Frequently Asked Questions
How much can I borrow?
The maximum amount you can borrow is 100% for first time buyers or professionals and 92% second time buyers, of either the property value or the purchase price - whichever is the lower and provided you meet the lending criteria. This is based on your ability to repay the loan, both now and in the future. The amount you can borrow is calculated on your income after tax and also takes into consideration any other financial commitments you might have e.g personal loans, car loans etc.
How do I Remortgage?
What’s involved? Is it too much hassle? We can take the hassle out of it by dealing direct with the mortgage company on you behalf. A re-mortgage is releasing existing equity (difference between existing loan and house value) for any number of reasons e.g. an extension, you then add it to your existing mortgage and have just one payment per month. It is the same process as a mortgage and has the same requirements.
How much can I borrow for a residential investment property?
You can borrow up to 90% of either the property’s value or its purchase price - whichever is lower and provide you meet the lending criteria. If you are a non-residents you can borrow up to 75% of either the property’s value or its purchase price whichever is lower.
Mortgage Protection/Life cover
It is essential to consider both mortgage protection and mortgage protection with accelerated serious illness when taking out a mortgage. You are obliged to effect a life policy to ensure that in the event of your death that the mortgage will be paid off. The latter, which we highly recommend, will ensure your mortgage is paid off if you were to contract one of long list of serious illness such as Cancer, stroke or heart attack etc, during the term of your mortgage.
House and contents insurance
It is very important to ensure that your home and your contents are insured. We have a number of home and contents products for you to choose from. These provide a full range of cover for your home and its contents including all-risks cover. If you take your mortgage out through us we will give you €100 off your home or car insurance.
What will my repayments be?
Rates are changing all the time. A typical mortgage of €300,000 over 35 years, Tracker 4.9% (ECB + .9%) is €4.98 per thousand which works out at €1,494 per month. You would also receive tax relief on this amount. For a married couple or a joint application the tax relief on this works out at €251 per month giving repayments of €1,243 per month.
What costs are involved?
Solicitor’s fees - can be anything from 1% to 1.5% of the total price of the property, plus VAT at 21% and then there are also outlays to be paid. In more recent times solicitors are beginning to reduce their fees substansially and if you shop around you can save money. A typical mortgage should cost approximately €1,000 + VAT + outlays and a remortgage should cost around €500-€600 + VAT + outlays.
Valuation of the property - To assess the value of the property you intend buying, a registered valuer must complete a valuation report. This will be needed before your mortgage can be finally approved. Cost is approximately €130. If you take your mortgage out through us we will pay your valuation fee (€130).
Stamp duty
The amount of stamp duty you pay will depend on the price of the property and whether you are a First Time Buyer or not.
What do I do next?
Complete our enquiry form and we will contact you to discuss your mortgage needs. Or call Pól on 01 4033707.
