Is getting a mortgage realistic on this income?

M

magicalmoney

Registered User
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1. Is getting a mortgage realistic on this income
Annual Income 28k
Savings 10k
Mortgage value required 160,000

2.Savings spread as follows-is this a good mix
Aib online 7 notice 6000
Rabo 2000
Prize bonds 2000

Thanks
 
No.
You are looking for a LTV of over 94%.
You are looking to spend over 6 times your annual salary.
Your net pay is going to decrease in the next budget.
Interest rates are most certainly going to continue increase in the next few years.
 
You will need at least 8-10% deposit (lenders offer 90-92% LTV maximum), funds for legal fees, house furnishings and any unexpected costs.
 
Allowing for deposit, legal fees, furnishings, decorating you're looking at a minimum of €20k, if you can get a mortgage for the rest.

However, based on your current salary, you may struggle to get a mortgage for what would be 5.3 times your basic salary. If you assume the bank will only give you 4 times your salary, then you'd be looking at needing in excess of €50k to cover deposit and costs

I
 
I'm not sure if you are single or what your circumstances are but it would appear you may be better off trying to buy a place with somebody else if at all possible. Otherwise you will be looking at getting a place in the region of 100K, not 160K.
 
goingforgold said:
I'm not sure if you are single or what your circumstances are but it would appear you may be better off trying to buy a place with somebody else if at all possible.
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That has it's own problems; fine if you think you can sell up whenever you want. Otherwise, you are stuck living with someone for the foreseeable future; not ideal if you suddenly decide to get married, for example.
 
Thanks all for replies.SteveW9 regarding your qs its something everybody wants to do at some stage.Think you are correct though and better wait as things will be getting cheaper is we are to believe all reports
 
SparkRite said:
Ehh........now let me see..........Maybe because they are........ehh........cheap?
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Ehh............... now let me see.................... half a mill for a 3 bed semi in Templeogue cheap?

Houses today are certainly not cheap
 
lionstour said:
Ehh............... now let me see.................... half a mill for a 3 bed semi in Templeogue cheap?

Houses today are certainly not cheap
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Ah look, they are way way cheaper than they were 18/24 months ago.

Even the dogs on the street know that its a buyers market at the moment.

Re: the semi above, has it sold for half a mill???
What was the asking say 2 years ago???
Have a look and see what similar houses in the area were realizing then !!

See what I mean somewhat cheaper to buy now.
 
I think he means they seem cheap compared the prices we've seen during the bubble, compared to prices in a normal market they remain very expensive (based on historical prices, prices in other countries or using metrics like price to rent, price to income and so on)

tvman
 
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