Deferring mortgage for 18 months

No.1 Fan · #1 13-12-2006, 09:26 AM

Hello All

Wondering if you can help. I was thinking of possibly going back to college to do a post-graduate course for 18 months and as I would not be working is there anyway the mortgage could be deferred for the time I would be attending college ?

Also what grants are available for mature students who are going back to college to do a post-graduate course ?

Many thanks

No.1 Fan

CCOVICH · #2 13-12-2006, 09:34 AM

I haven't heard of any banks giving payment holidays for that sort of time.

You would be better of starting another thread in Careers/Training etc. on the grants issue.

Satanta · #3 13-12-2006, 10:30 AM

Quote:

Originally Posted by CCOVICH

I haven't heard of any banks giving payment holidays for that sort of time.

The usual time frame for deferral of mortgage payments is 6 months. No harm in meeting with your lender and discussing the options, given a higher qualification at the end etc. they may be able to provide additional help in this case.
If you are quiting your job rather than taking a career break they may not look on it as kindly.

delboy159 · #4 13-12-2006, 11:05 AM

I heard (not met or knew) of a girl who managed a 2 years deferral so she could leave her 9 to 5 job and pursue an acting career. saying that - I think the house was worth 5 times more than the mortgage so LTV was very low - and she was a former bank employee - but it shows the banks can be flexible....

bobk · #5 13-12-2006, 11:50 AM

It's highly unlikely that you will get a deferral for 2 years.
Depending on the lender and the reason, you can get upto 6 months deferred payments

You would possibly be better off going interest only for a 2 year period which could take upto a third of the repayments for that period.

Talk to your college about the grants & social income that may be available

CCOVICH · #6 13-12-2006, 12:25 PM

Quote:

Originally Posted by bobk

You would possibly be better off going interest only for a 2 year period which could take upto a third of the repayments for that period.

Interest only is only a viable option if you are well into your mortgage term. In the initial years, a very high % of your monthly repayment will be interest.

bobk · #7 13-12-2006, 01:40 PM

Quote:

Originally Posted by CCOVICH

Interest only is only a viable option if you are well into your mortgage term.

Interest Only is a viable option, and sometimes the ONLY viable option, for when someone wishes to lower their repayments for a specific amount of time.

CCOVICH · #8 13-12-2006, 02:11 PM

Quote:

Originally Posted by bobk

Interest Only is a viable option, and sometimes the ONLY viable option, for when someone wishes to lower their repayments for a specific amount of time.

The OP is going to be attending college and not working, hence have no income to pay the mortgage (they want to defer as opposed to merely reduce repayments). Therefore, unless they have substantial savings, or qualify for financial assistance, or take a part-time job (may not have time while if doing a masters degree), I can't see how they will make any repayments.

But the OP hasn't given details of their current mortgage, or overall financial situation, so it is not really possible to say how viable interest only is in this case.

No.1 Fan · #9 13-12-2006, 03:29 PM

Hi All

Many thanks for all the replies, CCOVICH is indeed correct, I would be attending college and therefore would not be in a position to repay the mortgage commitment which is approx Euro 1,100 per month.

The value of proerty is circa euro 360K and mortgage is circa 200K over 30 years. I wouldn't have substantive savings either.

What finanical assistance if any do you think I could qulify for if I am doing a post-grad ?

Regards,

No. 1 Fan

ClubMan · #10 13-12-2006, 03:42 PM

Could you avail of the owner occupier rent a room scheme and collect rent up to €7,620 p.a. tax free and use that to pay the mortgage - especially if you could go interest only?

Eurofan · #11 13-12-2006, 07:20 PM

Quote:

Originally Posted by No.1 Fan

What finanical assistance if any do you think I could qulify for if I am doing a post-grad ?

Zero.

Would it be possible to combine renting a room as Clubman suggest with part-time work during the academic year and full-time otherwise? This would be very tough though.

I was in a very similar situation last year and simply sold up, pocketed a substantial profit, and am comfortably renting for the time being with no actual need to work.

Harlequin · #12 13-12-2006, 07:40 PM

There IS financial assistance available for postgrads - I should know, I'm getting it. It's not a lot - I get some fees and about enough to cover my rent for the year - and it is means-tested so you may not qualify, but it's worth a shot. Try citizensinformation.ie for information.

Eurofan · #13 14-12-2006, 01:23 AM

Quote:

Originally Posted by Harlequin

There IS financial assistance available for postgrads - I should know, I'm getting it.

I stand corrected. Could you elaborate on how much you get etc?

ClubMan · #14 14-12-2006, 09:34 AM

Anything useful on OASIS?

Education

Harlequin · #15 14-12-2006, 12:54 PM

My fees are huge so I won't get all the money for them but it's all welcome. I will get around €5k towards my fees and €3110 for the year. The €3110 will be split into three parts - just over €1k per term. AFAIK, that's the max a single person with no kids who's independent of their parents can get and if you live within a certain distance of your college, you won't get that much. Also, certain courses aren't eligible and so on.

I got all the info I needed off OASIS/citizensinformation.ie and the education.ie site and by calling my local county council and talking to them about it - they were really helpful.

ClubMan · #16 14-12-2006, 12:57 PM

Quote:

Originally Posted by Harlequin

I will get around €5k towards my fees and €3110 for the year.

Under what scheme(s)?

Harlequin · #17 14-12-2006, 01:06 PM

Higher Education Grant scheme for postgraduate study, administered by my local county council.