MoneyCoach First Time Buyer Guide

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FIRST TIME BUYERS GUIDE
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CONTENTS
Getting Started Path To Purchase Different Mortgage Terms Interest Only Loans How much can I borrow? European Central Bank Stamp Duty Rent-A-Room 4 Mortgage Interest Relief 6 Problem Solver 12 Protection 13 What do they mean? 14 Solicitor s 16 Mortgage Brokers 17 Professional Services 18 Notes 19 20 22 23 24 26 27 28 29 Mortgage Options & Interest Rates 10 Your Credit Report
Irish Mortgage Corporation Ltd. T/A MoneyCoach is regulated by the Financial Regulator
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MoneyCoach.ie
Buying a first home is one of the biggest decisions many of us will make in our lifetime. Thats why it is so important to get the very best advice on every aspect of purchasing, including selecting the right property, choosing the right mortgage, choosing a solicitor, protection options.....the list goes on. This First Time Buyers Guide has been compiled to discuss many of the areas MoneyCoach.ie frequently gets questions on. For example, the path to purchase has become an integral part of the initial contact with first time buyers. Other topics include different insurance (protection) options and why a solicitor is needed in the purchase process. MoneyCoach.ie is delighted to make this free guide available to first time buyers. We hope that it helps answer as many of the important questions that will arise during the purchase of your first home. In the meantime, good luck with the purchase of your new home!
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GETTING STARTED
Some useful tips
1. START SAVING
If you dont have one already, now is a good time to open a regular savings account.
2. MAINTAIN A GOOD CREDIT HISTORY

If you have credit cards, student loans, personal loans or car loans and miss a payment, your bank will be able to access this information, which can result in problems getting a mortgage. Make sure you maintain a good credit history always!
3. FIND OUT HOW MUCH YOU CAN BORROW

Knowing how much you can borrow BEFORE you look for your property is essential. It is called Approval In Principle (AIP) and is mortgage approval subject to finding a property.
4. SHOP AROUND FOR YOUR MORTGAGE

Talk to an independent mortgage broker that deals with all lenders in the market. This will save you time and hassle.
5. HOLD OFF ON ADDITIONAL COSTS

Additional loans can affect the total amount of a mortgage you qualify for. It is recommended that you consider the impact of additional borrowings if you are planning to buy a home in the near future.
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6. RENT-A-ROOM SCHEME
Under the Rent-A-Room scheme, first time buyers can earn rental income TAX-FREE.
7. LOAN TERMS
Mortgage terms can be as long as 40 years, though most first time buyers opt for a 30 or 35 year term. As the term increases, the monthly repayments fall which makes things much easier in the first year or two of the mortgage. Once your financial situation changes, it is advisable to reduce the mortgage term.
8. PARENTAL ASSISTANCE
Banks and mortgage lenders now want first time buyers to be able to fund as much of a mortgage on their own.
9. BUYING WITH A FRIEND

This is a very popular choice for many first time buyers as the combined income significantly increases the qualifying mortgage amount. Good legal advice is recommended.
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PATH TO PURCHASE
ONE
TWO
THREE
MAKE AN APPOINTMENT
PRE LOAN APPROVAL
FIND A PROPERTY
SIX
SEVEN
EIGHT
FORMAL LOAN APPROVAL

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SIGNING OF CONTRACTS
PROTECTION / INSURANCE
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MONEYCOACH.IE MAKING IT EASIER

A Bank or Building Society can only offer you a mortgage from their own limited range of products. An independent mortgage broker can offer you a choice from the complete range of options available on the Irish market. They will explain each option in detail. An independent broker can handle everything for you, from preparing your application to making sure that everything that needs to be done is done. An independent broker will liaise with solicitors, auctioneers, valuers, life assurance companies and lenders to ensure that all deadlines are met.
FOUR
FIVE
BOOKING DEPOSIT
APPOINT A SOLICITOR
NINE
TEN
DOCUMENTS TO LENDER
COMPLETION
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PATH TO PURCHASE
(Explained) 1. MAKE AN APPOINTMENT
The very first step is to find out how much you can afford to borrow. Talk to an independent mortgage advisor and they will advise you on your available options. With many different mortgage packages on the market, it is essential to shop around and get good professional advice.
ONE TWO THREE
MAKE AN APPOINTMENT
PRE LOAN APPROVAL
FIND A PROPERTY
2. PRE-LOAN APPROVAL
This is mortgage approval subject to finding a property. Having Approval in Principle (AIP) means that you can shop around for a property knowing exactly how much you can afford to borrow.
3. FIND A PROPERTY
Once you know your price range, it is time to go shopping for your first home. Search the Internet and property pages in the newspapers and talk to estate agents that can advise you on the types of properties available in your price range.
4. PAY A BOOKING DEPOSIT

