Rebuilding Ireland home loan

Tells · 04-03-2018 12:28pm #1

Anyone used this yet? We've looked into it and there seems to be number of limitations in the application process. For example, the need to name and provide specific details on a particular property for the loan. The process can take up to 6-8 weeks to be approved.

http://rebuildingirelandhomeloan.ie

jargarbo · 17-03-2018 3:45pm

Tells wrote: »

Anyone used this yet? We've looked into it and there seems to be number of limitations in the application process. For example, the need to name and provide specific details on a particular property for the loan. The process can take up to 6-8 weeks to be approved.

http://rebuildingirelandhomeloan.ie

We applied for this after struggling to get a mortgage from the banks we were met with decline after decline with no clear triggers as to why, When we heard the scheme was announced we were over the moon we met all the criteria it appeared to be made for us. 5 weeks after application we received a letter from county council saying we had been DECLINED because they deemed us above the joint €75,000 threshold. We had a guaranteed income of €69,000 but they included unguaranteed overtime and unsocial hours done in attempts to attain a mortgage as guaranteed. We are appealing and fighting this however my first hand opinion is unfortunately this ironically called Rebuilding Ireland home loan is all a creative way to make the people of ireland THINK something is being done to help the middle working class

TripleSSS · 11-04-2018 5:24pm

Has anyone else looked into this scheme or had issues with it?

SNNUS · 11-04-2018 6:46pm

Plus it may take much longer than 4-6 weeks to be approved, you do not need to have a property found before applying just mark it TBA.

jargarbo · 11-04-2018 7:24pm

I honestly haven't heard anyone who was approved with this scheme. Mostly declined.

Yellowson88 · 11-04-2018 7:44pm

@jargarbo we have had the exact same experience taking almost three months to receive an answer to tell us we were over the threshold due to their calculations! I 100% support your opinion!

TripleSSS · 11-04-2018 8:14pm

Has anyone got it on a single income?

SNNUS · 11-04-2018 8:18pm

sweeney2014 wrote: »

Has anyone got it on a single income?

Not that I have heard but I applied on my own..

Bargain_Hound · 11-04-2018 10:05pm

I was declined on single income, just barely.
There is one poster in the main thread for this scheme who has been approved.
I've heard through word of mouth that another couple were approved, can't verify how true though.

Yellowson88 · 11-04-2018 10:12pm

Bargain_Hound wrote: »

I was declined on single income, just barely.
There is one poster in the main thread for this scheme who has been approved.
I've heard through word of mouth that another couple were approved, can't verify how true though.

Do you mind me asking what they declined you on? Mine was based on the fact my p60 was higher for 2017 with extra hours worked to get deposit up despite not being guaranteed! I’m a working single parent but can’t get a mortgage but yet earn too much for social housing! It’s a mad world we are living in and completely defeats the purpose, reality is if I gave up my job I’d get a house!!!

SNNUS · 11-04-2018 10:16pm

I think it does not offer mortgages to people like it was meant to, Maybe a couple on €74k and big deposit would get it.

Yellowson88 · 11-04-2018 10:19pm

SNNUS wrote: »

I think it does not offer mortgages to people like it was meant to, Maybe a couple on €74k and big deposit would get it.

How about €69,000 with 32 grand deposit, sparkling clear ICB, zero loans and in permanent pensionable employment? Sounds absolutely bizarre right nope that’s me!! The mind boggles Something extremely dodgy!!

SNNUS · 11-04-2018 10:27pm

Yellowson88 wrote: »

How about €69,000 with 32 grand deposit, sparkling clear ICB, zero loans and in permanent pensionable employment? Sounds absolutely bizarre right nope that’s me!! The mind boggles Something extremely dodgy!!

What? that is crazy. I do not understand how you were not approved because you did extra hours.. Did your P60 show 75k+?

If you don't get it no one will!

Yellowson88 · 11-04-2018 10:31pm

SNNUS wrote: »

What? that is crazy. I do not understand how you were not approved because you did extra hours.. Did your P60 show 75k+?

If you don't get it no one will!

I went in with my daughters godfather( 10 year history both first time buyers in permanent, pensionable employment) our combined p60 was €77 thousand however our annual salary’s as per salary certs were €69 combined, clear history absolutely nothing else! They declined based on P60 for previous year, it’s near impossible to meet the ‘standards’ they are intentionally seeking declines!!

