Buying out affordable housing

B

Breathnach

Guest
Has anyone tried this yet?
Am hoping to switch mortgage and consolidate my loans in one move!
 
Is this possible at all with affordable housing??? How long after purchase can you do this?
 
As far as I know whenever you like, I'm working on it at the moment.
My county council is insisting I pay the claw back % even though i'm buying out the house myself.
People have done it already it seems, not unheard of, just the coco's make it as hard for you to do as possible and some banks won't accept an application that whiffs of affordable housing.
 
just to clarify a few things

My county council is insisting I pay the claw back % even though i'm buying out the house myself.
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This is standard with all affordable housing buy outs, you availed of a property at below market value and therefore a clawback is payable if you wish to buy the council out, the clawback reduces yearly and doesnt apply after 10 years ( differs form council to council)

some banks won't accept an application that whiffs of affordable housing.Yesterday 05:35 PM
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not true so long as you meet the criteria an affordable housing buy out is no different to processing any other remortgage

Yesterday 05:35 PM
 
I was meeting the criteria for alot of banks but they declined on the grounds of having to deal with affordable housing and the claw back, I've had to apply in person to other banks as they'll only consider a personal application.
I was fully aware of the claw back and how it worked whe I bought the house, I'm clarifying it for people who may not realise this, and alot of people don't realise the full extent of it.
 
I was meeting the criteria for alot of banks but they declined on the grounds of having to deal with affordable housing and the claw back, I've had to apply in person to other banks as they'll only consider a personal application.
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you should'nt be getting this kind of a response, if the total borrowing ,ie the amount to refinance local authority mortgage plus buy out figure plus clawback does not exceed the banks maximum loan to value ratio for remortgaging ( 85% to 90%) then your application should not be treated any different to any other remortgage application.

As a mortgage broker I have done a considerable amount of local authority buy outs and have never encountered a problem once as stated income allows you borrow the amount requested and total LTV is within banks criteria.

Godd luck with your application.
 
Thanks, I have found a bank that will handle this for me but I have to hire my own solicitor rather than use theirs.
I had been dealing with a broker who came on these issues and ended up sending me back my application, stating confusion as to how they wouldn't accept it and with pointers on how to go about it myself.
 
Molly am stil running into difficulty with banks not accepting my application on the grounds of affordable housing, do you know of any banks who do accept it? The bank who I thought were accepting it "misheard me" apparently, highly annoying!
 
do you want to PM me the details and I can advise you which lender to approach.. or see where the lenders seem to be having a problem. So long as the buy out plus clawback plus the amount required to repay other loans does not exceed 85% and your income qualifies you then it should be no problem with a variety of lenders..have you tried First Active... I have used them in the past no problem for affordable housing buy outs.
 
If OP is comfortable posting all details here then I've no problem with that, but until I see all the relevent figures i cant assertain why OP seems to be running in to difficulties obtaining required mortgage.

If posted here other brokers may be able to advise also:

Would need to know :

mortgage O/S with council and how many years running
Claw back amount
Details of other loans to be refinance
Estimated current value of property
Employment details, ie income, status and lenght of time with employer.
 
Sorry - I thought that you meant that in the general case there was one or more lenders who people in this situation should/could approach. Not that you were talking about looking at the original poster's specific details and then recommending who to approach.
 
More comfortable pm'ing deatils, if other brokers were interested in taking a look I can pm them to them too.
 
i`m in the middle of buying an apartment on this sceme but i had to pay€1050 in legal fees to the council and now they tell me i have to hire my own solicitor aswell,apparntly they are short staffed and have to out source solicitors and i have to pay the fees??? has anyone else came across this problem?i thought it was affordable housing??
 
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