FTB - will I get mortgage?

I

irlgal

Guest
I want to buy a house priced at €175. I earn €35k at the moment and my salary is on an incremental scale. I work in the public sector & am permanent 4 years. I don't really have any savings & have a car loan for which I pay €250 per month. Do i have any chance of getting a mortgage, or should I consider getting a joint mortgage?
 
You will almost certainly need at least 8% of the purchase price as a deposit and possibly up to 20% in total given that some lenders are scaling back significantly the percentage of the purchase price that they are willing to advance. Have you contacted any lenders or brokers to inquire about approval in principle just to see what the lay of the land is?
 
No as only put the booking deposit down today, Just doing some research on the web tonight to get an idea of where I stand before I contact a broker.
 
I thought you had no savings?! How much did you put down? You really need to make sure that you can go through with this before proceeding. Remember that you will also need to cover ancillary expenses such as conveyancing and related charges, mortgage protection life assurance and home insurance premiums, general utility bills and household expenses etc. You should do an outline budget to see if you can really afford this based on your income/means even if you can get a mortgage!
 
I should think having the car loan may be a big factor in the banks decision,they may well tell you to pay that off first before they can proceed.Have you looked at affordable housing?
 
By the sound you have no deposit and you want to borrow 5 times your salary?

If this is correct you shouldn't get a mortgage. However, the fact you work for the civil service could go in yr favour.

Joint could be a better option for you but make sure you have a concrete plan in place in case it get messy with whoever you go joint with.

Other than that, you need to make a plan to save a decent deposit then buy yr home.

Isn't it insane that on 35k you have to even consider affordable housing.....
 
Sorry my mistake, I meant to say it was a holding deposit I had put down, not a booking deposit. Sounds like I'll have to make a joint application, which I don't mind but would've prefered to buy on my own.
 
If you buy jointly then make sure to put a suitable joint ownership agreement in place. Your solicitor can advise and there is a sample draft one in the key posts section.
 
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