Any Interest-Only options? since my EBS Interest-Only is ended

M

-Mat-

Guest
Hi there good people of AAM.

Been a while since I posted - so new username cos I forget my old one.

I am in a bit of a pickle and need advice. I own a 2-bed investment property in Dublin since 1998 (good tenants, paying minimal tax cos expenses and income usually balance out) - I have E950 income in rent currently. Breaking even to date as investment.

Old mortgage for E130,000 was:
585 mnthly (intertest only c/o EBS) + 45 buy-to-let Insurance
New mortgage for E130,000 is now automatically defaulted to:
915 mnthly(repayment mortgage with EBS) + 45 Insurance

I am really interested in shopping around for an Interest-Only Mortgage and would love your advice where to go to ... My credit looks only ok to a lender cos my salary comes into Northern account cos I work/live in North.

:confused: But I am not very hopeful of an Interest-Only mortage these days

Please offer some hope if you can suggest somewhere I might try ?
Thanks lots.
 
Hi Mat

This really is confusing. You will need to clarify it.

Do you have one mortgage of €130k or two mortgages worth a combined €260k?

Start the story again, one line at a time.

Brendan
 
Topic review

Hi there good people of AAM.

Apologies to the Moderator and faithful subscribers for any time-wasting on my part - due to my previous post being super-unclear.

I currently own an investment property in Dublin. As my current interest only mortgage is coming to an end I really need to find an appropriate alternative.

I’m living and working in the North so some lenders have difficulty with the fact that I don’t have any other income in the South (apart from rent). Do any of you know of any good interest only mortgages available at the moment and particularly ones that might be suitable for me?
Or even some places that I can try!

If it would help to know details - see below perhaps...

Thanks in advance
Mat
 
Topic Review

P.S. I realise I forgot to answer the Moderator's question.

I've only one mortgage of 130,000 euros (valued currently 400,000 euros)
 
So your question is, as far as I can see,

I have an interest only mortgage of €130,000 on an investment property worth €400,000.
The mortgage is with the EBS
The interest rate is 5.4%
The interest only period is expiring soon.
I have a good income in the North of Ireland
Will any other lender accept a remortgage to interest-only?

I am not an expert in the mortgage market, but I think it is unlikely. The switching market is very quiet. The only lenders doing full-term interest only were Bank of Scotland and National Irish Bank. BoSI is not doing any new business in Ireland.

You could ask National Irish Bank.

Have you asked the EBS? I doubt if they would do it, but they might extend the term which would reduce the repayments.

Brendan
 
thanks

that is what I thought

I have had long discussion with my local EBS Manager and as you say - most unlikely.

I will try National Irish


and wait to hear in case any mortgage experts have a view...

cheers
Mat
 
Hi -Mat-

I'm not aware of any lender who would refinance your loan on an interest-only basis, for a few reasons: -

  • Little appetite in the market for refinances of any sort; even less for investment properties.
  • As you say, the fact that you and your income are outside of this jurisdiction makes the proposition less attractice to a lender.
Sorry I can't be more positive.
 
truth beats false optimism every time

thanks LD

cheers for dose of truth - that was what Brendan said although he was breaking it gently.

I was expecting that to be the case - but was afraid I was missing something

Good to know I am not missing a deal that is out there ...anyway

cheers
mat
 
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