re-mortgaging with UB for €30k

S

shootingstar

Registered User
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Hi All.
can someone help me with this...
I have a mortgage of 160k with ub which began feb 2004. im on the european tracking rate which is currently at 4.4% (due to rise again shortly i believe)
I pay €698 a month back on it (thats incl TRS)
was thinking about re-mortgaging for about 30K.

Maths was never my strong point? :eek:

any clues?

Cheers
Star
 
Not sure what your question is? You can top up with UB by up to €63,500 or 80% of the property value - subject to criteria - with no legal fees or outlays other than, possibly, a re-valuation of your house. You would need additional life cover/mortgage protection. Or you could shop around for a new mortgage of €190,000 (or whatever your current balance is + €30,000) with NIB, Bank of Scotland or A N Other lender.

Sarah

www.rea.ie
 
Hi Sarah
thanks for that. My Q was (which i didnt put in) "did anyone know roughly how much i`d be paying back if i was to take the 30K out over the remainder of the mortgage (27yrs left on it)

my house has gone up over 100K in value since purchasing it.
 
€30,000 x 27 years @ 4.6% (check the rate with IIB) excluding insurance and tax relief is €162 per month. You could pay it back over a shorter term - anything from 3 years upwards.

Sarah

www.rea.ie
 
Sorry to jump in and hijack this thread... :eek:

Sarah, do you mean that if you top up your mortgage you can opt to pay the extra part of the loan (the 'top-up') over a shorter period, but still get the same low mortgage rates?

I'm thinking of topping up my mortgage with UB as well. I was going to shop around and switch (preferably to NIB as my LTV is around 65% now) but I've just gone self-employed and reckon they won't touch me. Would this have any effect on my top-up application with UB in your experience?

Shooting star, here's a great calculator for checking rates/repayment costs.
 
Each case is assessed on it's own merits - for someone who is newly self employed it's difficult for the lender (and often the applicant!) to work out if the income is going to be sufficient to service the mortgage. The exception is for people who have moved from being PAYE to contracr work in the same industry (IT professionals and couriers are the two examples that spring to mind). However there is no harm in talking to your lender about a top up - they may turn you down but this will not harm your credit record.

Most lenders will allow top ups to be taken over a different term to the base mortgage as long as the additional loan is not longer than the existing mortgage.

Sarah

www.rea.ie
 
Sarah W said:
The exception is for people who have moved from being PAYE to contracr work in the same industry (IT professionals and couriers are the two examples that spring to mind).
Click to expand...

Sorry Sarah, that's very interesting - are you saying that such recently transitioned people still have a fair chance of mortgage approval, despite not having three years' audited accounts etc.?

Would calculations be based on their new (contract-based, annualised) income or previous PAYE yearly earnings? Any other issues around this?

Thanks a million!
 
If you are on contract lenders will normally use this to calculate your annual earnings along with your last P60 or P45 to confirm your income history so people opting from PAYE to contract within the same industry do not normally require accounts although you will need an accountant's letter to confirm your tax affairs are up to date.

Obviously if you used to be a lollipop person (non gender specific!) and now are earning €trillion as a brain surgeon they just might want to see 6 months earnings going into your bank account :D

It's a case-by-case scenario so talk to your lender. Having good bank statements and a clean credit history are vital.

Sarah

www.rea.ie
 
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