First Time Buyers Donegal

As a first-time buyer in Letterkenny and Donegal, navigating the world of mortgages can be overwhelming. With so many lenders, mortgage products, and options available, it’s hard to know where to start. At Find a Mortgage, we are here to help.

First-Time Buyers’ Mortgage Letterkenny & Donegal Step-by-Step Guide

This is our step-by-step guide to mortgages for first-time buyers. We hope you find the information helpful.

It has been said that buying a house and securing a mortgage is the biggest financial decision of our life. We strongly believe that Important financial decisions should be supported by appropriate professional advice.

We hope buyers use the information on our site to understand more about mortgages and the options available.

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First Time Buyer Mortgage Donegal House

To find out more about our services and our mortgage brokerage facility please follow this link Why Us?

7 Point Guide for First Time Buyers Mortgage Donegal 

  1. Use our website to educate yourself
  2. The information required for for a mortgage application
  3. Meet with an advisor, we can meet you in person or on Zoom / Teams
  4. Presentation of applications to lenders
  5. Once approved you need to find a house!
  6. Choosing a solicitor and arranging insurance
  7. Signing offer letters and contracts

Findamorgage.ie website is updated constantly with changes and is designed to keep you informed about the mortgage market.

We hope that through reading our various articles you will gain a greater understanding of the Mortgage process.

In essence, our site is a tool for saving time and Money. We also recommend having a chat with us to discuss your individual circumstances. You give us a call any time if you have any questions at 074 910 3938

2. Information required for your mortgage assessment & application

  • Colour Copy of Photographic ID (originals or certified copies)
  • Address verification (household bills)
  • Proof of PPSN
  • Most recent 6 months’ bank account statements (for all bank accounts)
  • Most recent 6 months’ savings account statements
  • Most recent 6 months’ credit union statement (if any)
  • Last 6 months’ credit card statements (if any)
  • 12 months’ statement on all loans (if any)
  • Latest annual statement on all Mortgages (if any)
  • Completed gift letter, if applicable (template available from your broker or lender)
  • If you live or have worked overseas you will need a credit report from that country
  • If you have a bank account in another country (other than Ireland) you will need a credit history report from that country
  • Marriage Cert (if applicable)
  • Copy of your Divorce or separation agreement (if applicable)

If Employed

  • 3 recent payslips
  • Most recent Employment Detailed Summary (Available from your Revenue online account)
  • Salary Cert (available from your broker or lender)

If Self Employed

  • 2 years’ accounts (if you have 3 year’s, it is even better)
  • 2 years’ revenue notice of assessment as above, if you have 3 year’s
  • 2 years’ form 4 & chapter 11 (again 3 years if available)
  • Confirmation from your accountant that all taxes are up to date
  • Confirmation of tax clearance cert
  • Most recent 6 months business bank account statements (for all bank accounts)
  • 12 months’ statement on all business loans

If Building

  • Break down of build costs (template available from your broker or lender)
  • Copy of Architects PI cover
  • Completed gift letter if site was gifted (template available from your broker or lender)
  • Copy of the site map, OSI Map with the subject site marked off.

3. Meeting clients in person

We like to meet with you in person. We can arrange meetings at times that suit you. Either in office of viturally, whichever suits you.
This is a key element of our process and it gives you a chance to understand fully the services we provide and also gives your mortgage advisor an excellent opportunity to identify your unique needs.

The meeting will cover many areas including:

  • Identify your needs and requirements.
  • Advise on our terms of business
  • Preliminary advice on lender options
  • Discuss possible rate & term options
  • Discuss the application process.
  • Answer are questions you may have.