Once you have found the property you want and agreed the sale with the estate agent, you pay a booking deposit.
5. APPOINT A SOLICITOR
A solicitor acts on your behalf throughout the property purchase, reviewing important legal documentation, such as the deeds and loan offer and will advise you on issues such as purchasing with a friend. Solicitor fees will vary so shop around!
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FOUR
FIVE
SIX
SEVEN
EIGHT
NINE
TEN
BOOKING DEPOSIT
APPOINT A SOLICITOR
FORMAL LOAN APPROVAL
SIGNING OF CONTRACTS
PROTECTION / INSURANCE
DOCUMENTS TO LENDER
COMPLETION
6. FORMAL LOAN APPROVAL

Lending institutions will issue a formal loan offer once a property has been located. A copy of the loan offer is issued to your solicitor who makes sure all the details contained within are correct.
7. SIGNING OF CONTRACTS
Formal contracts are signed, usually within three weeks after paying the booking deposit. At this stage, the balance of the deposit will be required from the buyer. The contracts are unconditional contracts so a buyer must progress with the purchase of the property at this stage. Not doing so will usually result in forfeiture of all deposit money.
8. PROTECTION / INSURANCE
The mortgage company requires you have a life insurance policy in place to pay off the mortgage in the event that you become seriously ill or die. Similarly, you will need to have an insurance policy in place to cover the property and contents. Both policies need to be in place prior to closing the mortgage.
9. DOCUMENTS TO LENDER
You now need all final documentation that the lender has requested. This will include home insurance, life cover, legal documents and all of the other supporting documentation.
10. COMPLETION
This is where the keys to your new house are ready. When the big day arrives, your bank will transfer final monies to the lender and the keys are then delivered to the new owner.
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MORTGAGE OPTIONS & INTEREST RATES

ANNUITY MORTGAGE
This is another term for the standard mortgage. With an annuity mortgage, monthly payments are used to pay off both the loan amount AND the interest charged on the loan.
INTEREST-ONLY MORTGAGE
Interest only mortgages are where monthly repayments are used to pay just the interest charged on a mortgage and not the actual loan amount itself. They are available from a limited number of lenders.
FIXED INTEREST RATE

A fixed interest rate does not change during a specified term, e.g., 1-year, 3-years or 5-years. One important aspect of fixed rate mortgages that first time buyers need to consider is the break cost of the loan that will be applied if there is an early redemption (repayment) of the loan. Typically, the break cost can be as much as 3 - 6 months interest. A loan may be redeemed early as a result of the sale of the property or a mortgage refinance.
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VARIABLE INTEREST RATE

This is where the rate of interest will fluctuate based on a set criteria, for example, the European Central Bank (ECB) base lending rate. However, unlike its cousin, the tracker mortgage, adjustments of the rate of interest charged on variable rate mortgages is at the discretion of the lending institution that provided the mortgage.
DISCOUNTED VARIABLE INTEREST RATE

These are discounted interest rate options available for a short-term period (such as 6-months or 12-months).
CAPPED TRACKER MORTGAGES

This is a variable interest rate and provides a facility where there is a pre-agreed cap in the rate of increase on the mortgage, REGARDLESS of the decisions taken by the Governing Council of the European Central Bank. The concept offers some insulation against interest-rate increases by the ECB.
SPLIT-RATE MORTGAGE
This is a mortgage where part of the interest rate on the loan is fixed and part is variable. It is typically used by someone who wants to gain some benefit from various options in a changing interest rate environment.
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MORTGAGE TERMS
Long or Short - U decide
A limited number of banks offer 40 year terms. However, the most common loan terms for a first time buyer are 30 and 35 year terms. A benefit of a longer term mortgage is it provides a lower monthly repayment option to the borrower. However, longer mortgage terms will incur greater interest charges over the lifetime of the loan. Below is an example of the monthly repayments on a loan terms:
Loan Amount Loan Term Monthly Repayment
100,000 mortgage based on various
100,000, Rate 4.5% (for illustrative purposes only, actual circumstances will vary) 20 years 25 Years 30 Years 35Years 633 556 507 473 40Years 450
GREAT! LOWER MONTHLY PAYMENTS, BUT WHAT IS THE INCREASED COST IN INTEREST CHARGES?
The longer the term of your mortgage, the greater the cost of interest charged. Using the example above, the total interest charged on a loan paid to completion is as follows: Loan Amount Term 20 years 25 years 30 Years 35 Years 40 Years 100,000, Rate 4.5% Total interest charged* 51,000 (in addition to the borrowed amount) 67,000 (in addition to the borrowed amount) 82,000 (in addition to the borrowed amount) 98,000 (in addition to the borrowed amount) 115,000 (in addition to the borrowed amount)
*Examples are provided for simple illustrative purposes only. Actual individual circumstances may vary.
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INTEREST ONLY LOANS

