Negative Equity Mortgage- would we get approval?

Hi
I just looking for opinions/advice on what chance we would have getting a negative equity mortgage.
Salary: 1: €33,000, 2: €33,000 both public sector, ages 38 & 35
Savings €27,000, saving €500 per month
Biggest outgoings are Rent: €1350 pm & Childcare: €800 pm

Bought 2 bed apartment in 2007 which is now in €107k neg equity. This is being rented out at the moment as we now have 4 kids & cannot physically fit there. Mortgage is a tracker with Ulster Bank, 1.15% above ecb. mortgage is €207k, apartment is worth €100k. Rent every month covers the mortgage.
We are renting a house in the area but rents keep increasing, landlord has just increased our rent by 20% & there are very few suitable houses in area to rent.
Ideally we would like to buy a 3 bed house in area- approx €250k & sell apartment and take the €107k neg equity to the new mortgage. Ulster Bank are doing neg equity mortgages now. Really I just want to know have we any hope before I even approach the bank? Thanks for all help.

Go in and talk to them is what I'd say. I was in with them today - they have a new product that allows people like you and me to move home... when you are in the situation you are in. The fact that you have savings will help your case. I don't and they said they may still help me. Only main difference between us is that we are still living in the property.