Max LTV mortgage for second time buyers

G

gazzer

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Myself and my partner (both Civil Servants) were considering buying a house later this year. We sold our first house almost a year ago and have been renting ever since. We were looking for a mortgage of 225,000 on a house valued at 250,000

I made an application to EBS but they told me that they only give 85% mortgages to second time buyers. We also made an application to AIB. Even though we earn 95000 between us, have 45,000 savings between us and one loan of 10,000 they refused our application. Their reason for refusing it was that they felt that we should have more savings than we do. We had 38,000 left over after the sale of the house and we have saved another 7000 over the last 10 months. However we have also been buying furniture in stages (our rented house is unfurnished) so that we can move it all into the new house when we buy it.

Im just wondering if there are any lenders out there who will give 90% mortgages to second time buyers ?

Thanks

Gary
 
Hi Gary,

Bank of Ireland 90%
ICS Building Society (broker arm of BOI) 92%


I'm surprised that AIB have declined you but it seems that these days it depends on the mood of the underwriter on the day they look at your application. You should fare better with ICS or BOI
 
Hi there. I don't know the answer to your question - are any lenders out there who will give 90% mortgages to second time buyers - off the top of my head.

I know this isn't the information you were looking for, but why do you need a 90% mortgage?

15% of the €250,000 purchase price is 37,500. If you took EBS's 85% mortgage, you would still have €7,500 left from your savings. Your stamp duty is only €8,750, and if you are earning 95k a year, you'll save the €1,250 in no time. Your furniture is already bought. So why not just take EBS's 85%? You don't need any more.
 
Ghodadaba said:
Hi there. I don't know the answer to your question - are any lenders out there who will give 90% mortgages to second time buyers - off the top of my head.

I know this isn't the information you were looking for, but why do you need a 90% mortgage?

15% of the €250,000 purchase price is 37,500. If you took EBS's 85% mortgage, you would still have €7,500 left from your savings. Your stamp duty is only €8,750, and if you are earning 95k a year, you'll save the €1,250 in no time. Your furniture is already bought. So why not just take EBS's 85%? You don't need any more.
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Well the house we are looking at is a builders finish so we would need to get wardrobes, white goods etc. Also we would have to pay solicitors fees and we will need to buy a car (a cheap second hand one) as the house is quiet rural and is 20 miles from work. At the moment we are renting a house that is only 5 minutes walk from work. We good just about manage it I suppose with the savings we have but to be honest I would like to have a couple of grand at least in the bank just to fall back on for emergencies.

I suppose we could just wait until later in the year and continue saving. Its just that the house we are interested in is really nice, very big and in a lovely area.
 
NorfBank said:
Hi Gary,

Bank of Ireland 90%
ICS Building Society (broker arm of BOI) 92%


I'm surprised that AIB have declined you but it seems that these days it depends on the mood of the underwriter on the day they look at your application. You should fare better with ICS or BOI
Click to expand...

Cheers NorfBank. I will pop down to Bank of Ireland at lunchtime.
 
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