CAN I GET ONE?
Interest-only loans are generally available from a select number of lenders. For first time buyers, interest only loans are available for a limited period. The concept of interest-only is as follows: When a bank lends money in the form of a mortgage, there are two parts to that loan. The principal balance (this is another word for the actual mortgage amount) and the interest charged on the loan. On a standard annuity mortgage, both the principle balance of the mortgage and the interest are paid off when the borrower makes their monthly repayment. However, with an interest-only mortgage, only the interest is paid off and the principle balance remains at the original balance. At the end of the interest-only period, the entire amount that you have borrowed will still be outstanding. Check out the mortgage calculator on moneycoach.ie to see how this works. Using the example of a 100,000 mortgage and a rate of interest of 4.5%*, the difference of a standard annuity repayment and an interest-only repayment is as follows: Loan Amount 100,000, Rate 4.5% Loan Term 20 years 25 Years 30 Years Interest Only Monthly Repayment 633 557 507 375
*Examples provided for illustrative purposes only. Individual circumstances may vary
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HOW MUCH CAN I BORROW?

Up until a few years ago, mortgage lenders assessed an applicants borrowing capacity using a multiple of their gross earnings; in the case of a joint applicant, the qualifying mortgage amount was calculated using two-and-a-half times the first income plus the second income. Most lenders now use the nets approach, which looks at the applicants ability to repay based on their net disposable income. As a general rule, a lender will advance funds up to the point where the monthly repayments do not exceed 35% of the applicants net disposable income. The use of the net disposable income approach provides for a more realistic assessment of an individuals capacity to borrow and, unlike the income-multiples calculation, takes into account changes to personal income taxes, interest rates and other loans/ savings. Under the nets method, two applicants on the same income may qualify for different loan amounts depending on whether or not each has other loans outstanding. For example, a typical limiting factor on maximum loan amounts would be the existence of a car loan. Other factors that will determine the maximum loan amount applicants qualify for can include interest rates, savings and plans to rent out a room.
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There is no simple formula which first time buyers can use to estimate the amount they can borrow as each of the banks and lending societies use slightly different calculations. Therefore, it is important to get good advice from an independent mortgage advisor on the different borrowing amounts you can get from each lender. Below is a broad guide derived from a number of national lenders: (Examples based on a rate of 4.5%, mortgage term of 30 years). Sole Applicant
INCOME (Per year) QUALIFYING LOAN AMOUNT* (estimated)
Joint Applicants
INCOME 1 (Per year) INCOME 2 (Per year) QUALIFYING LOAN AMOUNT* (estimated)
30,000 40,000 50,000 60,000 70,000
144,000 174,000 207,000 238,000 269,000
20,000 20,000 20,000 25,000 25,000
20,000 25,000 30,000 30,000 35,000
211,000 229,000 250,000 268,000 282,000
*All examples provided for illustrative purposes only. Individual circumstances will vary.
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EUROPEAN CENTRAL BANK

Since joining the Euro-zone in 1999, Irish interest rates are no longer determined by the Irish authorities and are controlled centrally by the European Central Bank (ECB). Every month the Governing Council of the ECB, made up of the heads of all the Euro-zone national central banks along with the six-member Executive Board of the ECB, meet to decide the appropriate interest rate policy for the Euro-zone. The primary objective of the ECB is to maintain price stability over the medium-term in the Euro-zone, which is explicitly defined by an inflation target of below but close to 2%. If the ECB believes inflation will rise above the target rate in the future, then it will increase interest rates; if it believes that inflation will fall too low below the target rate, it will reduce interest rates. Typically, interest rates will increase when the Euro-zone economy is performing well and fall when the economy is in a downturn. For homeowners, decisions taken by the ECB will have a direct impact on the rate of interest they will make on their variable rate mortgage (as well as other borrowings). Banks generally will adjust the rate of interest they charge customers shortly after the ECB has acted. Customers who have standard variable rate mortgages can have rates of interest adjusted independent of the ECB.
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STAMP DUTY
KNOW YOUR STAMP DUTY
Stamp duty is a tax payable to the Government based on the documents used in the transfer of property. For stamp-duty purposes, a first time buyer is defined as a person who has not on any previous occasion (individually or jointly) purchased or built a home on their own behalf in Ireland or abroad. The property must be used as their principal place of residence and it cannot be rented out (excluding the rent a room scheme) for two years after completing the purchase. In certain circumstances, a divorced or separated person may be considered a first time buyer.
CURRENT STAMP DUTY RATES

