Likelihood of second mortgage??

W

wiggles1980

Registered User
Messages
22
Can anyone out there who knows a bit about mortgages review our situation and let me know their thoughts?

We want to build a house in another county, we own our own site.

Married couple

One child

Both on 47k per annum (94k)

One permanent contract, one fixed term contract thats constantly renewed.

Already have mortgage of 280k left.

We are now landlords to this property and its been successfully rented out for past 12 months

We are currently renting the property we live in, and spend E1,000 on rent per month.

No debts outside of outstanding mortgage.

Thanking you for your time.
 
I'm afraid we need more information. How much is your house worth? Have you savings? On the face of it I'm not sure you would get a second mortgage.
 
  • How many years left on the existing mortgage?
  • Current repayment on the existing mortgage?
  • Current rental income?
  • Amount of savings?
  • How much (if anything) do you save regularly each month?
 
Thank you both for your replys. Heres some additional information.

  • How many years left on the existing mortgage?
  • Mortgage on our apartment is for 310k, we have apporx 280k left to pay. And approx 28 years left on mortgage.
  • Current repayment on the existing mortgage?
  • Paying E900 on mortgage repayments per month
  • Current rental income?
  • Rental income E950 per month
  • Amount of savings?
  • 32k savings
  • How much (if anything) do you save regularly each month?
  • Saving anywhere between E800-E1000 a month (Depending on the month!!)
Like most people who bought in the good times, our apartment is in negative equite, unsure by how much, but possible up to 100k.

Just realised how depressing this all sounds

Thanks for all the help with this.
 
I think you could be approved for a second mortgage of >€200,000 based on the figures you've given - possibly more depending on the lender.

The recurring contracts could be an issue: -

  • How long have you been in the same job?
  • Why are you on recurring contracts? Is there a recruitment freeze on permanent jobs?
  • How long is each contract?
  • How long is left on your current job?
  • What's the nature of the employment? (Not fishing for personal information here - just a general "sector" answer will do fine.)
Liam D. Ferguson
 
Thanks for replys.
Heres the additional information you are looking for...


  • How long have you been in the same job?
  • 12 years in same organisation.
  • Why are you on recurring contracts? Is there a recruitment freeze on permanent jobs?
  • No permanent jobs in sector. Also changing roles within organisation.
  • How long is each contract?
  • 2 years.
  • How long is left on your current job?
  • 2 years
  • What's the nature of the employment? (Not fishing for personal information here - just a general "sector" answer will do fine.)
  • public sector
Any opinions whould be great.
 
If you've been twelve years with the same organisation I don't think your contract status will be an issue. Embargoes on permanent appointments in the public service are common enough.
 
Thank you Liam, So you think we could be in with a shot with the given information? Its worth our while applying?
 
wiggles1980 said:
Thank you Liam, So you think we could be in with a shot with the given information? Its worth our while applying?
Click to expand...

Yes I think so. It's the only way you'll know for certain. Opinions you'll get here (including my own) are only based on the information we have. The lender has the final say after seeing a full application.

Before you apply, you'll need to have a reasonably well-costed estimate of the total cost of building, including professional fees, site clearance, white goods, kitchen - everything that you'll need to spend, up to the point that you can actually move in. Banks far prefer to see a nice detailed breakdown of the estimated costs (including a contingency amount - things ALWAYS run over cost), rather than a vague figure of how much it might cost.
 
LDFerguson said:
Embargoes on permanent appointments in the public service are common enough.
Click to expand...

Havent heard that, im in HR in the HSE and was made permanent in Sept last year automatically after 4 years. Not renewing a temp contract is common but not making someone permanent after four years isnt even an option to the employer
 
shigllgetcha said:
Havent heard that, im in HR in the HSE and was made permanent in Sept last year automatically after 4 years. Not renewing a temp contract is common but not making someone permanent after four years isnt even an option to the employer
Click to expand...

No offence the HSE has had some sort of embargo on filling positions since 2009. It doesn't affect every position but there was loads of people on contracts that just renew indefinitely.
Similar embargoes have been in place in councils, schools etc as well although some of them ended up with straight no-hire embargoes.
 
shigllgetcha,
thats interesting. do you have to be in the same position for 4 years to be made permanent?
Ive had several contracts in different posts but in the same organisation. should i be made permanent? is an employer likely to ignore this unless its brought to their attention?
 
is there not a discrepancy in your post here? You've noted your salary as €47k in this post but in your post on joint assesment you've said your salary is €23k?
 
You should check out the Fixed Term Workers Act..

If you have had more than 3 contracts (which you seem to) and have been with the same employer for over 4 years (which you seem to) you are automatically entitled to a contract of indefinate duration (permanent)

It is very common for public sector employers to ignore the act and to continue issuing temporary fixed term contracts but the fact that you are with the same employer for 12 years and still termed temporary would be laugable (on the employer) if you referred the matter to a third party!

Might be useful to get your contractual status properly sorted before going to the banks
 
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