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

Santy2015 · 27-11-2015 2:44pm

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?

Thats exactly what we are doing, we are not going to get a house straight away.

Butters1979 · 27-11-2015 2:56pm

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.

Santy2015 · 27-11-2015 3:07pm

Pre approval with BOI is called house hunters and then once you see a place and have the appropriate funds you can get full approval, well that's my understanding after a recent meeting with my local branch

Logicost31 · 27-11-2015 4:27pm

Thanks guys, good to know!

Santy2015 · 01-12-2015 1:49pm

I hope someone can answer me this, me and my OH just got our Salary Certs stamped and filled out, mine is fine as I'm permanent full time but herselfs is permanent part time and wage fluctuates but recently over the past 4 months her hours increased to 35 a week on minimum wage and again in the last few weeks she's got an increase in her hourly rate by nearly a euro over Mininum wage, the owner of the company she works for has basically finished this years pay to week 53 and put that down on the salary cert. Would we be better off getting her a new cert for the new year or with this and her 6 recent payslips?

lainey316 · 01-12-2015 1:52pm

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.

Santy2015 · 01-12-2015 1:59pm

lainey316 wrote: »

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.

Add your reply here.
Thanks, I was thinking that, she was a bit worried, sure we were told p60s aren't needed now just recent payslips. Now the bank mortgage advisor said this. I suppose I'll believe him.

Santy2015 · 04-12-2015 8:40pm

So handing in mortgage application on Tuesday, I've seen that the BOI say they'll approve within 24 hours, has anybody any dealings lately with BOI when applying for a mortgage and the time for approval especially if a first time buyer

lainey316 · 04-12-2015 8:41pm

Santy2015 wrote: »

So handing in mortgage application on Tuesday, I've seen that the BOI say they'll approve within 24 hours, has anybody any dealings lately with BOI when applying for a mortgage and the time for approval especially if a first time buyer

They approved mine in 3 days. I am a BoI customer.

Santy2015 · 04-12-2015 8:49pm

They approved mine in 3 days. I am a BoI customer.[/quote]
Add your reply here.
Thanks, we are both BOI customers as well. With your application did you name a solicitor or did you actually wait till you bid for a house that was accepted?

Heisenberg. · 06-12-2015 7:16pm

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Santy2015 · 06-12-2015 10:36pm

Heisenberg. wrote: »

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Any particular reason why you're going with BOI? They've currently the worst rate
of all 7 lenders for variable mortgages.

[/quote]
Add your reply here.
No particular reason I just find them easier to deal with and the fixed rate is very similar to the majority of other banks. The advisor I was talking too did mention that the rate will probably go down soon and by the time we hopefully draw down a mortgage that'll be the case.

Jen44 · 07-12-2015 9:27am

Santy2015 wrote: »

So handing in mortgage application on Tuesday, I've seen that the BOI say they'll approve within 24 hours, has anybody any dealings lately with BOI when applying for a mortgage and the time for approval especially if a first time buyer

Took them over two weeks to get back to us. My husband is a BOI customer I am with AIB. They also approved us for much less then we had asked for. Needless to say we didnt go with them in the end. Have to say I found them dreadful to deal with im not sure if we got unlucky with the person we were dealing with but he was in a senior position. Hopefully you will have a bit more luck

Jen44 · 07-12-2015 9:31am

Actually it was over four weeks just looked back at my old posts! I went on to the ask BOI thread here to inquire what the delay was about at the time!

Santy2015 · 07-12-2015 11:14am

Jen44 wrote: »

Actually it was over four weeks just looked back at my old posts! I went on to the ask BOI thread here to inquire what the delay was about at the time!

Add your reply here.

Jesus, they took their time alright, now the advisor we're dealing with is a very nice man and has helped us, and hopefully tomorrow will go without a hitch. We are looking for a bit less then what we actually qualify for so that should help.

Jen44 · 07-12-2015 11:46am

great! The best of luck! Very exciting!

Santy2015 · 07-12-2015 12:26pm

Jen44 wrote: »

great! The best of luck! Very exciting!

Add your reply here.

Thanks, I'll be sure to let ye know what happens

bleary · 07-12-2015 2:40pm

Santy2015 wrote: »

Add your reply here.
No particular reason I just find them easier to deal with and the fixed rate is very similar to the majority of other banks. The advisor I was talking too did mention that the rate will probably go down soon and by the time we hopefully draw down a mortgage that'll be the case.

