How to release equity on a affordable house

J

joebloggs90

Guest
I have an affordable house now about 5 years and am looking to do a few bits to it . I know fingal dont do top ups and the to remortgage with a bank i owe 100k and the clayback is 110k and another 60k or so to do the upgrade and another 30 to clear loans =300k.The bank will do this over 35 years at about 1800 a month ,I pay 800 a month so thats a no go .Ebs told me i,d be made to give fingal that much of a claw back back for nothing plus they stopped doing personal loans .
My question is how legal is it for fingal to look for the clawback even if i,m not moving house or selling .and is anyone else in this position .....
 
in exactly the same situation, bought my house 6 years ago and need to remortgage for home improvements etc. the housing bill is currently going through the dail and has been changed so that we can remortgage without paying clawback only pay clawback if we sell. no idea how long it will take though have hoping end of year
 
The council will not insist on you paying back the clawback if you remortgage. They will only look for the clawback if you sell.

However the problem you will encounter is that there is currently no mortgage lender that will approve you for a new remortgage unless you agree to borrow enough to pay back the clawback.

The reason for this is that if the clawback was not paid then the mortgage lender would have to take second charge after the councils first charge (clawback). There is no mortgage lender that would agree to this.
 
Hi rex
thanks for that,i found some info on it ,
Minister Gormley pointed out that the Bill amends affordable housing legislation to remove an anomaly in existing clawback provisions. The clawback was always intended to apply only where affordable houses were resold. The Bill will amend the law to “enable owners of affordable housing, with the agreement of lenders, to re-finance or top-up their existing mortgage loans, without triggering the payment of the clawback charge”, said the Minister.
 
Hi mortbro
You cant remortgage without paying the claw i wish ye could ..prove me wrong now .
 
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