Common Questions for a First Time Buyer

I Have a First Time Buyer Query
First time buyers have it tough. Many don’t know their LTV from their LTI– and who can blame them? There’s so much that comes with buying a home, and so much financial mumbo jumbo out there. To help you out, we’ve answered all the top mortgage queries here. But if your query is still not answered, you can request a call back from your local mortgage coordinator below. They’ll be happy to give you any advice you need, or meet you for a relaxed chat about your options.

How do I apply for a mortgage?
A lot of good things start with a chat (just to see where you stand and to give you helpful advice). And a handy thing for you is that our advisors can meet you after hours if that suits you better – that can be before work, after work, and weekends. You’ll be taken through all your options in as much detail as you want and you’ll know exactly how you stand afterwards. 

I’m self-employed and applying for a mortgage. What are the requirements?
To give you a general idea, we need to have self-employed income in place for at least three years and returns made in all three years to get average income allowable.

How much deposit do I need to fund my mortgage?
From January 2017, the Central Bank rules changed for first time buyers. From this date, first time buyers are able to borrow a maximum of 90% of the value of the property (this percentage is known as the LTV, or Loan to Value of your home). Yep, that means you’ll need a 10% deposit.

It is a good idea at this stage, to have a chat with your local mortgage coordinator who can answer any questions relevant to your situation, before you begin your application.

How much can I borrow as a first time buyer?
From January 2017, the Central Bank rules were amended. First time buyers are able to borrow a maximum of 90% of the value of the property from this date (this percentage is known as the LTV, or Loan to Value of your home). Yep, that means you’ll need a 10% deposit.

The Central bank rules also state that first-time buyers can borrow up to 3.5 times their income (this is known as your Loan-to-Income ratio, or your LTI). 

How many years do I need to have a clean credit score for before applying for a mortgage? 
If you want to make your mortgage application, your lender will look at your credit rating among other factors. If you have had a bad credit score in the past, it can take up to five years or the Irish Credit Bureau to remove this, after the loan has closed. You can check your credit score on www.icb.ie.

Myself and my partner have two children. How much disposable income will I require after mortgage repayments are made?

As a general guide, a married couple with two children would need to have €2,550 per month after their mortgage and any other loans are paid monthly. But every case is unique so it is a good idea to have a chat with your local mortgage advisor.

What documents do I need to bring to my mortgage application?

Before you make your application, it’s a good idea to have a relaxed chat with your mortgage coordinator so they can make sure you’re ready. But if you do feel confident that you have everything in line, and would like to make the application, we’ve put together a list of the items;that we would require from you for your mortgage meeting. You can also download a mortgage application checklist here (handy!).

(1) Certificate of Income completed by employer

(2) Most recent P60

(3) 3 Recent Payslips

(4) 3 Years Certified Accounts for Self Employed Business

(5) 3 Years Form 11/ Notice of Assessment from Revenue Commissioners for Self Employed Business

(6) Accountsants Confirmation that Tax Affairs are up to date

(7) 6 Months Personal Current Account Statements

(8) 12 Months Business Current Account Statements for Self Employed Business

(9) 6 Months Statements of any personal savings accounts

(10) Completed Home loan Application Form

(11) Personal ID for both applicants (Drivers Licence or Passport that we can take a photocopy of)

I am interested in applying for a mortgage for a property outside of Ireland. How can EBS help?
Unfortunately, EBS does not lend money for properties outside of Ireland. Sorry we cannot be of more help to you at this time.