Five Things to look at Before Switching your Mortgage

 

Switching your mortgage can be a lot of work but it can also save you a large amount of money. Before switching, you should pay attention to the following:

It is important to know what your repayment history looks like. Have you been making your payments on time or has this been a problem for you? This will be shown on your credit history as well which is something that will be looked at by the banks. You should also check to make sure that you do not owe more than what your property is now worth. Switching your mortgage may be difficult for you if this is the case. Figure out your LTV which is the loan to value. This is a ratio that lenders use to figure out how much risk is being taken on the loan. You can figure out this number by dividing the barrowed amount by the appraised value and multiply that amount by one hundred. Lets say for example that the property that you are looking to buy is €300,000 and you deposit …

Read More →

Tips on switching your mortgage

Switching your mortgage could be the best decision that you make. It can possibly help you save a large amount of money if done correctly. If you are not sure how to go about this, here are a few tips of what to look for and what to think about.

Think about how much you could save. In order for you to save, you need to make sure that you are shopping around for the best deal. When shopping around, it is similar to what you should have done for your mortgage. Talk to different mortgage brokers and banks. See what they have to say about switching and is it worth it for you?

What type of mortgage do you have? An annuity mortgage, interest only mortgage, pension mortgage, or endowment mortgage? This can also make a difference when thinking of switching. You will also want to know what your current interest rate is. Get in touch with your current bank to find out what your rate is if you are not sure what it is.

If you have a …

Read More →

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 …

Read More →

The Last Word on TodayFM features Irish Mortgage Brokers, 30/04/2020

We were part of a discussion around Covid19 and mortgages on Matt Cooper’s ‘The Last Word’ show on Today FM yesterday. The other participant was Brian Hayes of the Banking and Payments Federation of Ireland.

For our part we were impressed with the fact that the banks have been able to do more than 2,000 mortgage restructures per working day since the pandemic driven mortgage breaks were announced. To put that in perspective, it took six years to do 100,000 restructures after the financial crisis. This time around that figure could be achieved in a little over two months, that is something to be commended.

Read More →

How to buy a house in Germany

The property prices in Germany depends on the location of the property (for example living environment and view), the features of the land and of the building (for example the size, the number of rooms and the type of the house). About fifty percent of the people who rent an apartment want to buy a house, but the costs for a one or two-family house in Germany are on average two thousand five hundred to three thousand euros per square meter. Many people cannot afford that.

To get a mortgage in Germany they must be at least eighteen years old and have equity of at least twenty percent of the mortgage value. Many legal regulations concerning the purchase of a house can be found in the Civil Code.

People who want a mortgage must submit various documents to the bank to prove their creditworthiness. For example, the bank requires the last three salary statements, the last income tax assessment, current pension information and the proof of further loans. Self-employed persons must provide additional evidence, for example an extract from the …

Read More →

Help To Buy For First Time Buyers

The name provides a definition for itself. First time home buyers are people in the market buying a home for the first time. Compared to other home buyers, such as trader-up borrowers and mortgage switchers, first time buyers have different benefits and restrictions when borrowing than other borrowers. The Central Bank of Ireland requires a 10% down payment for first time buyers. Now, for first time buyers, a 45,000 euro down payment for a 450,000 euro home may be somewhat daunting. However, the Central Bank has offered assistance for their first time buyers to keep them in the market. The Central Bank offers a help to buy program. This benefit allows for first time buyers of new houses and apartments to take a 5% tax rebate off of properties less than 500,000 euros. In a recent case at Irish Mortgage Brokers, a married couple came looking for a mortgage on their first home. The couple did not have a home in mind at the time, but based on their income, the couple had roughly below 500k to spend. Both individuals …

Read More →

House Moving Made Easy

House moving can be overwhelming. Here are different types of mortgage options for you to try out.

Portable Mortgage – You can move your current mortgage to your new property using a portable mortgage. You probably have to fill out a request to switch and you may have to increase the size of your mortgage if the new home has a higher property value than the old home. Watch out for a higher interest rate in the new loan. Remortgage with current lender – This method can help the home mover find better rates, but there are other costs associated with this loan that make up for this. Depending on how deep you are into your current mortgage, the fee for remortgaging with the current lender is usually a cost between 1-5% of the previous mortgage. Exit, arrangement, and valuation fees may also apply. Remortgage with a new lender – This mortgage helps because it pays off your existing mortgage. You may also be able to sell off your old home. If the property value in your area has risen, …

Read More →

Tracker Mortgage Scandal

A tracker mortgage is a mortgage that has its rate tied to the European Central Bank rate. AIB and other banks looked to force people as many people as it could off of loss-making mortgages. After the market crash in 2008, it became expensive for many banks to borrow. The banks hurt themselves a lot with bad lending practices before the market crash. Once the market did crash, many of the mortgages were actually costing the banks money.

Instead of taking the financial burden, many of the banks looked to be sneaky. They looked to push people off of the mortgages in questionable ways.  The Irish Times estimate that scandal costs have surpassed 1.5 billion Euro.

What is even more crazy is that financial services knew about the banks being suspect. Many people went to court and lost. However, it is believed that many of the banks had a voice on these committees.

PTSB and Springboard Mortgages were the first two banks caught in the scandal. It is estimated that 1,400 people had their loans mismanaged by both companies. Some …

Read More →

The 8 Types of Mortgages

Mortgages can be scary for first time buyers. It may help to understand the different types of mortgages when you apply for a mortgage. Here are the 8 most common types of mortgages:

Repayment Mortgage – This is the most typical mortgage. You pay back the principle you borrowed along with the interest applied in fixed (typically monthly) installments. Fixed Rate Mortgage – This means the interest rate that the bank gives you is fixed for a specified period of time. It is a safe mortgage because the monthly payments do not change over time. Standard Variable Rate (SVR) Mortgage – The rate is changed by the banks typically to reflect how the economy is doing. This rate typically follows the LIBOR or Federal Funds Rate set by the central banks. Interest-Only Mortgage – This mortgage pays off the interest before principle. After the interest is paid off, the borrower starts to pay off the principle amount he or she borrowed. Federal Housing Administration (FHA) Loan – These loans protect people who may not be able to pay back their …

Read More →
  1. Pages:
  2. 1
  3. 2
  4. 3
  5. 4
  6. 5
  7. 6
  8. 7
  9. ...
  10. 33
← Older Entries