NIB mortgage from ECB + .5%

kathryn

Registered User
Messages
42
Hi

I am thinking of switching my EBS mortgage 150K (property value 200k approx)to another lender. It was my primary place of residence when I took out the mortgage but is now an investment property.Any suggestions as to who's offering the best investment loan rates.
Thanks
 
L

littletom

Guest
Hi,
My valuation was done last week with a specail rate of 100 euro from
Boyle & Associates Artane. They said it is a special rate for NIB.
 

MandaC

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Messages
1,784
I phoned the hotline yesterday evening and said I had not heard anything back as yet.(Was in last Thursday) Anyway, phoned the branch this morning and spoke to the mortgage advisor I was dealing with. She told me that it had been sent off and "don't worry love, word should come back in a few days, pet".

Explained that I wanted to get AIP before I shelled out for the survey, (though that sounds like a good idea above, to get the valuation that will suit many lenders) so promised to follow up with head office. Very slow processing, must be because they have so many takers.
 

MoiMoi

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58
I approach my bank and they would not prepare to do anything better than that, i am really thinking moving to NIB. Has anyone sign up yet? would love to hear some feedback
 

serotoninsid

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1,755
I approach my bank and they would not prepare to do anything better than that, i am really thinking moving to NIB. Has anyone sign up yet? would love to hear some feedback
vote with your feet. If the deals better, theres no need to wait.
Give them a ring, book an appointment and walk in with these;
-P60
- Photo ID
- Last three payslips
- Salary Cert from employer
- Utility Bill to confirm address

...and get the ball rolling from there.
 

PGD1

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455
mortgage money is "cheap" money.
I have released equity a few times, over varying periods, to fund certain projects. I would not consider these project to be too wasteful.

If I moved to NIB I would not have this option as they are not all house related.
 

AJC

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163
mortgage money is "cheap" money.
I have released equity a few times, over varying periods, to fund certain projects. I would not consider these project to be too wasteful.

If I moved to NIB I would not have this option as they are not all house related.

So is it the case that if you want to release equity, you need to remortgage or top up with bank X before moving to NIB for their LTV mortgage rates ?
 

MandaC

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1,784
I visited the branch last Thursday morning and had everything needed apart from the valuation as I wanted to get approval in principal before shelling out for a valuation. There is still no news back as yet, and apparently it can take up to two weeks for processing, so quite slow if you need a mortgage offer letter.
 

NorfBank

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2,103
"don't worry love, word should come back in a few days, pet" didn't really inspire confidence in NIB.
 

MandaC

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1,784
My thoughts exactly! As the Tayto Ad says, theres always one, and I sometimes wonder if these people actively seek me out.
 

PGD1

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455
AJC you can release equity but onyl for home improvements and they are strict.

What I'm saying is that I will probably want to use the "cheap" money for projects over the next 10-15years and even though I will be on a low rate with NIB I couldn't... so it's not worth moving.

Just a thought.
 

MandaC

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1,784
Just got my approval from NIB. Just need to organise my valuation now and this will be completed next week.
 

Dinarius

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Messages
453
I've been speaking to a few people regarding my thougths of moving from AIB to NIB. (See my post above)

It seems that the reason that most banks are reacting with a 'See if we care' attitude to the threat of customers moving is twofold:

1. It is a racing certainty that the ECB will raise rates in just over two week's time.
2. On average, it costs about €1000 to switch between banks.

In my case, the difference between AIB and NIB (€289k over 19 years) is as follows:

......................................AIB............................NIB...............................Difference
LTV..............................1837.29......................1774.18...............................63.18

3 Year Fixed..................1921.30.......................1864.87...............................56.43

5 Year Fixed..................1943.01.......................1866.41...............................76.60


Anyone applying to NIB now will almost certainly not have their approval before rates rise again.

So, taking the 3 year fixed as an example: if you don't switch on time, the
difference of €56.43 will be reduced to about €25(?) assuming NIB raise their rates next month.

Now factor in the cost of switching (say, €1000 with solicitor's and valuation fees): It will take 40 months (@ €25 per month) to claw back this €1000 before you're really in the money. Where will rates be then, in just over three years time? Who knows!

Right?

Buying three years fixed now with AIB, for a possible difference of about €25 a month in month's time, seems reasonable to me.

If anyone thinks I'm barking, please tell me! ;-)

D.

Edited: Another way of looking at it is that NIB's LTV would be 1774.18 for us, while AIB's is 1837.29, a difference of 63.11. Unless I could guarantee that I could switch before next month's ECB rise, it wouldn't be worth it for the reasons I've outlined above.

However, the difference between NIB's LTV and AIB's 3 year fixed (1921.30) is 147.12. If you take the view that rates aren't going much higher (I don't) then it might be worth switching.

A lot to ponder! ;-)
 

serotoninsid

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1,755
@Dinarius: I suppose what your saying makes sense for your situation - or for anyone else on a fixed rate. But it is still the best deal around for anyone on a tracker.

With regard to the legal costs, my understanding was that if you went with one of NIB's approved list of solicitors, then all costs would be covered - or have I taken this up the wrong way?
 

Dinarius

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453
@Dinarius: I suppose what your saying makes sense for your situation - or for anyone else on a fixed rate.
I'm not on anything right now. That's my point. I've just come off a 1 year New Business Fixed with AIB (which is why I have 19 years to go) and I have to decide where to go now.

If legal costs are covered, then that makes it a very differennt proposition.

D.
 

Protocol

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Messages
3,174
Met with the NIB mortgage official yesterday, signed lots of forms, and switched my existing NIB 0.79% tracker mortgage over to the LTV mortgage.

He pushed up the house value from the 278k I paid last year to 285k, with no valuation, so I am at 51.65% LTV. But I got the best rate, ECB+0.5%.

So I will save approx. 20 a month, or 5,000 in total over 19 years.

Lovely feeling.
 

serotoninsid

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1,755
Its proving popular for sure. Got the last few documents to the branch on Monday morning. Just called them at they said another week to ten days.
 

Merrion

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311
I am currently with PTSB and I was wondering if anyone had received any better rate offers from PTSB when they tried to move to NIB.
 

IrlJidel

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113
They don't seem to say how much they are willing to lend on the website.

For a joint application with both partners working, can anyone tell me how much they are willing to lend or is it on a case-by-case basis?
 

Helen

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Messages
234
With regard to the legal costs, my understanding was that if you went with one of NIB's approved list of solicitors, then all costs would be covered - or have I taken this up the wrong way?
This is true. They pay the full cost if you use one of their solicitors or pay 600 euro if you use your own. The only other cost to be considered would be the stamp duty if the mortgage value is over 254K.
 
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