Buying a house, should I close deal in end of Dec or early Jan?

L

lll1981

Guest

• 14 Nov 2010

• #1

Going to buy a house soon, deposit paid already.
Wondering should I close the deal in end of Dec or early Jan? The mortgage tax relief is calculate from the day cheque is issued or the day mortgage payment start?

 

N

newirishman

Registered User

Messages

1,182

• 14 Nov 2010

• #2

TRS is based on calendar year, I think from the day mortgage is drawn down.
I would hence recommend early Jan.

see revenue website on TRS for details: http://www.revenue.ie/en/tax/it/leaflets/tax-relief-source-mortgage-interest-relief.html

 

Brendan Burgess

Founder

Messages

54,275

• 14 Nov 2010

• #3

A bigger issue has been raised here which is the potential abolition of stamp duty. Obviously, this applies only if you are liable to stamp duty.

 

L

lll1981

Guest

• 14 Nov 2010

• #4

Thanks for your replies

 

W

Wonderfish

Registered User

Messages

19

• 18 Nov 2010

• #5

In the same boat on this question, basically wondering if it is financially worthwhile in delaying signing the contracts until Jan.

Not sure how to calculate what the overall extra costs of signing in dec would be as against Jan 2011.

Some details - Mortage is €285,200, interest rate fixed at 3.85% for 3yrs

Any advice appreciated

 

M

Minigogo

Registered User

Messages

22

• 18 Nov 2010

• #6

See their is a bit of a push closing houses before the budget " not sure why" but maybe you should ask your solicitor.