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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Difficulties with mortgage repayments?

The Irish Bankers Federation has produced a guide for people who may be having difficulty in servicing their mortgage. This is a timely publication and relevant to many consumers. We previously published our Repossession Guide in early 2009 but it doesn’t cover the new Code of Conduct for Mortgage Arrears 2010 and the IBF one does.

Ultimately much of the information is common sense with some of the Code of Conduct being applied, having said that, it is vital to understand and utilise the information contained in the guide if you find yourself in difficulty, as this may be the only thing standing between you and a pointless repossession. Losing your home is one thing, doing it unnecessarily is another.

There is a wider question in Ireland about how we are going to solve our mortgage mess, the figures of houses in serious arrears continue to increase and forbearance cannot become a long …

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Talk the talk and walk the walk (economically speaking)

I wrote an article back at the end of 2005 called ‘the changing face of the mortgage market’ and I sent it off to a few newspapers and several magazines, it went largely un-noticed, when I say ‘largely’ I actually mean ‘totally’. Apparently I was ranting lunacy or something close to it, if you know me you’ll also know that this was a possibility….

Last weekend in a smokey Krakow it was mentioned during a conversation that you need to make a call on things and then fall on your face when you are wrong but remain vindicated when you are right. In the spirit of that conversation (with thanks to our own resident Enda Munnelly) I will list the predictions I had and then we can either collectively laugh at me or not. The main thing is that I put my predictions on the line and show whether or not I can walk the walk.

1. More than 100%!

Traditionally there were two things stopping people from getting a mortgage, the first was qualifying for the loan, the second …

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