Introduction.
We work for you to help you get the best mortgage that you can reasonably afford at the best mortgage rate.
For securing your mortgage, we have partnered with One Platform a leading mortgage provider and advisory service. Here is a guide to securing your mortgage.
Principal conditions are as follows
- Secure employment and good income prospects including long term contract positions.
- History of regular savings.and/or rent payments
- Evidence that you can afford repayments when stress tested
- Good credit history
1. What is the maximum mortgage limit.
- New rules place a limit of 3.5 times your normal gross income as your maximum mortgage.
- Exemptions are available and having access to a wide range of lenders means that your chances of getting an exemption are improved by dealing through us. However in many instances a multiple of 3.5 times gross income is a fair multiplier when it comes to affordability.
2. How much of a deposit do you need?
- First time buyers ( never purchased a home before in Ireland or elsewhere) deposit is 10% of the purchase price up to €220,000 and 20% on the excess.
- Second time buyers 20% of the purchase price
- Some lenders are happy to have the deposit requirement provided by way of a gift, but as a general rule our preference is to see a steady savings pattern contributing to a share of the deposit.
2. Can you afford the repayments?
- The most important matter to consider is your comfort level with the proposed repayments .Rates will change during the mortgage term .The price you want to pay for a house should be driven by your feeling for affordability.
- As your advisers we need to clearly demonstrate in our lender recommendations that you can afford your mortgage payments even if rates increase by 2%
- The longer the period over which you can demonstrate ability to repay – the better, but it should be minimum six months and preferably longer.
3. Is your income secure?
- You need to be in secure employment. Being on a permanent contract is a requirement with most lenders but we are pleased to advise that some lenders will consider contractors where their is evidence of contractual work for over one year on a continuous basis and prospects for further continuous contract work into the future are strong.
- Lenders take a prudent approach .Employees should be employed for at least twelve months and have completed your probationary period..
- The sector in which you work should have long term prospects as should the organisation for which you work.
- The more skills and qualifications that are relevant in today’s world – the better.
4. Can you demonstrate good financial management?
- Good regular savings record
- Minimum of personal debt and credit cards cleared monthly
- Prudent spending habits
- If you have taken out loans in the past – there should be no missed payments
- No online gambling
- Try and keep it simple- not too many bank accounts – savings simple to follow