AH mortgages

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adm2006

Registered User
Messages
37
Hi,
i had a slightly confusing conversation with a boi mortage
adviser today.
I told her that the top price for the appartment i was offered
is 295K.
She said they offered a 97% mortage -286K

But they only offer 4.75 times a persons income.
my income is 40K so they could only offer me 190K

Which leaves me with close to 100K to magic out of thin air.

Is all this right and is their any alternative - will all banks be similar.
If so i will not be able to afford my affordable home.

Thanks.
 
If you cannot obtain 4.75 times your income, then its not affordable! Particularly with the fact that its a rapidly falling market out there. Get on to AH and get them to send you out properties that fall within your budget or have a re evaluation done.
Sounds like a big price for ah, where is it can I ask?
 
Why don't you go to First ACtive or EBS or IIB Homeloans?? They do not work off mutiples of your salary. As a general rule the monthly repayments cannot exceed 40% of your monthly income.

Anyone I know who has gone to BOI to see can they be approved have been offered way below the required amount.
 
adm2006,

I had the same conversation with BOI who I've banked with for the past 15 years.....price range for AH is 262 - 275K...have my SSIA with BOI and have been adding to it since it matured....earning 42K in full-time permanent employment for the past 11 yrs and they had the audacity to ask me could my parents give me the short-fall of €40k!!!! I was so astounded I didn't even loose the rag with them!!! The most they were offering me was 90%....€210k!!!

Then to add insult to injury they tried to flog me another savings account before I left, they even had the cheek to say if I came up with the 40K they'd be more than happy to "do whatever it takes".....so disgusted once I get my final mortgage approval with whoever I decide to go with I'm closing all my BOI accounts.
I went to Simply Mortgages and they got me much better quotes from EBS and Haven...try a broker! Even SM were surprised with BOI but he said they don't want to touch AH candidates with the way things are going now!!!
It's insulting though....Im on a reasonably good salary, with good annual bonuses and they made me feel like I was on the bread-line...and more or less insulted my single status to boot!!!!
 
Thanks for that FTB - i'm a bit reassured.
The appartment is in Royal Canal Park.
Prices are 250-295K - haven't seen it yet so i dont know
why the different prices.
 
Most of the banks do 100% mortgages too...i'm buying in RCP, 2 bed and its 287.....DCC's market value is 375.
 
adm2006 said:
Thanks for that FTB - i'm a bit reassured.
The appartment is in Royal Canal Park.
Prices are 250-295K - haven't seen it yet so i dont know
why the different prices.
Click to expand...

I'm taking it that the difference in price range is based on ground floor, 1st floor etc etc....but who knows when it comes to DCC! :confused:

I went to have a nosey around RCP on Mon evening as I was offered there as well....can't say I was all that impressed tbh....but think I went in the wrong entrance (off the Ratoath Rd - horses roaming around and the surrounding area looked a bit dodgey but maybe that's just me). I've heard the apts in there are quite small and I think they have a high refusal rate but you can't ever really know til you get inside for a good look around.
Have you got an appointment for a viewing yet, I was told last week it'd be in the next week or 2.....not gonna make any decisions until I see the interior anyway.
 
Haven't been given a viewing yet.
I'm hoping next week as well.
I had a look around RCP and the area seemed ok to me.

lollops:
did you see a few appartments? can you explain the prices?

Did you renegotiate the clawback or was the councils valuation correct.

Cheers.
 
I saw about 8 apartments in the one block.....they were basically the same layout, just on different levels. The one we picked was the dearest coz it was top floor and slightley bigger than the rest. (690sq) which is very small anyway.

Ground floor was 255,000, and 66sq size was 277, 69 sq was 287.

I'm getting the valuation report on monday but i think its pretty much within DCCs.
 
lollops said:
I saw about 8 apartments in the one block.....they were basically the same layout, just on different levels. The one we picked was the dearest coz it was top floor and slightley bigger than the rest. (690sq) which is very small anyway.

Ground floor was 255,000, and 66sq size was 277, 69 sq was 287.

I'm getting the valuation report on monday but i think its pretty much within DCCs.
Click to expand...

hey lollops,
Which block is your one in? Can you let us know what your evaluation came out at cos I've had a look at these on DAFT and their priced as follows:
Watermint Court 2nd flr: 345K
Discovery: ground flr: 365K
Meridian 2nd flr: 365

Think these might all be 2nd hand though but there's also 9 apartments in the one add on Daft going for "from €350K"...I was told Lisney were looking after RCP but the 9 are going through Hooke and McDonald.:confused:
 
yeah, it is lisney.....ours is a new block, Horizon. I have to say, the kitchen and bathrooms are fab. Lovely finish on these apts, and i did the snag and nothin major at all.
 
hooke and mcdonald are also selling them though....but lisney are looking after the AH ones
 
FTB1975 said:
adm2006,

I had the same conversation with BOI who I've banked with for the past 15 years.....price range for AH is 262 - 275K...have my SSIA with BOI and have been adding to it since it matured....earning 42K in full-time permanent employment for the past 11 yrs and they had the audacity to ask me could my parents give me the short-fall of €40k!!!! I was so astounded I didn't even loose the rag with them!!! The most they were offering me was 90%....€210k!!!