Residential Property Consideration First 125,000 Next 875,000 Excess over 1,000,000 First Time Buyer Nil Nil Nil Owner Occupier Nil 7% 9% Other Investors Nil 7% 9%
N.B. all new homes less than 125 square meters are exempt from stamp duty for all owner-occupiers.
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RENT A ROOM
The Rent-A-Room scheme has been available since 2001 and provides owneroccupiers with a significant option to help make their mortgage payments if and when they choose to avail of the scheme.
For more information go to www.revenue.ie
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MORTGAGE INTEREST RELIEF (TRS)

ITS YOUR MONEY WHICH THE GOVERNMENT WANTS TO RETURN TO YOU!
It is possible to claim tax relief on the interest you pay on your mortgage. Under TRS, the mortgage lender gives the relief either in the form of a reduced monthly mortgage payment or a credit to the borrowers funding account. Check out the maximum annual amount available at www.revenue.ie or contact Irish Mortgage Corporation on 1850 444 474. Your account is credited each month The TRS application form is available from www.revenue.ie
Tax relief is set by the Department of Finance and may be subject to change.
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PROBLEM SOLVER
PROBLEMS GAINING MORTGAGE APPROVAL? THERE ARE A NUMBER OF POSSIBLE SOLUTIONS
For first-time buyers, applying for a mortgage can be a daunting process. Most will gain mortgage approval. However, some will be denied. The following is a brief overview of some of the main denial reasons. Solutions are also included.
PROBLEM:
TOO MANY BILLS ALREADY
This is a common problem first time buyers can face when they are looking to qualify for the maximum loan amount. Having too many debts outstanding will limit the total amount of a mortgage a first time buyer will qualify for.
SOLUTION: Keep your borrowings to a minimum if you plan to purchase

a home in the near future as they will affect how much you can afford. Pay off your existing loans as quickly as possible.
PROBLEM:
TOO SHORT A WORK HISTORY
Lenders typically look for a set period of time in work and that you have completed the probationary period. Additionally, if someone is self-employed, they can encounter problems gaining mortgage approval. Many banks typically adopt a wait-and-see approach.
SOLUTION: Applicants may have to wait a while if they just started a

new job or recently became self employed. You need to consider your options with an independent mortgage broker.
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PROBLEM:
INSUFFICIENT INCOME
This is a big reason why many first-time buyers will find it difficult to get the full mortgage amount they require.
SOLUTION: If someone wants to buy a property for more than their individual purchasing power allows, consider buying with a friend. However, just in case the friend decides to move on in a year or two, make sure to get good legal advice in advance.
All problems / solutions provided are for illustrative purposes only
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YOUR CREDIT REPORT (ICB)

CREDIT REPORTS & WHAT YOU SHOULD KNOW
How you pay your monthly bills is a central issue in whether or not your mortgage (personal loan, credit cards and even car loan) application is approved. Currently, all banks and lending institutions, including credit card companies and other finance companies, report into the Irish Credit Bureau and also access it when new and existing clients apply for credit. In addition to all loans being reported, other information that can be reported to the Irish Credit Bureau include judgements, collection items, defaults loans and revoked credit cards, as well as the standard items including mortgage payments that are greater than 30 days passed due. Banks and other lenders not only want to know the level of debt each applicant currently owes, they also need to know how that debt is managed and, most importantly, how they can expect the applicant to manage the new loan (be it a mortgage, personal loan or credit card). Homeowners who want to find out what information the Irish Credit Bureau holds on them can access it by contacting the Irish Credit Bureau directly at: The Irish Credit Bureau ICB House, Newstead, Clonskeagh, Dublin 14 Tel: (01) 260-0388 Web: www.icb.ie.
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PROTECTION
Know your Protection options
1. LIFE COVER
Life cover will clear your mortgage in the event of an untimely death.
2. SERIOUS ILLNESS
Serious illness cover is designed to clear your mortgage on diagnosis of a particular illness including cancer, heart disease, stroke, etc.
3. INCOME PROTECTION
Income protection will provide a replacement income if you are unable to work over the medium or long-term.
4. MORTGAGE REPAYMENT PROTECTION