SNNUS · 11-04-2018 10:41pm

Yellowson88 wrote: »

I went in with my daughters godfather( 10 year history both first time buyers in permanent, pensionable employment) our combined p60 was €77 thousand however our annual salary’s as per salary certs were €69 combined, clear history absolutely nothing else! They declined based on P60 for previous year, it’s near impossible to meet the ‘standards’ they are intentionally seeking declines!!

I think you are right, they will find a reason..

Bargain_Hound · 11-04-2018 10:49pm

Yellowson88 wrote: »

Do you mind me asking what they declined you on? Mine was based on the fact my p60 was higher for 2017 with extra hours worked to get deposit up despite not being guaranteed! I’m a working single parent but can’t get a mortgage but yet earn too much for social housing! It’s a mad world we are living in and completely defeats the purpose, reality is if I gave up my job I’d get a house!!!

Well this might give you a giggle.

My P60 for 2017 was well below the threshold for a single applicant, but I received a small increase in salary tipping my salary certificate just over that threshold several weeks before applying.

The RI website/application conditions stated the thresholds were based on previous years P60 (2017), in which case I felt eligble to submit an application. It appears that this condition applied to neither of us. Close to 40k deposit, squeaky clean ICB, no loans/outgoings.

TripleSSS · 11-04-2018 11:09pm

SNNUS wrote: »

Not that I have heard but I applied on my own..

Have you got any word back on your application? How long ago did you apply?

dynasoar · 11-04-2018 11:12pm

Got approved by 2 different Co.Co. for the full amount possible, our combined income is below the limit and we have a bit over 40k in savings. Took 6 weeks to get an answer from both (didn't apply at the same time).

If I may offer our experience:
- You can apply to multiple Co.Co. but each will be a separate full application (you may be able to convince the first council you apply to, to photocopy your stuff so you can keep the originals and use them again

)
- As SNNUS said above, you don't need a property picked out, just mark it as TBA.
- We are both permanent full time employees.
- You must have evidence of regular savings, we have a savings account with a standing order on the current account to transfer x amount of money every month to it.
- If you get approved for the full amount, your monthly payment will be €1354, which includes the mandatory mortgage insurance that we have to buy from the council too - they like to see that you are able to pay this and have enough left to live on (we got it covered by rent+regular savings).
- They want to see if you have the money for the house deposit (max value of the house you can buy under this scheme is 320k so you should have 32k right there), and the additional costs like stamp duty, legal fees etc.
- Take the checklist on the form very seriously because both councils representatives went through it with us, piece by piece.
- This bit "Tenants in private rented accommodation must have a clear rent account for 6 months prior to applying, and be able to show a rent book or proof of payment" - we pay rent by standing order and it was sufficient to highlight the rent payments on the bank statement for this proof of payment.

HTH

TripleSSS · 11-04-2018 11:20pm

dynasoar wrote: »

Got approved by 2 different Co.Co. for the full amount possible, our combined income is below the limit and we have a bit over 40k in savings. Took 6 weeks to get an answer from both (didn't apply at the same time).

If I may offer our experience:
- You can apply to multiple Co.Co. but each will be a separate full application (you may be able to convince the first council you apply to, to photocopy your stuff so you can keep the originals and use them again )
- As SNNUS said above, you don't need a property picked out, just mark it as TBA.
- We are both permanent full time employees.
- You must have evidence of regular savings, we have a savings account with a standing order on the current account to transfer x amount of money every month to it.
- If you get approved for the full amount, your monthly payment will be €1354, which includes the mandatory mortgage insurance that we have to buy from the council too - they like to see that you are able to pay this and have enough left to live on (we got it covered by rent+regular savings).
- They want to see if you have the money for the house deposit (max value of the house you can buy under this scheme is 320k so you should have 32k right there), and the additional costs like stamp duty, legal fees etc.
- Take the checklist on the form very seriously because both councils representatives went through it with us, piece by piece.
- This bit "Tenants in private rented accommodation must have a clear rent account for 6 months prior to applying, and be able to show a rent book or proof of payment" - we pay rent by standing order and it was sufficient to highlight the rent payments on the bank statement for this proof of payment.

HTH

Thanks for the info. What did you use as evidence of insufficient offers of finance from two banks?

dynasoar · 11-04-2018 11:23pm

sweeney2014 wrote: »

Thanks for the info. What did you use as evidence of insufficient offers of finance from two banks?

We went into 2 banks that we want to talk mortgages, they both did their calculations as they do, and made us a mortgage offer in writing. The amounts both offered were not enough to buy anything.

We submitted these two letters.

EDIT: whatever you do, do not tell the bank that you're looking at the council scheme and need the letter for that! You want a mortgage from them.

