Would like to move. Pros and Cons of losing a 0.5% tracker?

Butter

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We have a tracker of 0.5% with Danske Bank (was National Irish Bank). We'd love to move but giving up such a good tracker is a big consideration. We're thankfully not in negative equity & would have a deposit of between 40% and 50% of thenew property value.

Has anyone had any joy in doing a deal with Danske Bank over a tracker mortgage?

Has anyone managed to do a deal with another bank over a tracker? Eg PTSB & UB are allowing people to move their tracker (plus a margin) to another property. Has anyone ever managed to move a tracker to another bank?

And even are we crazy for considering giving up this tracker? I feel like it is both a financial blessing and a financial handcuff at the same time.

I suspect I am wishing for something that isn't possible. Would be grateful for any opinions or thoughts though.
 
Good luck with that , its like dealing with iain Paisley, but keep us informed if anything positive
 
http://www.askaboutmoney.com/showthread.php?t=181420

I am in a similar predictament.

I also have a Danske 0.5% tracker mortgage.

My interest bill is very low at 50 per month, extremely cheap money.

But my job is moving in next 2 years.

So it looks like I'll have to sell, make a huge capital loss, and lose a really cheap tracker mortgage.

See data in post above.
 
@Butter & Protocol : I guess it's a predicament. I've always thought that if I had to move (and its quite possible circumstances may change in the next couple of years), then I'd hold on to the tracker - and therefore the property - in any event. I know they may be able to throw me off of it - if they found me renting it out - but I'd give it a damn good try first.

It's the cheapest financing any of us will ever see. Absolutely no indication thus far that they will do a deal. Will have to see what happens once they have the offset/custody/regular current accounts shut down as to what their next move is.

I had been keen on a deal for some time but more recently, I'm thinking even if a deal was offered, it's never going to reflect the true value of the tracker. Most likely I'll keep it - and if I have to (or want to) buy elsewhere, I'll use savings and/or wait to accumulate some more savings to make that viable.
 
http://www.askaboutmoney.com/showthread.php?t=181420

I am in a similar predictament.

I also have a Danske 0.5% tracker mortgage.

My interest bill is very low at 50 per month, extremely cheap money.

But my job is moving in next 2 years.

So it looks like I'll have to sell, make a huge capital loss, and lose a really cheap tracker mortgage.

See data in post above.

Thanks for the link Protocol. I will read theough that & come back to you if I come up with anything.
 
@Butter & Protocol : I guess it's a predicament. I've always thought that if I had to move (and its quite possible circumstances may change in the next couple of years), then I'd hold on to the tracker - and therefore the property - in any event. I know they may be able to throw me off of it - if they found me renting it out - but I'd give it a damn good try first.

It's the cheapest financing any of us will ever see. Absolutely no indication thus far that they will do a deal. Will have to see what happens once they have the offset/custody/regular current accounts shut down as to what their next move is.

I had been keen on a deal for some time but more recently, I'm thinking even if a deal was offered, it's never going to reflect the true value of the tracker. Most likely I'll keep it - and if I have to (or want to) buy elsewhere, I'll use savings and/or wait to accumulate some more savings to make that viable.

Funnily enough I did suddenly think of something similar myself this morning. Lots to think about but it's a possibility, & would also need an accomodating lender! I've done some sums though & it could be a potential solution.
 
I am in the same position, (0.5%) I had contacted danske and they were offering me a deal to move and keep tracker with a new 0.99 above ecb. Then I went to look for a property and within the following two weeks danske announced they were leaving the irish market. The deal was lost. Another institution will take over the mortgage book, maybe a deal could be arranged then.
 
I am in the same position, (0.5%) I had contacted danske and they were offering me a deal to move and keep tracker with a new 0.99 above ecb.
Well, this is interesting. I'm open to correction - but to the best of my knowledge, you are the first person ever to report a potential deal with danske on moving a tracker (even if it did subsequently fall through).


Another institution will take over the mortgage book, maybe a deal could be arranged then.
Were you categorically told this by Danske?
 
And even are we crazy for considering giving up this tracker? I feel like it is both a financial blessing and a financial handcuff at the same time.