As long as you are happy to pay thousands more over the lifetime of your mortgage, carry on with BOI.
The fixed rate is only for a period of time, usually most people take three years or less. Following that you will be put on their variable rate which is higher than most other banks on the market.
Also bank of Ireland are one of the banks refusing to match their variable rates of existing customers to new customers offers. This means they give good upfront offers and then hit you with higher charges over the lifetime to more than compensate themselves.

I would strongly advise that you go to a broker, you already have all of the documents, a no fee/fee broker will give you all of the options.

wenbo · 07-12-2015 2:56pm

bleary wrote: »

As long as you are happy to pay thousands more over the lifetime of your mortgage, carry on with BOI.
The fixed rate is only for a period of time, usually most people take three years or less. Following that you will be put on their variable rate which is higher than most other banks on the market.
Also bank of Ireland are one of the banks refusing to match their variable rates of existing customers to new customers offers. This means they give good upfront offers and then hit you with higher charges over the lifetime to more than compensate themselves.

I would strongly advise that you go to a broker, you already have all of the documents, a no fee/fee broker will give you all of the options.

I though you can always switch from variable rate to fix rate.

bleary · 07-12-2015 3:16pm

I didn't think it was a given that they have to let you swap to a fixed but most probably would as it has a number of advantages for the bank.
In general a fixed rate will be more expensive than a variable rate, you are also locked in as a customer on a fixed rate,
If you see a cheaper rate somewhere else you would have to pay to but your way out of the fixed contract.

There is a very good post on this here
http://www.askaboutmoney.com/threads/should-i-fix-my-rate-to-escape-the-very-high-variable-rates.194208/

Santy2015 · 07-12-2015 7:21pm

Jaysus you'd put the frightners on anybody. I'm looking at BOI as they have helped me the most in terms of information and so on, I contacted a broker and to be honest he sounded like a p***k so yeah I'll deal with BOI. I can switch as well in years to come if it's not working out. We are both comfortable with our decision. That's the main thing and we haven't been forced into any contract or anything like that.

Heisenberg. · 07-12-2015 10:53pm

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mulbot · 07-12-2015 10:59pm

Heisenberg. wrote: »

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:eek::eek::mad:

Santy2015 · 07-12-2015 11:03pm

How many banks will give money towards the furnishing of a builders finish house? I only had one say yes. That was BOI even the ebs told me no. Now the credit union is more expensive for the exact same loan.

athtrasna · 07-12-2015 11:30pm

OP I think you may be having an issue with whatever you're posting from. The phrase "add your reply here" is featuring in most of your posts in recent days.

Santy2015 · 07-12-2015 11:39pm

It's the iPhone app, it isn't great and that always comes up and you don't know if your quoting them or not

Jen44 · 08-12-2015 9:14am

Heisenberg. wrote: »

This post has been deleted.

Their customer service is atrocious!

wyndham · 08-12-2015 9:20am

Heisenberg. wrote: »

This post has been deleted.

Aren't they giving back a percentage of the mortgage in cash as a hook? 2% IIRC? Juicy piece of bait.

Santy2015 · 08-12-2015 2:01pm

Just out and applied for the mortgage with BOI. He can't foresee any problems and I should hear back soon, which I think will be after Christmas to be honest. Only hitch which is small is that my OH is on a fixed contract that's renewable yearly, it's been like that since the place opened 6 years ago and it's basically the same staff that started are there now and herself is there 18 months now on her 2nd contract and got a pay rise with it.

mulbot · 08-12-2015 8:29pm

Can anyone tell me if you can find out from any of the banks what money they will give without having a house in mind? I hear that they need an actua address now when applying-I'm in the situation at the minute where I want to find out what I can get,then I can start looking based on that-Thanks

krazyklown · 09-12-2015 9:23am

mulbot wrote: »

Can anyone tell me if you can find out from any of the banks what money they will give without having a house in mind? I hear that they need an actua address now when applying-I'm in the situation at the minute where I want to find out what I can get,then I can start looking based on that-Thanks

We were in the Ulster Bank last week for an initial assessment where we were looking to get an idea of what we could borrow. The person we were dealing was coming from the mindset of what value houses we were looking at buying, but changed tact when we explained that we wanted to know what we could borrow. We had used the online calculators that can give you a quick idea of the what your borrowing limits would be and they appear reasonably accurate.
http://www.ulsterbank.com/ni/personal/digital/mortgages/max-loan-calculator.ashx is the one we used.