We've heard stories of people being given the run around instead of a letter because of this.

SNNUS · 11-04-2018 11:28pm

sweeney2014 wrote: »

Have you got any word back on your application? How long ago did you apply?

Almost 10 weeks, no word yet but supposed to be with credit committee in next few days.

SNNUS · 11-04-2018 11:29pm

dynasoar wrote: »

Got approved by 2 different Co.Co. for the full amount possible, our combined income is below the limit and we have a bit over 40k in savings. Took 6 weeks to get an answer from both (didn't apply at the same time).

If I may offer our experience:
- You can apply to multiple Co.Co. but each will be a separate full application (you may be able to convince the first council you apply to, to photocopy your stuff so you can keep the originals and use them again )
- As SNNUS said above, you don't need a property picked out, just mark it as TBA.
- We are both permanent full time employees.
- You must have evidence of regular savings, we have a savings account with a standing order on the current account to transfer x amount of money every month to it.
- If you get approved for the full amount, your monthly payment will be €1354, which includes the mandatory mortgage insurance that we have to buy from the council too - they like to see that you are able to pay this and have enough left to live on (we got it covered by rent+regular savings).
- They want to see if you have the money for the house deposit (max value of the house you can buy under this scheme is 320k so you should have 32k right there), and the additional costs like stamp duty, legal fees etc.
- Take the checklist on the form very seriously because both councils representatives went through it with us, piece by piece.
- This bit "Tenants in private rented accommodation must have a clear rent account for 6 months prior to applying, and be able to show a rent book or proof of payment" - we pay rent by standing order and it was sufficient to highlight the rent payments on the bank statement for this proof of payment.

HTH

Congrats, that Mortgage protection is about €250 a month ? Seems very expensive

TripleSSS · 11-04-2018 11:32pm

SNNUS wrote: »

Almost 10 weeks, no word yet but supposed to be with credit committee in next few days.

Will you keep us posted on how you get on? Thanks for the info, only looking into this myself now on a single income.

dynasoar · 11-04-2018 11:35pm

SNNUS wrote: »

Congrats, that Mortgage protection is about €250 a month ? Seems very expensive

No. The fix 2% option has €1221 for mortgage repayment and €133 for MPI, for 300 months.

SNNUS · 11-04-2018 11:39pm

dynasoar wrote: »

No. The fix 2% option has €1221 for mortgage repayment and €133 for MPI, for 300 months.

Thanks for the info, pity you cannot source your own MPI as it would come in at around €150 for the whole year..

Evd-Burner · 17-04-2018 11:24am

Yellowson88 wrote: »

Do you mind me asking what they declined you on? Mine was based on the fact my p60 was higher for 2017 with extra hours worked to get deposit up despite not being guaranteed! I’m a working single parent but can’t get a mortgage but yet earn too much for social housing! It’s a mad world we are living in and completely defeats the purpose, reality is if I gave up my job I’d get a house!!!

I'm in the exact same position as you!

dynasoar wrote: »

No. The fix 2% option has €1221 for mortgage repayment and €133 for MPI, for 300 months.

It's 133 per month for mortgage protection?!

dynasoar · 17-04-2018 10:05pm

Evd-Burner wrote: »

It's 133 per month for mortgage protection?!

Correct.

I only have guesses as to why. Maybe because they are not a regular bank but a council? Or they try to recover some of the money they lose on the low interest...?

SNNUS · 17-04-2018 10:47pm

dynasoar wrote: »

Correct. I only have guesses as to why. Maybe because they are not a regular bank but a council? Or they try to recover some of the money they lose on the low interest...?

It's the only downside to the loan.. Should be able to source MPI separately.

quadrifoglio verde · 17-04-2018 11:35pm

dynasoar wrote: »

No. The fix 2% option has €1221 for mortgage repayment and €133 for MPI, for 300 months.

133 a month for MPI? And its mandatory to take it out with the council.
Yet any normal council mortgage you're allowed shop around for your insurance.
Sounds bonkers.

Evd-Burner · 18-04-2018 8:33am

quadrifoglio verde wrote: »

133 a month for MPI? And its mandatory to take it out with the council.
Yet any normal council mortgage you're allowed shop around for your insurance.
Sounds bonkers.

So basically it completely destroys any savings that are possible due to the reduced interest rates?

Makes absolutely no sense whatsoever!

dynasoar · 18-04-2018 9:00am

Evd-Burner wrote: »

So basically it completely destroys any savings that are possible due to the reduced interest rates?

