Signed contracts, advice on finance status

[tesoruccio]

Looking for advice re buying a home.

I have just signed contracts for a house in North Co. Dublin. The builders solicitors have outright rejected our attempts to bring down the price due to falling house prices. We agreed the price 5 months ago.

We have rougly 25% of the value of the house in savings although some of this will be spent on the difference between the loan and the house price and on decorating, etc. Our LTV is 87%. 40 year. Our monthly repayment will be €1,450.00 (ex. mortgage relief). (how do I calculate relief??).

We believe that the location of the house is such that it is pretty much worth what we'll be paying and we will be owner-occupiers for at least 10 years or more.

In general, is this a good situation we find ourselves in?

Thanks

 

[Brendan Burgess]

Re: Buying now

You will get a better response if you comply with the Posting Guidelines and make the title of your thread meaningful.

Brendan

 

[CGorman]

Re: Buying now

Hi Tesourccio,

If you have a steady job, sufficent income and like the house then you should be relatively happy with your circumstances. You are obviously buying this as a home rather than a pure investment and as such the short term/medium term property price fluctations are somewhat irrelevent to you as long as you meet repayments.

Your figures imply a mortgage of around €265k and a purchase price of around €305k. If what you are asking is whether this is a good deal; it is impossible to say without knowing the size of house, location etc. You say yourself you figure this price is pretty much fair for the area... so you've sort of answered your own question.