Then to add insult to injury they tried to flog me another savings account before I left, they even had the cheek to say if I came up with the 40K they'd be more than happy to "do whatever it takes".....so disgusted once I get my final mortgage approval with whoever I decide to go with I'm closing all my BOI accounts.
I went to Simply Mortgages and they got me much better quotes from EBS and Haven...try a broker! Even SM were surprised with BOI but he said they don't want to touch AH candidates with the way things are going now!!!
It's insulting though....Im on a reasonably good salary, with good annual bonuses and they made me feel like I was on the bread-line...and more or less insulted my single status to boot!!!!
Click to expand...

This is a bizarre post. You went to your bank. You asked to borrow money from them. In their professional opinion, they believe that you may not be able to afford the repayments on the loan you requested. So they declined. And you seem to be taking it personally?

If you had asked to borrow €1 million, would you be offended or insulted if they declined?

It's truly mind-boggling in 2008 to hear that there are still people out there who want to borrow more than they can afford, in a property market where values are falling, an economy that's getting shakier by the day and with the very-real possibility that interest rates may rise again as the ECB attempts to combat inflation.

Your advice to adm2006 who was in a similar situation is to find a lender who may offer more than five times annual income?

€286,000 x 30 years at 5.5% = €1,624 per month.

A single person on €40,000 is probably taking home around €2,700 per month. Loan repayments would therefore account for over 60% of take-home pay, without factoring any rate increases. :eek:

Bank of Ireland are doing you a favour.
 
Dave i would tend to agree with your post, I am in the process of considering an affordable housing offer and felt myself almost arguing with the EBS broker as to how we could afford the amount he was offering us. Rang BOI who approved us for €50k less than EBS so the bank has no gone up in my estimations for acting more responsibly. We need to be thankful that the banks are becoming more realistic and realise that even still the max amount you are approved for may not really be affordable, depending on the lifestyle you wish to have.
 
Dave Vanian said:
This is a bizarre post. You went to your bank. You asked to borrow money from them. In their professional opinion, they believe that you may not be able to afford the repayments on the loan you requested. So they declined. And you seem to be taking it personally?

If you had asked to borrow €1 million, would you be offended or insulted if they declined?

It's truly mind-boggling in 2008 to hear that there are still people out there who want to borrow more than they can afford, in a property market where values are falling, an economy that's getting shakier by the day and with the very-real possibility that interest rates may rise again as the ECB attempts to combat inflation.

Your advice to adm2006 who was in a similar situation is to find a lender who may offer more than five times annual income?

€286,000 x 30 years at 5.5% = €1,624 per month.

A single person on €40,000 is probably taking home around €2,700 per month. Loan repayments would therefore account for over 60% of take-home pay, without factoring any rate increases. :eek:

Bank of Ireland are doing you a favour.
Click to expand...

DV,
I see you're point and BOI probably are doing me a favour in the long run....forgive the over-emotionalness of my post but I was rightly peed off with their attitude more than the fact that they wouldn't consider me as a desirable candidate....in fairness my single status has no bearing on my ability to replay a mortgage...I could be all loved-up ansd still buying on my own!!!

In fairness though EBS and Haven offered me a lot more than BOI and I know for a fact a number of my friends/colleagues have all been aprpoved for mortgages that are roughly 5 times their salary. I agree with the point you've made and true....I woudn't want to be in a situation where I'm facing re-possession but then it begs the question....why are EBS, Haven and other financial instituions more than happy to offer a mortgage to someone who in the heel of the huint may not be in a position to keep up repayments?!
Anyway I dont want to start up some sort of too-ing and fro-ing of posts here......just wanted to explain myself better.
Cheers.
 
Hey! Does anyone know if BOI still do Breakthrough Mortages? Was just looking at it but obviously the banks are closed now so i can't ring ha! Also, just been offered a house in Clifden Road Ballyfermot - dying to view it!! One last thing, for Approval in Principle, do i need to get time off work to go to the bank or can that bit be done over the phone??
 
jenben1982 said:
As a general rule the monthly repayments cannot exceed 40% of your monthly income.
Click to expand...

Hmm. What happens if you get paid 13 times in a year? I end up being paid twice in one month during the year. Would a bank take that into consideration?
 
Multiply your monthly income by 13 and divide by 12, thats what the bank should base its 40% rule on.
 
Hi all,

I have booked a house in the Paddocks adamstown, The AH price is 290k, i have a loan approval for 247k. i have 20k of savings. i am wondering can i borrow the remaining 27k from credit union? Can i borrow this money after the contract sigining?
Thanks, Janubaba
 
Emma1980 said:
Hey! Does anyone know if BOI still do Breakthrough Mortages? Was just looking at it but obviously the banks are closed now so i can't ring ha! Also, just been offered a house in Clifden Road Ballyfermot - dying to view it!! One last thing, for Approval in Principle, do i need to get time off work to go to the bank or can that bit be done over the phone??
Click to expand...

Hi Emma1980,
You'll be lucky to get a mortgage with BOI for Aff Housing.....had my viewing on Thurs last and was talking to a guy from the irish Mortgege Corporation....he infomred me they're not touching Aff Housing applicants anymore and when I enquired with them about 3 months ago they would only give me 220K....Haven are giving my 250k.
Try IIB, EBS, Haven...they seem to be still happpy to take on Aff Housing customers, TG!

Also on your AIP....you can get it all done over the phone, if you've access to a fax you'll definitely get it sorted from work...you'll need copies of pay-slips, a statemend of income filled in by your HR dept, copies of bank statements etc. I did all mine from work and got the AIP the following morning....go to a mortgage broker and they'll tell you exactly whan you need to do.
 
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