.

I take a totally different view on this, I think people are crazy to stay put just because of a tracker. Moving to a suitable house that one can afford is a no brainer.
 
I tend to agree with Bronte here.

None of these posters have shown their overall picture, but the tracker can only be a small part of it. All the talk about trackers seems to have made the issue seem more important than it should be.

If you want to move for whatever reason, job, growing family etc. the only question is can you afford to buy the new house you want.

Without more info. it is not possible to give a proper response
 
As the last two posters have said if you need to move and you can afford to move, then move. Don't end up raising a family in a totally inadequate home just to save a few euros on the mortgage.

Don't end up like those old farmers sitting in a derelict farmhouse, with no plumbing, no heating, a big hole in the roof and a hundred grand under the bed.

Don't put your life on hold because you can't bear to part with a few quid.
 
And even are we crazy for considering giving up this tracker? I feel like it is both a financial blessing and a financial handcuff at the same time.
Not crazy. It's a blessing when you are happy where you are. It only becomes handcuffs if you'd "love" to move and you let the tracker be the deciding factor. If a move improves your quality of life or makes you happier, and you can afford it, is that not worth more than a few percent on your mortgage rate? I gave up my +0.5% tracker in 2011 with a 'meh' (it was good while it lasted though).
 
Yes I had this new deal confirmed by danske, mortgage approval in principal under new mortgage rate
 
That's the first time I have heard about that possibility with Danske devil. Very interesting & such a shame the timing was wrong when they decided to pull out.
Maybe if Danske sell the loan book it may become a future possibility again. It will be a guessing game as to timing though.

Thanks for all the replies - sorry I left it so long to comment again.

In our case we have decided that we won't let the tracker be the deciding factor as to whether we move or not. Our current house is grand, we're actually happy here and our mortgage, relative to income, is low. But we've done everything we can to this house, including an extension, & I don't want to stagnate for the next 25 years until retirement. We can afford a bigger mortgage, and I have priced in a big increase in interest rates and we'd would like to take on a house that gives us a few projects to work on.

We have just put an offer on a house that had been sitting on the market for a while - probably because of the work that needs done. My husband warned me that as soon as we put the offer on, we'd hear that another bidder was in the picture. Less than 24 hours later, the EA was on to me to say that another €10,000 had just been bid! My husband - the fortune teller! So now my dilemma is different - real or imagined bidding war. It's never easy!
 
So it was sitting without offers for a while and BOOM, two offers in a while. Tell them your offer stands as is and you'll wait for them to come back to you!
 
My cynical head said exactly that too & that's what we did.

But apparently bidding on houses at the moment is like bidding on eBay - a certain bidding madness takes over once one person decides a house is worth buying, all the hangers-back come out of the woodwork! The house has now been pushed up by €45,000 since this time last week. Last week it hadn't reached the asking price after 5 months!

We're not interested in going higher than we offered, although we seem to have started the bidding war.

I'm not entirely sure what the hell happened!

And I'm not sure if there's really a shortage of family homes in certain areas or not? I suspect the problem is shortage of homes on the market in certain areas.
 
2 things odd about the bidding war. No bids for 5 months and the house needs work. Wouldn't be many people who not only have mortgage approval but also have the cash for work.

But if this is in Dublin and it's a decent family home, well that's an actual market so it's entirely possible.
 
I take a totally different view on this, I think people are crazy to stay put just because of a tracker. Moving to a suitable house that one can afford is a no brainer.

It depends on what the tracker mortgage monthly is, and what a new mortgage monthly payment. I've a three-bedroom house in Dublin with an ECB+0.5% mortgage rate; costs less than €875 per month. If I was to replace the mortgage with a going rate mortage I'd be paying about €400 per month more. And that's without even moving house. A trade up would cost even more again!
 
We have a tracker of 0.5% with Danske Bank (was National Irish Bank).

Mine is at the same rate but different BOI. This is what I did:
I moved out, rented out the house and said nothing to the bank.
I expect to buy a new house this year and will get a mortgage from PTSB.
Mortgage broker said my approach was the best possible. Say nothing to BoI.
 
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