Types of mortgages and lending rules

Irish law has specialized sets of lending rules depending on the type of mortgage application. Types of applications are split into three different categories: first-time buyers, remortgaging or switching, and buy-to-let buyers. Depending on which of these categories an application falls under, different loan-to-value (LTV) and loan-to-income (LTI) limits will be used. The former refers to the minimum deposit a borrower must have on a home before getting a mortgage loan. The latter refers to the maximum amount of money borrowers can receive in relation to their yearly gross income; while this is normally capped at 3.5 times one’s income, lenders can provide additional allowances of varying amount depending on the type of application.

Firstly, there are first-time buyers. These applicants are those buying a house for the first time, so the deposit required by LTV limits is understandably less steep. They will need to have a minimum deposit of 10% of the home’s total value. For example, if the price of a home is listed as €250,000, a 10% deposit would amount to €25,000. Lenders are allowed to have …

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Three Things to do Before Taking out a Mortgage

Let’s face it mortgages are daunting; with interest rates, terms, and credit scores. Many things can make finding a mortgage a challenge but what are the most important things you need to know before taking out a mortgage? Well, you’re in luck, these are three main takeaways that you should know before taking out a mortgage.

SAVE SAVE SAVE

When preparing yourself to take out a mortgage, being financially secure is extremely important. You will want to have enough to make sure you have enough for a good down payment. This isn’t the only reason you want to be saving though. You will also want to have enough in your account for any unexpected expenses that may pop up due to things such as closing costs, and inspections. Liquidity (cash) is just as important as saving for a down payment. Banks and other financial lending institutions look at the balance of your accounts prior to approval to validate your ability to afford your desired home.

Along with saving, you will want to keep your account in order. Avoid overdrafts, late …

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Money Hacks

Today we’re going to talk about money hacks, what they are, and how they can help you. Money hacks are ways for you to reduce the amount of money you spend. Finding money hacks is perfect for helping you to save save save.

Do it yourself

One great money hack is doing it yourself. When things break, we are quick to call others to fix them because hey, that’s what they are there for right? Instead of calling someone to fix them, look it up to see if it is something that you can fix yourself. Not only is this good for saving money but you can also turn this into a hobby. If you find yourself with some downtime in the evenings or weekends, why not figure out a way to make some extra money? Do it yourself crafts are a fun way to make some extra money. If you’re a crafty person, you can look up pretty much any type of craft. Homemade jewelry, soap, and even custom furniture can be done right from the comfort of your …

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10 Money Saving Tips!

Who doesn’t want to save money? Here are ten money-saving tips that may make it easier than you think to save.

1. Automatic Transfer

Set up an automatic transfer from your checking account to your savings account. You can start with a small amount and gradually increase t if you would like. You can set this up to transfer an amount from each paycheck or a certain amount each month.

2. Raise

If you get a raise, put that extra money from your raise into your savings account. Many of us look forward to a raise because you know you’ll be getting more money with each paycheck. Instead of using that extra money, continue to live as you have before the raise. Put that extra money into a savings account and watch it add up.

3. Loose Change

Saving all your loose change and cashing it in every month. This is such an easy task, but few people think of doing it. Every evening you can empty your pockets and put it in a jar or some type of container …

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Mortgage lenders in Ireland

There are ten mortgage lenders in Ireland. AIB, Bank of Ireland, EBS, Finance Ireland, Haven, ICS/Dilosk, KBC, PTsb, Ulster Bank and Credit Unions.

A mortgage broker can help you make an application to all of them except for the EBS who don’t distribute through brokers and Credit Unions who have to be applied to directly and individually.

The main comparison between lenders is their interest rate, but there are many other features of a loan to consider such as the rates that may apply after a fixed rate expires, cash-back and other terms and features that are specific to loans from certain banks.

For instance, some lenders will let you overpay a fixed rate mortgage, others will penalize you if you do that. To find out more get in touch and we can help you figure out what lender is the best for your circumstances.

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If you need mortgage assistance during the covid 19 pandemic

Below is a list of numbers for the banks where you can speak to representatives who will be able to assist you with any concerns you have about making mortgage payments during the covid19 pandemic.

AIB 1890 252008

Bank of Ireland 01 6113333

EBS 1850 330044

Finance Ireland 1890 995998

Haven Mortgages 1850 654329

ICS Mortgages 1890 542542

KBC Bank 1800 939244

Permanent tsb 0818 502424

Ulster Bank 1800 435763

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Who are Finance Ireland?

We are sometimes asked ‘who are finance Ireland’ because people don’t know the company. In short, they are a broker only lender, this is yet another reason you should never go to a bank directly, they couldn’t tell you about their rates and products if they wanted to and in this instance their prices are amongst the best there is!

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