house. If we manage to go sale agreed do we need to provide the same information again for full approval (i.e. payslips, bank account statements, credit card statements etc) or can someone tell me what full approval entails
I'm 90% you don't need to, bank told us we didn't even need to give p60's

So what do they look for with full approval then? If we go sale agreed do we just give them the house details then and that is that? Or will they look for other things?

Santy2015 wrote: »

So what do they look for with full approval then? If we go sale agreed do we just give them the house details then and that is that? Or will they look for other things?

You'll need to get a surveyors report done and they'll do a valuation of the house first before any funds are released, I know that you'll need to give w booking deposit to the EA. I think as long as you've approval in principle you've already given all your statements and such so I don't see why they'd need anything else. They'd probably want to see if you can pay the stamp duty and solicitor fees too[/QUOTE]

Thanks Santy. That's great to know

Valuation (within 2 months of closing), surveyor's report, house & contents insurance and life assurance needed before funds released to name a few.

leelee77 wrote: »

Hi all,

I have a query and was wondering if someone could help me. We got approval in principle last week and currently bidding on a house. If we manage to go sale agreed do we need to provide the same information again for full approval (i.e. payslips, bank account statements, credit card statements etc) or can someone tell me what full approval entails.

Thanks in advance

If you're bid is successful, you will first need to pay a booking deposit to the EA, usually a certain % of the sale price. You must have these funds yourself and not be part of bank borrowings.

The EA will then issue correspondence to you, the seller, the solicitors on both sides and the bank confirming sale agreed price etc.

You will also need to provide details of the property to the bank to make sure all is correct, often over the phone (sale agreed price, address of property, EA details, Solicitor details etc etc etc).

The bank will then often review the property online and a valuation will be performed by a third party valuer and sent directly to the bank.

You should then arrange for a Engineer to review the property in detail and issue you with a report. Most banks don't request this but it's VITAL that you get this done for your own piece of mind. Its 200-500 Euro and is the best money you'll every spend. My report was 20 pages and had huge amounts of detail even though there wasn't one issue with the house/land.

If the banks checks on the property and valuation report are satisfactory, you will be requested to call into the bank or third party (depending on bank policy) to arrange various Life Assurance, House Insurance, Illness cover etc etc etc. Once this is all completed, a formal letter of offer will be issued to you detailing all the specific financial and legal aspects of the mortgage. Copies also go to your solicitor.

This document will usually cover a period of 3, 6 or 9 months from the date of issue and the sale must be closed in this time, otherwise it will be necessary to re-submit all documents (payslips, bank statements etc)

Separate documents are issued from the life assurance and insurance companies.

It is then up to the solicitors to do their work. Be prepared for this to take anywhere from 4 weeks and UPWARDS depending on how organised everyone else is! There is alot of work in this stage and be prepared for alot of hold-up's and unanswered phone calls/emails. It's the system and there is nothing you can do about it.

You will need to pay 10% of sale price (less deposit already paid to your solicitor in this period).

Once the solicitor is happy to sign off, they will set a closing date with all parties and then send an application to the bank for the loan cheque to be issued. (usually received a day or two before keys are handed over).

You will then be asked by the solicitor to sign contracts and other documents. These will then be given to the sellers solicitor who will arrange for the seller to sign. ONLY WHEN THIS HAPPENS IS THE SALE COMPLETE. Full balance due on the sale is then paid.

Keys are then handed over.

Solicitor then sends you a bill which usually includes Stamp Duty due. Solicitor pays SD to Revenue on your behalf and documents are filed with the relevant authorities.

Santy2015 wrote: »

It's a good feeling, excited but bricking it at the same time haha

we bought our first place in May

It's a great time

Best of luck to you both

no its an old house built in the 60's but the lender didn't ask for surveyors report they just sent a valuer which we paid for. Our solicitor did advise us to get an additional surveyors report but we decided not to.

Yea we did uncover one or two small issues- an asbestos roof on a shed and water leaking into the garage so we've had to have that roof re felted. But nothing major that would have caused us to pull out of the sale. It would have took something pretty serious and obviously wrong with the house for us to pull out the location was too perfect for us, my parents live on the same road so I grew up on. But it was a risk to take no denying it!

sounds reasonable!

Logicost31 wrote: »

A question about savings/deposit. We've been saving hard (first time buyers) and by payday the end of January we should have enough saved to cover the deposit and the stamp duty. At that point are we ready to go to the banks?
I'm working off the theory that applying, looking, buying etc will take multiple months from that point, which will give us time to save the rest of the money we'll need for solicitors fees, surveys, basic initial furnishing etc.
Does that sound reasonable, or should we continue to save for a few more months before officially starting the process?

There is nothing wrong with starting off the initial process, pre approval will last for long enough and the banks are more than happy if you come back a few months later with more money and look to adjust.

We did that about 4 months after our pre approval and it was a lot quicker than starting from scratch.

Thanks guys, good to know!

Payslips with explanation should be fine - my 2014 salary cert doesn't align to 2015 payslips for a couple of reasons, and I explained these on the form - neither bank queried it.