Mortgage Moratorium

F

FinCork

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Hi,

my wife owns an apartment in positive equity with 190k owed and a value of 250k. It was bought back in 2005 as a PPR and subsequently we have moved on and bought a family home.

recently she was lucky enough to get a 3 day week to spend more time with the kids. As a consequence money is a good bit tighter and to help us settle this year's tax bill on rental income on the apartment and give us some leeway we applied for a moratorium of 3 months as we are entitled to in the contract.

AIB came back today stating because its an investment property we are not entitled to this break. I'm fairly dubious about this, has anyone had any experience of this?
 
Sounds right. It normally only applies to PPR.
There are probably conditions in original contract that it would remain PPR.
 
Hi Fin

You really need to read the contract.

There probably is nothing in the contract which says "If you let this out you can't have a moratorium"

But it probably says that this is for your family home and you must notify us if you let it out. In practice they don't take any action such as raising the rate if you let it out.

But you are probably in breach of the contract, so they are not obliged to agree to the moratorium.

You should review whether it is appropriate to keep the apartment if money is tight.

Brendan
 
They may also look to move you on to their higher BTL interest rates....so time to review your strategy.
 
Brendan Burgess said:
There probably is nothing in the contract which says "If you let this out you can't have a moratorium"
Click to expand...
Conversely, there's actually nothing in the contract that says they must provide it to anyone. It's subject to approval for all borrowers.
 
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