Getting a mortgage to buy in Ireland but live in UK?

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irishinuk

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I'm a 28year old that's originally from Ireland but has been living in the UK for about 3 years. I've got an income of about £50k/€60k a year. I've also got about €120k in savings. I'm looking at buying a property in South Dublin. The intention would be to rent the property out with the possibility of moving into it should I ever decide to return to Ireland. I'm looking at properties in the €250-300k bracket. It seems that given the deposit I have, any mortgage repayments would easily be covered by the rent I get from tenants. I've no debt at present. I don't own any other properties. I'm currently renting (a room) in London and have a permanent job which I've been in for 2 and half years. I've had no issues getting mortgage approval over here.

My question is, what are my chances of getting a mortgage from an Irish bank. I've seen Permanent TSB offer a mortgage for expats but it requires a minimum income of €100k. I haven't seen any other banks offering similar products.
 
irishinuk said:
My question is, what are my chances of getting a mortgage from an Irish bank. I've seen Permanent TSB offer a mortgage for expats but it requires a minimum income of €100k. I haven't seen any other banks offering similar products.
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The PTSB one is the only one I've seen marketed towards non-residents too. They have a minimum income of €100k as you've spotted and, also, a maximum LTV of 60% - meaning you'd have to put the entire €120k of savings you have towards the deposit on a €300k property.

Irish BTL interest rates are very high - with the PTSB one standing at 5.4%. If you are adamant to buy an Irish investment property, I would consider a UK personal loan of up to £15,000 (available at 4.5%). This, together with your €120k savings should give you access to plenty of opportunities in Dublin with much less risk.

I believe you'd be looking at rental values in excess of €1,100 per month on a lot of €140k properties. Your £15,000 loan repayment would be peanuts compared to this - even if taken over a 2 year term.

The banks might have an easier time lending to you in the future, when lending criteria is relaxed. This is especially true if, at that point, you already have a successful BTL operating.
 

Are you sure buying in Ireland is a good idea, would you not be better off buying where you are ?

Are you cut out to be a landlord, it's not as easy as some people think. Plus there are now so many charges, you'd want to be very careful with your figures.
 
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