4. Presentation of applications to lenders

Following an initial meeting, your advisor will

  • Analyse your proposal in detail
  • Provide you with a list of all the relevant supporting documents needed.
  • Seek explanations where appropriate to support your application.
  • Review lenders’ latest lending criteria as it relates to your circumstances.
  • Prepare letters of recommendation for our lenders.
  • Review lender’s decisions in light of your mortgage requirements.
  • Where appropriate challenge the lender’s decision by argument and through further supporting documentation.
  • Discuss lenders decision with you

5. Finding a house!

Once your mortgage is approved, then the exciting part for you is to find your first home. It is a major decision, but it is usually good fun, it can be stressful though.
With your mortgage approval in hand, you are in a great position to bid and agree to a property purchase.
Draw up a list of Must Have, things like

  • The number of bedrooms
  • Detached or Semi Detached
  • Near public transport
  • Near schools

This list can include anything that your new house “must have” and it is your individual list. This will shorten the search time. If a house does not have all your “Must Haves” then no point looking at it.

Buying at the right price is the cornerstone of any purchase. It is important to remember that information is your best asset. The more information you have the better the final decision. So, when you have narrowed down the area in which you want to buy make sure nothing happens there without you knowing!
Generally, a (refundable) booking deposit will secure a property deal and this deposit is followed by the seller sending a contract to your chosen solicitor.
Our Mortgage Advisors are there to assist you in the negotiation process if you so wish. Don’t forget this is a buyer’s market!
We also strongly advise (if for some reason you don’t choose us) that you never engage a mortgage advisor who is part of an estate agent business. There is a clear conflict of interest in such a situation and it works against you.
Remember that Estate agents act for property sellers so you can take it that they are not acting in the buyers best interest. Never tell an estate agent your mortgage approval limit!.

6. Choosing a solicitor and arranging insurance

Now it is time to choose your solicitor as you need to inform the estate agent who it is. If you don’t have a solicitor, we can recommend a numbered of solicitors offering competitive pricing although we recommend that your choice of solicitor be firmly based on service and reputation and not just price.

You Need to arrange the insurance or Mortgage Protection needed.
We act as an intermediary for all of Ireland’s leading life companies and will provide the best quotes available in the market for your mortgage protection and any other protection needs
For house insurance we offer a referral service to other companies who will provide quotes and you are of course free to seek quotes elsewhere.
We also have a panel of structural surveyors we are happy to recommend. We recommend that a structural survey be carried out in all house purchases.

7. Signing offer letters and contracts

Having agreed on a sale, paid a booking deposit, and appointed a solicitor, the next step is for us to arrange a valuation of your property. We will arrange this for you and the valuation will be forwarded to the chosen lender, who in turn will issue a formal mortgage offer letter in respect of the property.
We will review the financial element of the offer and ensure that it is in accordance with your requirements. Your solicitor will review the legal element of the offer letter and advise in this regard.
Around the same time, the seller’s solicitor will issue a contract for the sale of the property to your solicitor.
Your solicitor will not let you sign contracts for the purchase of the property unless the mortgage offer has been received and is in order. You will need to attend the solicitors’ office to sign both the offer letter and the purchase contracts.
Following the completion of the purchase the contracts are returned to the seller and a closing date is agreed upon.
We will ensure that the life cover and home insurance are in order and that any special lender conditions are dealt with prior to closing.
A few days prior to closure the solicitor will request the loan cheque from the lender and will arrange for the completion of the transaction on the closing date.

Now, happy days, you get the keys.

Have Questions

If you have questions or need advice, don’t hesitate to give us a call at 074 910 3938 or Email Us

Recommendation on Application for Mortgage

The best recommendation is by far to get guidance from a source not connected to the lenders. The ideal person to provide this advice is a Mortgage Broker (like us). Many people talk themselves out of a mortgage by contacting lenders directly without first seeking guidance. We advise you to consult with us before making any mortgage or financial choices since the material above is provided for informational purposes only and in no way represents mortgage and or financial advice. We advise using a comprehensive strategy when making financial plans, and we can assist you in implementing your ideas.

