Limited Impact of Central Bank mortgage rules on FTBs

Sarenco

Registered User
Messages
7,176
[broken link removed]

Average (mean) value of property acquired by FTBs in 2015:-
  • Out of scope of CB regulations - €230,424
  • In scope of CB regulations - €234,599
Average (mean) loan to income (LTI) ratio for FTBs:-
  • Out of scope of CB regulations - 2.9
  • In scope of CB regulations - 2.8
Average (mean) loan to value (LTV) for FTBs:-
  • Out of scope of CB regulations - 80.7%
  • In scope of CB regulations - 78.9%
It's hard to understand the media and political hysterics on the basis of those figures.
 

Sarenco

Registered User
Messages
7,176
So is there any evidence that fewer FTBs are getting mortgages since the introduction of the Central Bank's mortgage rules?

Not that I can find.

Per the IBF figures, the number of FTB mortgage approvals rose by 8.8% year-on-year while the value of such approvals rose by 16.9% (to end May 2016).

[broken link removed]
 

Brendan Burgess

Founder
Messages
47,350
Here is the full table from that report. There is no difference between the loans approved before the rules came into effect and the loans approved afterwards.

upload_2016-8-24_11-19-37.png
 

Brendan Burgess

Founder
Messages
47,350
First time buyers are using the exemptions to borrow a lot more . "With an allowance" means within the 15% who exceed the LTV limit.

upload_2016-8-24_11-33-42.png
 
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