Mortgage repayment protection will pay your mortgage if you cannot work for a variety of reasons including short-term illness, redundancy or injury.
5. HOME & CONTENTS INSURANCE

Home & Contents insurance will need to be in place before you move into your new home. Banks will insist on this to ensure that in the unfortunate situation of a fire, you will have the protection to rebuild your property. Home insurance is separate from contents insurance (hence the doublebarrelled name; House & Contents) but generally, they are sold as the same policy, you just list the personal items, and their respective value that you want to insure, when you apply for house insurance. There are any number of house insurance options available on the market today.
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WHAT DO THEY MEAN WHEN THEY SAY?

Have you ever been baffled by mortgage terms? Below we provide a handy guide to the most common jargon used by the banks, building societies, auctioneers and solicitors.
1. ANNUAL PERCENTAGE RATE (APR)

The measure of the cost of credit stated as a yearly rate and includes such items as the stated interest rate, plus certain charges.
2. APPROVAL IN PRINCIPLE (AIP)

This is mortgage approval subject to finding a property. IT IS VERY IMPORTANT THAT FIRST TIME BUYERS GET THIS IN ADVANCE OF LOOKING FOR A PROPERTY.
3. CONVEYANCING
The term used for the legal work involved in buying and selling property.
4. CREDIT BUREAU
An independent agency that gathers and maintains information on the debts and repayment records of individuals.
5. LOAN-TO-VALUE (LTV) RATIO

The relationship between the loan amount and the value of the property. If the property is worth 100,000 and the mortgage is 80,000 then the loan-to-value is 80%
6. TITLE
A legal document evidencing a person's right to or ownership of a property. Your solicitor will ensure that the seller is the legal owner of the property and identify disputes or claims against the property.
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7. VALUATION REPORT
This is an inspection of the property by the lender to ascertain its value and to find out whether it is a suitable property to lend on. This is carried out by an independent valuer on behalf of the lender.
8. SALE BY PRIVATE TREATY

This is the term when the property is bought other than at auction or by tender. This sale is agreed in principle prior to signing of contracts. The price is negotiated between the buyer and the seller.
9. SIGNING OF CONTRACTS
This is a written legal agreement between the seller and buyer. The agreement is legally binding. If the buyer terminates the contract after signing they may lose the deposit already paid.
10. STRUCTURAL SURVEY

This is the full inspection of the property to ensure that it is structurally sound. While this survey is optional, it provides the greatest protection to buyers. It is essential for a second-hand property, while almost all new homes are covered by either the HomeBond or Premier guarantees.
11. CLOSING
This is the date the sale of the house is completed. The purchaser receives the keys to the house.
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SOLICITORS
Their very important role
THE ROLE OF THE SOLICITOR IS TO PROTECT THE PERSON BUYING A PROPERTY
The purchase of property involves a number of complex processes and various parties. A solicitor is there to protect your interests. It is recommended that when choosing a solicitor to represent you during the purchase of your new home, you select one that specialises in property transactions. For example, the new home that you will be purchasing will involve the transfer of title, or ownership of the property. What this means is that legally binding contracts will be exchanged whereby you (the buyer) agree to buy the property (for an agreed sum) and the current owner (the seller) agrees to sell you the property. One area that the solicitor will check on your behalf is to verify that the person selling you the home actually owns it and is legally entitled to sell it to you. Among other issues, your solicitor will, for example, also verify that there are no immediate planning issues that may adversely affect transfer of ownership of the home. Another aspect adding to the complexities of the purchase and sale of property is the mortgage. Again, your solicitor is there to protect your interests and make sure the terms and conditions contained within your mortgage contract are as you have agreed and understand them. There are a growing number of solicitor firms who are willing to offer competitive quotes on legal fees, so it is advisable to shop around for best value.
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MORTGAGE BROKERS What are they?