Santy2015 · 09-12-2015 11:24pm

I got very similar answers from all the calculators except for ptsb which was way way too much. Nearly 40k higher then the highest from the others and there wasn't much of a difference between those 10k between second highest and lowest

Santy2015 · 09-01-2016 11:16am

Question, I'd have a strong enough balance in my CA would the bank look differently if I was to make a couple of lump sum payments from my CA into my savings in the CU? Want to speed up the saving. Was told last week that we'd have no problem getting the mortgage we need just that we need the right savings 16/17k in our case. Have 12k now.

09-01-2016 11:27am

I don't think the bank would care if you moved your money over in a lump sum. You have already demonstrated your ability to save all you need now is enough funds regardless of how you get them.

You could say you are getting a gift of what ever is the difference between what you have and what the bank want you to have in the knowledge that by the time you come to actually buying etc you will have saved up the difference. A friend of mine did this in order to get approval before they had enough saving (they were never getting a gift) and between approval and buying a house they actually saved more than the proposed gift.

Santy2015 · 09-01-2016 11:49am

It wouldn't be a lot that I'd be putting in. We currently save 390 a week and we decided that soon enough we'd both put 300 each into our savings from our CAs to give it a boost. If we leave things as they are we'd have the the 16/17k by the end of March. It's the itch to buy that's getting to us. Some lovely houses in my area and worried they might be gone or they'd go up in price due to supply issues

Sleepy · 18-01-2016 11:12am

After getting the long dreaded notice of lease termination last week (landlord passed away so it's an estate sale) I've been talking with parents and may be "gifted" a deposit so trying to get myself sorted for a mortgage application at the moment (I'm in the middle of salary negotiations for a promotion in work atm),

Does anyone know if the bank look at take-home pay in addition to just the Gross figures? My wife is a childminder so her income, while low, has almost no taxation burden.

Would maintenance payments for a child factor into the loan amount / affordability calculations too? Or would it just be considered gross income?

Black_Knight · 18-01-2016 12:40pm

Sleepy wrote: »

After getting the long dreaded notice of lease termination last week (landlord passed away so it's an estate sale) I've been talking with parents and may be "gifted" a deposit so trying to get myself sorted for a mortgage application at the moment (I'm in the middle of salary negotiations for a promotion in work atm),

Does anyone know if the bank look at take-home pay in addition to just the Gross figures? My wife is a childminder so her income, while low, has almost no taxation burden.

Would maintenance payments for a child factor into the loan amount / affordability calculations too? Or would it just be considered gross income?

A child would be a dependency anyways. My limited knowledge says that they'll initially base everything on your gross wage, though they'll need payslips etc so they can also factor in your take home pay in their risk assessment.

Gifts from parents are subject to tax. Up to €3k per year, per parent is tax exempt. Above this €3k per year I believe a gift is taxed at 33%. If its a sizable sum, you could put this against your tax free inheritance from a parent, in which case the tax free amount is €280k*. (ie. Your parents gift you 40k now, but when they die, only the first €240k you inherit off them will be tax free. Anything after that is taxable at 33%. something to consider if they have valuable property (*€280k limit may go up as well as down))

zl1whqvjs75cdy · 18-01-2016 12:44pm

Thought I'd stick my iron in the fire here. Renting away with a view to start saving in June. Going on a relatively pricey holiday in May, and after that it'll be all hands on deck for the saving. Looking at 1000 a month (depending on rent increases). I'm toying with the idea of moving back to my parents for 8 or 9 months with my partner. That'd allow us to save probably close to 2000 a month which would be fantastic. Lots of things to consider.

Santy2015 · 26-01-2016 9:40am

So I nearly have our deposit and stamp duty saved along with surveyor and valuation fees but the solicitor would be the next thing. We were told to save between 15/17k before we go back to the bank to ask for approval again. We'll have over 15k by the middle/end of February. My OH got a new salary cert as well with permanent on it, instead of fixed contract and also an increase in her gross pay for last year(her boss only put down the figure she had earned at that time of year) which is great news as it helps to hopefully increase our spending power. We're really saving hard now 450 a week at the moment. Would the bank only want to see a running balance in your CA or can I lodge more money from it to my savings? Also when we do go back to the bank in a few weeks, would it be okay to say that we're due a gift of let's say 2k to pay for the solicitor but in reality we'd be the ones saving the money in the mean time as there's no way that we'd have a house in the few weeks after approval?

