WarrenBuffet
Registered User
- Messages
- 173
Hi,
Feel we can go sale agreed on a house but are concerned about impact of recent central bank proposals on house prices.....there is a lot of uncertainty and we can wait if needs be. We have been waiting to purchase (and saving like mad) over the past few years. We have also noticed a substantial drop in asking prices over the past 4 - 6 weeks.
However, this post is not about price speculation - need a crystal ball for that. We are trying to get a handle on the likely mortgage approval we could get in 2015 - our bank is stating they don't have new systems in place to do this at the moment (!) and that their current mortgage calculations are based on a set of affordability metrics rather than loan to income multiples
We already have a house on a tracker (+1.35 on ECB). Mortgage is about €1250pm. We currently have it rented out for 800€ monthly. Could probably get €1000 but tenants are great, there long term and really look after the place. We have a mortgage of about €320,000, recently similar houses seem to be selling for 225/240k. Although house not fully paying for itself we don't want to sell it at moment.
Our combined wage is €170k and we have savings of €220 k - we save about €2.5k to €3k per month.
We are hoping to buy in a house for about €650k. We have currently been approved for a mortgage of 450k.
What are our chances of getting a mortgage of €450k for a property under the proposed new rules? How will the loan to income multiples be calculated when one already has an existing property?
Any advice greatly appreciated.....
Feel we can go sale agreed on a house but are concerned about impact of recent central bank proposals on house prices.....there is a lot of uncertainty and we can wait if needs be. We have been waiting to purchase (and saving like mad) over the past few years. We have also noticed a substantial drop in asking prices over the past 4 - 6 weeks.
However, this post is not about price speculation - need a crystal ball for that. We are trying to get a handle on the likely mortgage approval we could get in 2015 - our bank is stating they don't have new systems in place to do this at the moment (!) and that their current mortgage calculations are based on a set of affordability metrics rather than loan to income multiples
We already have a house on a tracker (+1.35 on ECB). Mortgage is about €1250pm. We currently have it rented out for 800€ monthly. Could probably get €1000 but tenants are great, there long term and really look after the place. We have a mortgage of about €320,000, recently similar houses seem to be selling for 225/240k. Although house not fully paying for itself we don't want to sell it at moment.
Our combined wage is €170k and we have savings of €220 k - we save about €2.5k to €3k per month.
We are hoping to buy in a house for about €650k. We have currently been approved for a mortgage of 450k.
What are our chances of getting a mortgage of €450k for a property under the proposed new rules? How will the loan to income multiples be calculated when one already has an existing property?
Any advice greatly appreciated.....