My situation is : Bought in 2007 paid €320,000 deposit €60,000 mortgage €260,000.
My current mortgage is €215,000 but houses the same as mine in my estate selling for €180,000.
I have a tracker mortgage with aib. We would love to move town due to kids school work etc as we would have a much better quality of life. Houses where we would like to move are selling for €250,000. We have an excellent credit rating, both civil servants, no childcare costs (both kids in school and flexible working hours) and earn just over €80,000 between us.
To me this appears that we could borrow 3.5 x €80,000 = €280,000 maximum for our salaries.
So if we were to move our tracker and get a negative equity mortgage we would be looking at €215,000 (mortgage) - €180,000 (sale of house) = €35,000 negative equity. Move the €215,000 to the new mortgage + €35,000ne + €35,000 shortfall from house = €285,000. For this aib want a 20% deposit (20% of €250,000) which is €50,000.
Has anybody had any wiggle room with this at aib? From searching online it appears that they are sticking with 20% deposit for homemovers even though people with negative equity are exempt from that under central bank rules. I understand that aib can be as strict as they want but before we start getting our hopes up we're wondering if we have any hope in hell of negotiating the deposit. Our neighbour is the mortgage advisor at our bank so not inclined to nip in for a meeting only to be told no!
Of course we could wait and save the 20% but that would take us approx 5 years with a drop in lifestyle after already saving €60,000 not too long ago to buy our house originally.
My current mortgage is €215,000 but houses the same as mine in my estate selling for €180,000.
I have a tracker mortgage with aib. We would love to move town due to kids school work etc as we would have a much better quality of life. Houses where we would like to move are selling for €250,000. We have an excellent credit rating, both civil servants, no childcare costs (both kids in school and flexible working hours) and earn just over €80,000 between us.
To me this appears that we could borrow 3.5 x €80,000 = €280,000 maximum for our salaries.
So if we were to move our tracker and get a negative equity mortgage we would be looking at €215,000 (mortgage) - €180,000 (sale of house) = €35,000 negative equity. Move the €215,000 to the new mortgage + €35,000ne + €35,000 shortfall from house = €285,000. For this aib want a 20% deposit (20% of €250,000) which is €50,000.
Has anybody had any wiggle room with this at aib? From searching online it appears that they are sticking with 20% deposit for homemovers even though people with negative equity are exempt from that under central bank rules. I understand that aib can be as strict as they want but before we start getting our hopes up we're wondering if we have any hope in hell of negotiating the deposit. Our neighbour is the mortgage advisor at our bank so not inclined to nip in for a meeting only to be told no!
Of course we could wait and save the 20% but that would take us approx 5 years with a drop in lifestyle after already saving €60,000 not too long ago to buy our house originally.