A broker is someone that arranges a service between two parties. In the case of a mortgage broker, the broker arranges a mortgage on behalf of a customer and with a bank that the broker has deemed to offer best value to the client. In Ireland, mortgage brokers are regulated by the Financial Regulator. Mortgage brokers are required to meet certain standards and adhere to specific practices that are designed to protect consumers. The benefits of dealing with a mortgage broker include:
FULL AND COMPLETE SERVICE

A mortgage broker will not only help you negotiate the best mortgage deal from the banks, they also provide a full mortgage service. This includes advising on all necessary paperwork required to complete each mortgage application.
FULL INDEPENDENCE
Brokers are not tied to any one bank and can offer impartial advice on products available on the market.
COMPREHENSIVE CHOICE
The largest mortgage brokers will deal with all of the banks, which means that consumers dont have to visit or call all the banks individually to avail of the best value on their mortgage.
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PROFESSIONAL SERVICES
SURVEYORS
The role of the Structural Surveyor is to protect the person buying a property
A structural survey is a full inspection of the property to ensure that it is structurally sound. While this survey is optional, it provides the greatest protection for the buyer and is strongly recommended if you are purchasing a second-hand property, as any faults will be identified and you can budget for any necessary renovations. The structural surveyor will recommend any structural building works or repairs that need to be carried out on the property.
SNAGGING
If you are buying a new home, you will need to snag the property before you close the sale. This involves identifying any outstanding work that needs to be done by the builder on the property e.g. plastering, painting, fixtures and fittings. You can snag the property yourself or, alternatively, pay a professional (usually a surveyor) to do it for you.
VALUERS
The role of the Valuer is to protect the person buying the property
A valuer will assess the value of the property you wish to buy and ensure it is worth at least the asking price for the purpose of a mortgage.
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NOTES
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NOTES
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WARNING: The cost of your monthly repayments may increase. If you do not keep up your repayments, you may lose your home. WARNING: The entire amount you have borrowed will be still outstanding at the end of the interest-only period WARNING: You may have to pay charges if you pay off a fixed-rate loan early WARNING: This new loan may take longer to pay off than your previous loans. This means you may pay more than if you paid over a shorter term. DISCLAIMER All examples, illustrations etc provided in this book are done so for illustrative purposes only. The report should not be relied on as a basis for entering into transactions without seeking specific, qualified, professional advice. Whilst facts have been rigorously checked, MoneyCoach.ie can take no responsibility for any damage or loss suffered as a result of any inadvertent inaccuracy within this book.
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118 Lower Baggot Street, Dublin 2. Email: info@moneycoach.ie www.moneycoach.ie
Version Oct. 2010

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FIRST TIME BUYERS GUIDE

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Money coach 140x160:Layout 1

FIRST TIME BUYERS GUIDE

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2. MAINTAIN A GOOD CREDIT HISTORY

3. FIND OUT HOW MUCH YOU CAN BORROW

4. SHOP AROUND FOR YOUR MORTGAGE

5. HOLD OFF ON ADDITIONAL COSTS

Money coach 140x160:Layout 1

9. BUYING WITH A FRIEND

FIRST TIME BUYERS GUIDE

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PRE LOAN APPROVAL

FORMAL LOAN APPROVAL

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MONEYCOACH.IE MAKING IT EASIER

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PRE LOAN APPROVAL

4. PAY A BOOKING DEPOSIT

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FORMAL LOAN APPROVAL

6. FORMAL LOAN APPROVAL

FIRST TIME BUYERS GUIDE

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MORTGAGE OPTIONS & INTEREST RATES

FIXED INTEREST RATE

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VARIABLE INTEREST RATE

DISCOUNTED VARIABLE INTEREST RATE

CAPPED TRACKER MORTGAGES

FIRST TIME BUYERS GUIDE

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100,000 mortgage based on various

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INTEREST ONLY LOANS

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HOW MUCH CAN I BORROW?

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30,000 40,000 50,000 60,000 70,000

144,000 174,000 207,000 238,000 269,000

20,000 20,000 20,000 25,000 25,000

20,000 25,000 30,000 30,000 35,000

211,000 229,000 250,000 268,000 282,000

FIRST TIME BUYERS GUIDE

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EUROPEAN CENTRAL BANK

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CURRENT STAMP DUTY RATES

FIRST TIME BUYERS GUIDE

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For more information go to www.revenue.ie

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MORTGAGE INTEREST RELIEF (TRS)

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TOO MANY BILLS ALREADY

SOLUTION: Keep your borrowings to a minimum if you plan to purchase

TOO SHORT A WORK HISTORY

SOLUTION: Applicants may have to wait a while if they just started a

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FIRST TIME BUYERS GUIDE

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YOUR CREDIT REPORT (ICB)