Refusal from banks...

D

Davide

Registered User
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Hi all my name is Davide i will go straight to the point with as many details i can.
First of all sorry in advance for any "english" mistakes.

So: i'am married
i'm 34 my wife 39
the first time buyer dont bother to us as we have well over the 20% of deposit.

the income joint is 36k
i am full time permanent my wife is part time permanent.

we are paying 1k rent since june 2014 (yes already 26k payed with direct debit for rent)
we have a saving account 400€/mont (12 months now)
by calculation banks are saying we can afford 125k+ mortgage,
but they are refusing to go ahead because my wife contract is a "part time permanet contract but with no hrs guaranteed".
she is earning 12k yearly, all the papers are there and the only think that stop the process is the contract.
i want to mention also that we talked to her boss (is a guesthouse family business) and he explained that as it is a family business he can't guarantee a fixed hour in the contract because it all depends how business go eg. if they have guest then there is work for my wife if no guest arrive no work for her..... i completely agree with him it is normaln, but i don't understand the banks... even if the contract is "unusual" (in the bank view) why they don't consider the real income instead of the contract? i mean she i earning money, payng taxes etc. etc., it is obvious that the guesthouse can't guarantee (even if the guesthouse is in ballsbridge so well positioned and less risk to be vacant) but at the end of the year money earned are there, repayment is well over the requirement "i could eventually afford two morgages", good saving , No financial issue everithing is good exept this contract.

How can i bring this issue to the Central Bank Regulation?
Any suggestion?
 
I think unless you can persuade your wife's boss to sign something to say she has a guaranteed number of hours, there is nothing you can do. If your wife's boss would do that, then the Bank would tick that box.
Have you tried going to a Mortgage Broker rather than direct to the Bank? They can sometimes be helpful in these situations.
 
You say "the bank"?

There are 6 lenders in the market at the moment. Why not try one of the others, or as Sadie advised, go to a mortgage broker who might present your case in the best light?

Brendan
 
Davide,

There is not a chance any of the banks will look at your wife's input financially, under those circumstances. I dont mean to burst your bubble, but this is reality.

When you think about it, I know someone paying €1200 rent per month for 8 years, without missing a payment, and yet they wont give a loan to the same person with a repayment of €850, because of the stringent rules now days.

Your 34 years of age now, you will look 54 by the time the process is over.
 
@Brendan Burgess i went already to a financial advisor and he tried his best with PTSB, they said to wait the next P60 as my wife didnt have 1 year income at that ttime, so i am waiting January.
I also applied with Dublin City Council, but again they whant to see a full year income into the bank account, as for the first 3 months she was paid in cash.
My worry is that the more we wait the less year we can get of mortgage as my wife will turn 40 next year. My only hope is then the p60 in January.

@LS400 that is exactly my point. In 8 years that person have thrown to the bin 115200eur when he could have repaid a mortgage... I think is insane and really unfair and frustrating. The rules are too restrictive
 
Davide

They are primarily the lenders' rules. They set them based on experience.

It's odd that your financial advisor tried only ptsb.

Try another mortgage broker.

Dave Curry from the Irish Mortgage Corporation often gives good advice on this website



Brendan
 
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