Those who go for the council scheme don't do it to save a buck, but maybe because they won't get enough funds from anywhere else, and have to take the bad with the good?

Evd-Burner · 18-04-2018 9:14am

dynasoar wrote: »

Those who go for the council scheme don't do it to save a buck, but maybe because they won't get enough funds from anywhere else, and have to take the bad with the good?

Correct me if I'm wrong but the whole premise of the council mortgage scheme was to make it affordable for people who fit the criteria to be able to payback the monthly mortgage at an affordable level. Adding 151 to the monthly repayments makes it not affordable. Also note that the mortgage scheme does automatically give you more than the 3.5 loan to value ratio, they do some form of calculation based on salary and ability to repay.

SNNUS · 18-04-2018 10:48am

So it seems MPI is 10.5 % of monthly repayment which is saucy .. Although with this MPI you do not need to get life insurance.

Evd-Burner · 18-04-2018 4:47pm

SNNUS wrote: »

So it seems MPI is 10.5 % of monthly repayment which is saucy .. Although with this MPI you do not need to get life insurance.

No use to me where my life insurance is provided by my employer.

SNNUS · 18-04-2018 6:22pm

Evd-Burner wrote: »

No use to me where my life insurance is provided by my employer.

Don't shoot the messenger

Tedd39 · 01-05-2018 8:15am

dynasoar wrote: »

Correct. I only have guesses as to why. Maybe because they are not a regular bank but a council? Or they try to recover some of the money they lose on the low interest...?

I've just been approved for the Home loan on a single income but the MPI is €84 a month! I've received quotes from other providers for the mpi at a much cheaper rate but it seems to be compulsory to go with the council. I don't understand why they are charging so much for this.

SNNUS · 01-05-2018 8:22am

Tedd39 wrote: »

I've just been approved for the Home loan on a single income but the MPI is €84 a month! I've received quotes from other providers for the mpi at a much cheaper rate but it seems to be compulsory to go with the council. I don't understand why they are charging so much for this.

I am in the same boat, would like to have independent MPI at €20 per month.. €80 is crazy.

Heres Johnny · 01-05-2018 8:24am

That is absolutely mental money. My own is 20 a month

I used to set people up with these policies and I could get a couple 300k non decreasing whole of life cover from about 35 a month for 25 years.

Diddlersdoyle · 01-05-2018 11:36pm

I think the MPI is based on a percentage of the reducing loan owed so it may go down as the outstanding mortgage decreases

nicos · 02-05-2018 5:35pm

Hi, We haven't have much luck with this so far. We applied and had everything in order 3 months ago. After many frustrated phone calls. We finally got called in to meet with the council after over 2 months!!! We had a house in mind as it asked to specify it on the application but as the process takes so long the house would be gone. It doesn't make sense to have a house. met with them now over 2 weeks ago and still haven't heard anything. does anyone know how long it should take to hear anything once you meet with them? And do they look for more documents as now its been so long will they now want more up to date documents?

Diddlersdoyle · 02-05-2018 5:52pm

Took my daughter 7 weeks to hear back and they got loan approval from Dublin City Council. They have 6 months to purchase a home.

The MPI is .55% of outstanding mortgage balance and therefore decreases each year as the amount owing goes down.

Diddlersdoyle · 02-05-2018 5:59pm

Dublin City Council check all documents before they accept application. If you have met your Council to submit more dumentation your application should be complete now. You do not have to pick your house at this stage. If you get approval they will send you documentation requesting house address when you are ready to purchase. The councils seem to be taking well over 4/6 weeks so don’t worry too much. “No news is good news” hopefully.

SNNUS · 02-05-2018 6:44pm

nicos wrote: »

Hi, We haven't have much luck with this so far. We applied and had everything in order 3 months ago. After many frustrated phone calls. We finally got called in to meet with the council after over 2 months!!! We had a house in mind as it asked to specify it on the application but as the process takes so long the house would be gone. It doesn't make sense to have a house. met with them now over 2 weeks ago and still haven't heard anything. does anyone know how long it should take to hear anything once you meet with them? And do they look for more documents as now its been so long will they now want more up to date documents?

Did you send the application in 3 month ago? Did you arrange to meet someone in the council when you handed in the application? It took me 10 weeks to hear my outcome..

It seems like they are doing it arseways there.

nicos · 02-05-2018 7:01pm

SNNUS wrote: »

Did you send the application in 3 month ago? Did you arrange to meet someone in the council when you handed in the application? It took me 10 weeks to hear my outcome..

