Local authorities to offer cut-price mortgages to FTBs

Andy836 said:
deloboys statement was "this could cause banks to compete with LAs". It won't.

the whole point of the scheme is subsidized housing.
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I posted a response yesterday but it was removed!

If banks see potential customers moving to LA's because
a/ they get larger mortgages
b/ they get lower rates
Then I see the banks lobbying the Central Bank to relax the lending rules for them as their first course of action. Of course there would have to be large-ish numbers switiching to LA's to get the banks concerned
And maybe they might also seek to compete on the interest rate side by lowering their current fixed rates which would be a good thing for those unfortunate enough to have to deal with a bank/earn over 50k!
 
I can see mostly people on contracts availing of this. But I suppose this being Ireland it'll mostly be given to people with bad credit.

The T&Cs said that getting insufficient funds from a bank is another reason for applying for this. I'm going to ring them and see how does one prove they're being approved for insufficient funds. I went to a bank and they approved me for €140,000 on a €40k salary. It was an initial meeting so nothing set in stone. I asked for it in writing that that's the amount I would get and they wouldn't (as it's not official - they havent gone through all my history and documents).

So do I really have to waste the banks time by getting official approval in writing for €140k when really I want to go to the council? Even with an exception I'd only get €160k or so. Doing the online calculator I could get €209k from the government.
 
Khublei said:
I can see mostly people on contracts availing of this. But I suppose this being Ireland it'll mostly be given to people with bad credit.

The T&Cs said that getting insufficient funds from a bank is another reason for applying for this. I'm going to ring them and see how does one prove they're being approved for insufficient funds. I went to a bank and they approved me for €140,000 on a €40k salary. It was an initial meeting so nothing set in stone. I asked for it in writing that that's the amount I would get and they wouldn't (as it's not official - they havent gone through all my history and documents).

So do I really have to waste the banks time by getting official approval in writing for €140k when really I want to go to the council? Even with an exception I'd only get €160k or so. Doing the online calculator I could get €209k from the government.
Click to expand...
Your Local TD will possibly be able to help ,
 
Balanced article from Ronan Lyons on the Government's new mortgage scheme:-
https://www.independent.ie/life/hom...f-new-mortgage-scheme-a-concern-36536736.html

"Making credit more readily available is the single most effective way of boosting demand, not supply. I understand the political need to be seen to be doing something but this does nothing to address supply shortages. Here's hoping future months see more focus on boosting housing supply, not demand."
 
So are we going to have county councillors and TD's making representations on behalf of applicants. This is just crazy. The banks were rightly savaged for wreckless lending. They tighten their belts and now local authorities are going to take on people that cannot get a mortgage through the banks. if we see people defaulting in years to come the councils are going to have to evict people. They cannot collect rates and rent at the moment. Ah here....... And I am in negative equity.......need house prices to rise 10% to be able to get out of the landlord business, if you could call it that. That is just to clear the mortgage not even get what was paid in 2008. Its in my short term interest to see house prices rise and this will help me but its not about short term and my losses. The country as a whole needs more supply at reasonable prices. How??? I have no idea. It is hard to believe we are where we are after the last 10/11 years. Sad really
 
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