Transfer NE tracker to new property or wait until Property is out of NE to explore options?

Age:
37
Spouse age:
33

Combined net income from employment or profession:
E64,000

Type of employment:
Public semi state (14 years in employment)
Fulltime Private Company (Spouse 2 years in employment)

Expenditure pattern:
We spend what we earn each month

Rough estimate of value of home:
€170,000

Mortgage details:
186,000 outstanding 25 years left of 35 year mortgage with Ulster Bank
Monthly payments 700 a month

Other borrowings – car loans/personal loans etc
€8000 Credit Union Loan

Do you pay off your full credit card balance each month?
N/A ( got rid of credit cards)

Savings and investments
Nil

Do you have a pension scheme?
Yes I have had mine since 2002
Spouse has his since last year

Do you own any investment or other property?
No, We have the aforementioned property rented out.
Rental Income: €700 p/m
Loss from previous years carried forward and offset against any income tax payable

Ages of children:
4 & 7
Childcare 650 per month

Life insurance:
Yes.

What specific question do you have or what issues are of concern to you?
1. House purchase

Should we look into Ulster Banks offer of transferring NE tracker to a new property or wait until house has equity that we could use as a deposit for a property in the future. We are currently in rented accommodation paying €550 per month

Your post is very difficult to read.

Could you consider formatting it more legibly? Perhaps use fewer unnecessary abbreviations and more punctuation.

You need to make your thread title more useful too. I would suggest putting your actual query into the title

Having said that. what advice do you need exactly? I cannot work out what your question is.

Are you currently living in rented accommodation yourselves and renting out your PDH? It would appear that you are exploring the possibility of selling your existing property and upgrading to a new property while transferring your existing negative equity mortgage to the new property. However as per Sarenco's post above this is not clear. Also without a level of financial detail on affordability it would be difficult to give you any specific advice!

Move back into the house first.

Sorry, yes I know post is a bit convoluted.

I am currently living in rented accommodation and renting out my PDH. My PDH is in NE of approximately €15,000.

My Mortgage is a tracker rate with Ulster Bank and monthly repayments are €700 per month.

Our combined net income is €64000 per annum. I don't intend ever moving back into our PDH.

I have no savings.I have a credit union loan of €8,000 which I am aiming to have paid off by next summer. ( I am paying €1000 per month towards this as I want to get rid of it)

How much have you got in the credit union ?

I don't think they'll allow you buy a new property with no deposit whatsoever.

If you earn €5333 a month and your rent is €550 it's a no brainer to me to stay put and save furiously? Nobody is paying such a low amount for accommodation with a family unless you are in the middle of nowhere.

Rent: €550
CU 1: ?
CU Extra €1,000
Childcare €650

What happens the rest of the money? You really need to start saving.

Why do you want to buy? How much for?

Hi Bronte, Thanks for reply yes Ulster Bank are currently allowing mortgage holders with NE Trackers to move house without deposit, Hoever if you have a tracker that isn't in NE then you have to have a 20% deposit to move, at least that's what I understand from their website I havent explored it any further. I AM actually in the middle of nowhere re accommodation but its where we want to be. I just want a place to call home we usually have to move house every few years I m not good with figures at all so I just wanted to get some advice. I have Nothing in the credit Union and we are just coming out of living hand to mouth so just wanted to see what we should do long term
Each month leftover money is used up on something

Last month car service & timing belt €450, Dental : €370

These are thing we neglected over the past years

We should be in a position to save from next summer...

I would recommend instead of paying 1K off the CU to pay them €500 and save €500. You shouldn't get into more debt until you start to manage your finances better. As in you should ideally transfer money each month from your current account into a savings account. And then when unexpected items crop up during the year you have the money in the savings account to pay for them. Only you can do this for you. It will also help you to identify where you can save some money. How about you start by listing your monthly spending on here. I'm sure we can pick holes in it !

Tell us more about potential house purchase and costs.

I realise you think you can save from next summer, but I'd imagine you need to start saving towards a car maybe?

It's not good to have zero savings not with a rental, how would you pay back the deposit or do a repair for example.

How did you get a CU loan with zero savings? Or was this an accommodation to you by them due to hardened circumstances?

Hi Bronte, I was planning to get rid of CU loan so that I could then get car on HP next summer and pay off over 3 years ( I do 40,000 per year)

Credit Union Loan for cars since I started work, always topped them up for the next dodgy car always paid everything back so perhaps thats how I got loans...

I feel myself I am good to budget considering bills anyway here is a list of monthly outgoings:

Rent : €550
Childcare + preschool: €770
Food: €500
Petrol: €320
Diesel €320
C.U. €1000
Car Insurance € 90
Health Insurance €140
Refuse €25
Toll €100
Electric (on fixed payment scheme) €116
Phone €50
In-laws medical insurance €150
Husband work food €150
Charity €60
Solid Fuel €100
Internet €30
House Ins on PDH €49
Life insurance €21

I should have some to save but never do as any extra money goes to something every single month.

Over the past year we've spent €2500 on dental (root canals, crowns)

I have taken out dental insurance a few years ago so these costs are inclusive of refunds

Car tax, car maintanence, summer camp, weddings. until 2 years ago our net income was €1400 less and childcare was €1200, New bath, house painted for PDH

Had overdraft of €4000 now cleared