I'm trying to work out what the possible clawback would be on our affordable housing house.
We bought at €163k 5 yrs ago, and at that time the value was given at €240k.
We are now thinking of moving and have heard of a good house coming to the market soon. We would not have to our current mortgage, provided the clawback was not too much.
Looking on the council website and at my info booklet I got when we bought, the info is:
The clawback percentages vary from property to property. These are setbythe Council prior to closing the sale of the property and are based on the sale price and the market value price of the property.
House sold after five years for €300,000
Outstanding mortgage (estimated) €125,000
Clawback (30% of €300,000 to be repaid to Council) € 90,000
Amount owning to Bank €125,000
We paid €163k and if we get €165-170k we would be able to make the move provided the clawback doesn't kill us.
From my reading of the above example it does not take into account the difference between the sale price and the price paid. here they calculate on the total sale price - if this was indeed the case we would be paying €49500 when we made no profit! our mortgage is a good bit less than the price we paid as we had saved a good deposit - does that make a difference?
Does anyone know if you sell for the price you paid do you still have to pay them anything?
Is it always as high as 30% - they say above that it varies. This isn't very helpful to estimate your costs and charges when you are trying to work out what you can afford!
I rang the council twice last week and they said that they would get someone to calculate the clawback and call me back, but as of yet I have had no reply.
As a final question - our other worry is that the bank will not let us transfer our mortgage from the council to them (even though we would not be increasing it). If this is so then our whole plan is scuppered (and I will continue to clock up 1000 miles and 15-18 hours travelling a week!). If you have a mortgage with fingal, does anyone know if it is possible to transfer it to another council (i.e DCC?) or is there any possibility of keeping the mortgage with fingal, just living elsewhere (I know this is a stupid question even as I type it, but then again, where councils etc are concerned, nothing would surprise me! lol)?
thanks in advance for your time - I would appreciate any advise or info offered!