leelee77 · 26-01-2016 11:14am

Santy2015 wrote: »

So I nearly have our deposit and stamp duty saved along with surveyor and valuation fees but the solicitor would be the next thing. We were told to save between 15/17k before we go back to the bank to ask for approval again. We'll have over 15k by the middle/end of February. My OH got a new salary cert as well with permanent on it, instead of fixed contract and also an increase in her gross pay for last year(her boss only put down the figure she had earned at that time of year) which is great news as it helps to hopefully increase our spending power. We're really saving hard now 450 a week at the moment. Would the bank only want to see a running balance in your CA or can I lodge more money from it to my savings? Also when we do go back to the bank in a few weeks, would it be okay to say that we're due a gift of let's say 2k to pay for the solicitor but in reality we'd be the ones saving the money in the mean time as there's no way that we'd have a house in the few weeks after approval?

We went for mortgage approval in November and didn't have the stamp duty etc saved for at that time. We just had the deposit. We got approval no problem.

Santy2015 · 26-01-2016 11:36am

May I ask which bank?

leelee77 · 26-01-2016 11:42am

Santy2015 wrote: »

May I ask which bank?

Ulster Bank. We went through Killers1, the broker that has been mentioned here loads of times

Santy2015 · 26-01-2016 11:45am

Thanks. Just another question. Did they say the deposit was all you needed? How long did it take for you to save for the rest?

leelee77 · 26-01-2016 11:50am

Santy2015 wrote: »

Thanks. Just another question. Did they say the deposit was all you needed? How long did it take for you to save for the rest?

We were mortgage approved mid November (with the deposit saved, including deposit money for over and above €220,000, which the house we wanted was). We went sale agreed end Nov. We have the money now so took us about 3 months but depends how much you are saving. We are hoping to close end of Feb.

Santy2015 · 26-01-2016 12:07pm

leelee77 wrote: »

We were mortgage approved mid November (with the deposit saved, including deposit money for over and above €220,000, which the house we wanted was). We went sale agreed end Nov. We have the money now so took us about 3 months but depends how much you are saving. We are hoping to close end of Feb.

we'll have the deposit next week circa 140k for the house we are looking at. was told by boi to come back when we've 15k at least so that by my calculations is the 20th of feb. Over the next few weeks we'll be saving 560 a week

leelee77 · 26-01-2016 12:16pm

Santy2015 wrote: »

we'll have the deposit next week circa 140k for the house we are looking at. was told by boi to come back when we've 15k at least so that by my calculations is the 20th of feb. Over the next few weeks we'll be saving 560 a week

Ah sure that's not long to wait at all!

Santy2015 · 26-01-2016 12:25pm

leelee77 wrote: »

Ah sure that's not long to wait at all!

it isnt haha, i was hoping then to save 5k on top of that whilst we wait for approval and then obviously we wont be in a house immediately. I dont know did ulster bank do this. but was told that they'd give money to finish the house we are looking at as its builders finish, house would be 120k only that we'd need 20k on top of that to get a start on finishing it, thats why we need 14k deposit.

Inspector Coptoor · 26-01-2016 12:54pm

14k deposit?
I wish we could have a deposit like that.
Buying in south Dublin is a huge outlay.

It's taken us 3 years or so but we have finally saved €86k deposit for our house which we've gone sale agreed on for €430k.

Signing contracts This evening and hope to be in the house by Feb 13th all going well.

Santy2015 · 26-01-2016 1:09pm

Inspector Coptoor wrote: »

14k deposit?
I wish we could have a deposit like that.
Buying in south Dublin is a huge outlay.

It's taken us 3 years or so but we have

finally saved 86k deposit for our house which we've gone sale agreed on for 430k.

Signing contracts This evening and hope to be in the house by Feb 13th all going well.

Add your reply here.
Cork is a different story. I'm in north cork the difference between there and cork city is crazy. House we hope to get is a new 4 bed detached well new as in it was built in 2008 and that estate is only starting to fill up now

Black_Knight · 26-01-2016 2:36pm

Inspector Coptoor wrote: »

14k deposit?
I wish we could have a deposit like that.
Buying in south Dublin is a huge outlay.

It's taken us 3 years or so but we have finally saved €86k deposit for our house which we've gone sale agreed on for €430k.

Signing contracts This evening and hope to be in the house by Feb 13th all going well.

Thats some going, even on Dublin wages. Saving 28k a year, while I assume renting. Fair play.

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

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