Job location and mortgage

A

Audi_Driver

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Hi folks

I'm just wondering does a persons job location effect their chances of getting a mortgage ?

For example if someone wanted to buy a house a in Longford/Leitrim and said person was working in Dublin, would this be viewed negatively by a bank?

I'm currently working (and renting )in Dublin and cannot afford to purchase in Dublin - houses are a lot cheaper in the above areas and I would be about approx 1 hour 30 from work which I would be prepared to travel daily.
 
Thanks Gordon that's good to know - just looking for some info to see would it be worth my while applying b
 
Unless you have firm short/medium term plans to reduce that commute, I really, really wouldn't.

Pros:
Self driving electric vehicles will make things a bit better at some point in the next decade. You'll get a little quality of life back, the motoring costs will be significantly lower, and property values in the commuter belts might reasonably be expected to rise a little.

Cons:
You'll drive 1,200 km a week, 57,600 km per year. At a fairly conservative €0.25 per km, running and replacing Audis will cost you €14,400 per year. If you scrapped the commute and lived near work, that €14,400 per year would service about €250,000 worth of mortgage at 5%.

Your commute will occupy 675 hours of your life per year - that's 84 days per year of unpaid work. If you scrapped the commute, lived near work, and spent the time you saved moonlighting at €15 per hour, the €5,000 you earned (after tax) would service another €80,000 worth of mortgage.

Adjust all of these numbers if there's a working partner in the picture.

here's a more elequent version of my argument: http://www.mrmoneymustache.com/2011/10/06/the-true-cost-of-commuting/
 
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I work with a guy who commutes from Leitrim to South County Dublin...hour and a half each way. Also one guy commutes weekly from France. Mind you we have very good teleworking options.

Longford is doable on the train.

I don't think that the bank can take it into account. But I would be looking at extra costs when making your decision. There are some reasonably priced apartments in Dublin suburbs as well
 
The bank may take into account the extra commuting costs (fuel, higher insurance due to more mileage and greater depreciation on car or requirement to change it more often) when they look at your ability to repay. However speaking as someone with a 75-90 minute commute daily, we had no issue getting a mortgage a few years ago.
 
Thanks folks, I have a meeting with the bank next week so I'll see how it goes - I'm working in the public sector and do hope to transfer back to Longford as soon as possible so I don't intend to commute Longford - Dublin for to long

Thanks
 
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