FTB Enquiry

Hi all,

I am looking into buying a house at the moment. The value of the property is €280k but there has been only one bid on it over the past month. Current bid is €215k.

I am 27 and in full time employment (semi state) and am on €50000 gross with 10% bonus pa.

I currently have a 10,000 loan and the repayments on that are €328 pm. I also have a nice chunky credit card bill that will be clered before I apply for a mortgage.

Can somebody tell me if i would qualify for a mortgage based on the info above. My savings are less than €5k. I would also like to rent out one of the rooms.

Regards

You will need at least an 8% deposit so based on current bid of €215,000, this will require a deposit of €17200 so it looks like you're €12200 short.

On the affordability front, your €328 car loan will reduce the mortgage allowable significantly.

My advice would be to pay off the loan as soon as you can and start saving for an 8% deposit. If the loan is paid down / cleared then you should not have a problem getting a mortgage.

You will need the 8% deposit on whatever the purchase price (not valuation) on the property.

Lets just say the sale price ends up being €250,000 (just giving you an indication), you would need €20,000 deposit.

Obviously the correct and prudent thing to do is to save and payoff your car loan asap.

If its a case that you are going to get a mortgage irrespective of your car loan then you should save save save. At the moment you MIGHT be able to get up to around €310,000 (based on no car loan, figures calculated by AIB) which means that even with your car loan you might be good for €220,000. So in essence you have a better chance of getting a loan based on your savings (in this instance) as opposed to paying off your car loan.

This is not advice on what course of action you should take, this is simply laying out the way things appear to be for you based on the limited information you have provided.