It seems like they are doing it arseways

Yeh we send it in all in order nearly 3 months ago. They only called us in to meet us 2 and half weeks ago though so I'm wondering are they only starting the process from when they meet you or from when you sebdbin application. I have a feeling our application was sitting in their desk for months and not even looked at!!!

jim salter · 02-05-2018 7:52pm

Evd-Burner wrote: »

Correct me if I'm wrong but the whole premise of the council mortgage scheme was to make it affordable for people who fit the criteria to be able to payback the monthly mortgage at an affordable level. Adding 151 to the monthly repayments makes it not affordable. Also note that the mortgage scheme does automatically give you more than the 3.5 loan to value ratio, they do some form of calculation based on salary and ability to repay.

The sooner the Irish people admit that the gov't couldn't give a flying fu¢k about helping the Irish people the sooner we have real change.

These 'schemes' are made intentionally ambiguous and difficult to obtain. The propaganda machines can say 'we're doing all we can - look at the rebuilding Ireland scheme...'

Truth is the gov't are only interested in developers and their own interests.

Evd-Burner · 03-05-2018 9:05am

jim salter wrote: »

The sooner the Irish people admit that the gov't couldn't give a flying fu¢k about helping the Irish people the sooner we have real change.

These 'schemes' are made intentionally ambiguous and difficult to obtain. The propaganda machines can say 'we're doing all we can - look at the rebuilding Ireland scheme...'

Truth is the gov't are only interested in developers and their own interests.

When I heard this scheme and looked into it I knew instantly that this was exactly what the scheme was about!

Wanderer78 · 03-05-2018 9:10am

Evd-Burner wrote:

When I heard this scheme and looked into it I knew instantly that this was exactly what the scheme was about!

Sadly our political institutions are lost, simply unable to react and respond to this critical problem, change will not occur in the short and possibly medium term

Suzistar · 04-05-2018 2:52pm

nicos wrote: »

SNNUS wrote: »

Did you send the application in 3 month ago? Did you arrange to meet someone in the council when you handed in the application? It took me 10 weeks to hear my outcome..

It seems like they are doing it arseways

Yeh we send it in all in order nearly 3 months ago. They only called us in to meet us 2 and half weeks ago though so I'm wondering are they only starting the process from when they meet you or from when you sebdbin application. I have a feeling our application was sitting in their desk for months and not even looked at!!!

Do you mind me asking what did they ask ye/talk about when you went in to meet them??

Diddlersdoyle · 04-05-2018 5:37pm

They just check documentation to make sure it’s compleyed correctly. They asked them to highlight things such as savings, rent to parents etc. on their statements. They are administrators and they send your application to underwriters to check your ability to pay. They asked less questions than the bank and building society.

stryker mcqueen · 08-05-2018 11:14am

Met with the council this morning , went well , application being sent off to underwriters so fingers crossed , wrecked after getting all the documents in order lol.....

Word of advice for anyone applying, do so in person , they had a couple of questions regarding some documents but we were able to get everything answered there and then

stryker mcqueen · 08-05-2018 2:35pm

dynasoar wrote: »

Got approved by 2 different Co.Co. for the full amount possible, our combined income is below the limit and we have a bit over 40k in savings. Took 6 weeks to get an answer from both (didn't apply at the same time).

If I may offer our experience:
- You can apply to multiple Co.Co. but each will be a separate full application (you may be able to convince the first council you apply to, to photocopy your stuff so you can keep the originals and use them again )
- As SNNUS said above, you don't need a property picked out, just mark it as TBA.
- We are both permanent full time employees.
- You must have evidence of regular savings, we have a savings account with a standing order on the current account to transfer x amount of money every month to it.
- If you get approved for the full amount, your monthly payment will be €1354, which includes the mandatory mortgage insurance that we have to buy from the council too - they like to see that you are able to pay this and have enough left to live on (we got it covered by rent+regular savings).
- They want to see if you have the money for the house deposit (max value of the house you can buy under this scheme is 320k so you should have 32k right there), and the additional costs like stamp duty, legal fees etc.
- Take the checklist on the form very seriously because both councils representatives went through it with us, piece by piece.
- This bit "Tenants in private rented accommodation must have a clear rent account for 6 months prior to applying, and be able to show a rent book or proof of payment" - we pay rent by standing order and it was sufficient to highlight the rent payments on the bank statement for this proof of payment.

HTH

Any eyebrows raised when applying to the second council and was the application process the same the second time?

Thanks

Rebuilding Ireland home loan

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