Why FTB

this may seem like a silly question, but why are 100% mortgages only offered to FTB?

reddy said:

this may seem like a silly question, but why are 100% mortgages only offered to FTB?

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because anyone else should have a house to sell... or have have a reason why they sold their last house , and don't have the money any more.....

So, What difference does that make? Plenty of FTB i know have a lot more disposable income than many current houseowners. My FTB friends could accumulate a deposit a lot faster than me, an owner occupier. I dont have that much equity in my house as i only bought last year, but i i was to trade up i would have to use every single penny of it and more to finance a new mortgage. When FTB now dont have to use whatever money they would have used as a deposit and now can keep it, why should i have to use all my equity, which doesnt amount to much more than a FTB deposit after fees?

So have I got this right?

If i bought last year (as a FTB) for ... lets say €250,000... I would have had to stump up a €25,000 deposit myself.

12 months later I decide to sell and its now worth €280,000.

I make €30,000 profit

But then there's all the usual legal expenses so I'm down to €25,000.

Now I want to buy again, but I don't qualify as a FTB'er anymore, I can't avail of any of the 100% mortgages AND if I buy a second-hand house I could be spending every cent of my "profit" on stamp duty.

So now I face the prospect of saving every cent of a 10% deposit all over again for a second time?

Somebody tell me i've got this wrong?

I just spoke to my solicitor and explained the situation.

I don't qualify as a FTB anymore even though my partner who is buying my next house with me is an FTB.

Because we want to buy a 2nd hand property worth €350K, I'll now be liable to to pay stamp duty at 6% of 350K. Which is €21,000 ..... so i can kiss any profit from my 1st purchase good-bye and start saving for a 10% deposit all over again! Ridiculous!

Just_Joe said:

I just spoke to my solicitor and explained the situation.

I don't qualify as a FTB anymore even though my partner who is buying my next house with me is an FTB.

Because we want to buy a 2nd hand property worth €350K, I'll now be liable to to pay stamp duty at 6% of 350K. Which is €21,000 ..... so i can kiss any profit from my 1st purchase good-bye and start saving for a 10% deposit all over again! Ridiculous!

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Do you not have any equity in the €250,000 ... from your deposit and payments?