I bought an apartment 3 years ago for €140k. I was able to buy it without a mortgage, having come into some money through a bereavement. The market value of the apartment today is approx. €210k.
I contacted BOI today to ask if it was possible for me to take out a mortgage on the apartment now. They asked if I lived in it or it was an investment property. I stay in it 2 nights a week for work, and my brother lives in it full time. They said this meant it was an investment property.
The said equity release would be "tough". I would only be able to borrow up to 50% of what I paid for it, and that I would have to demonstrate that I was able to buy it outright through saving.
This seem extraordinary to me. If I were buying a new investment property, I'd be able to borrow up to 80% of the value, and what if I had bought the property 20 years ago? Would I still only be able to borrow 50% of what I paid for it?
Is this the norm for lenders? Does anyone know I specialist lender who could assist me?
I contacted BOI today to ask if it was possible for me to take out a mortgage on the apartment now. They asked if I lived in it or it was an investment property. I stay in it 2 nights a week for work, and my brother lives in it full time. They said this meant it was an investment property.
The said equity release would be "tough". I would only be able to borrow up to 50% of what I paid for it, and that I would have to demonstrate that I was able to buy it outright through saving.
This seem extraordinary to me. If I were buying a new investment property, I'd be able to borrow up to 80% of the value, and what if I had bought the property 20 years ago? Would I still only be able to borrow 50% of what I paid for it?
Is this the norm for lenders? Does anyone know I specialist lender who could assist me?