Make Sure to Find a Mortgage Broker for Advice Donegal

When looking for a Mortgage in Letterkenny, Donegal, and Ireland, engaging a mortgage broker might provide a number of advantages and valuable benefits. Some benefits of engaging with Mortgage Brokers and Advisors are: offering access to a wide range of lenders, helping you save time and effort, providing expertise and knowledge, negotiating power, and personalized mortgage service.
Make an appointment with one of our advisors as you look for a mortgage in Donegal. Speak with us right now. We are available to assist you with your Mortgage concerns and worries. We are here to answer your questions. We offer advice for first-time buyers, re-mortgage or switcher mortgages, self-build mortgages, investor or holiday home mortgages, and more. Contact findamortgage.ie in Letterkenny, Co Donegal, or by phone at 074 910 3938.
The Central Bank of Ireland regulates Mortgage Brokers in Donegal, Ireland.

First Time Buyers Mortgage Questions Donegal | Frequently Asked Questions (FAQs)

How do lenders calculate how much I can borrow?

How much you can borrow really depends on what you can prove you can comfortably afford in monthly repayments for the life of the loan.
When assessing your borrowing capacity, the lenders will look at the overall financial situation. This will include:

  • Your income – only guaranteed income will be used for calculations. Bonuses and or overtime, which is not guaranteed, may not be taken into account.
  • Outgoings
  • Savings
  • Other loan repayments

A “stress test” will be carried out on all applications. This will show whether you could continue to pay your mortgage if interest rates were to increase.

What is the maximum term we can avail of?

The maximum term is 35 years or to age 68, whichever comes first. A couple of lenders will go to age 70. Our advisors will be able to advise which term best suits you.

How much of a deposit will I need to purchase my home?

For first time buyers or people switching provider can borrow up to 90% of the lower of the valuation or purchase price of the property. Second time buyers or mover, can borrow up to 90% of the lower of the valuation or purchase price of the property, provide they have no interest in any other property. Investors can borrow up to 70% of the lower of the valuation or purchase price of the property. Holiday home purchase is the same as for Investors.

This will vary between lenders and will also depend on the location and type of property.

I have a site and I am planning to build my own home – will I be able to get a mortgage?

 Mortgages are available for self-build customers subject to you meeting all the usual criteria.

See above for the loan to value amounts. Borrowing 100% of the build cost may be possible if you own the site already or it has been gifted you. Over all loan to value rules apply here though. Our advisors will be able to give you all the details.

What insurances will I need to take out with a mortgage?

There are two main types of insurances that you need to have in place before the lender will issue your loan. These are Mortgage Protection and House Insurance. You may also want to consider Income Protection. Our advisors will be able to advise on what policy best suits your needs.

What other costs are associated with purchasing a property?

Legal Fees:

You will need to choose a solicitor to act on your behalf.  It is worth shopping around to get the most competitive quote available. We have a panel of solicitors we are happy to recommend.

Valuation:

A valuation report must be completed for the lender. The standard valuation fee run between €150 & €185

Surveyors Fees:

A structural survey is not required by the lender (unless the valuation report states that a survey is required); however, for your own peace of mind we would recommend organising a survey on the property. Fees for a structural survey can vary between firms, so shop around. Again we are happy to recommend someone if you don’t have a surveyor in mind,

Stamp Duty:

Stamp Duty rates on land and buildings
Type of propertyConsiderationRate of Stamp Duty
ResidentialFirst €1 million1%
ResidentialExcess over €1 million2%
Non-residential6%*

For further information on Stamp Duty click here https://bit.ly/2Mjpoy2

Find a Mortgage fees:
See our full mortgage service breakdown

What Interest Rate options are available?

Variable Rate:
Your monthly repayments may rise and fall as interest rate changes over the life of the loan.
You have the option to make early or lump sum repayments without any penalty.
You can switch to a Fixed Rate at any time.

Fixed Rate:
Your repayments will stay the same for an agreed period. Some lenders offer up to 10-year fixed rates. This gives you the peace of mind of knowing that your monthly repayments are fixed and protects you from interest rate increases. Fixed rates are generally higher that variable rates.
A breakage cost may be incurred if you wish to pay a lump sum or switch to a variable rate during the fixed term.

Split Rate:
You can opt to split your loan between variable and fixed.

Who can I contact for advice and further information?

Please contact a member of our Mortgage Team who will be happy to answer all your questions 074 910 3938

Warning: If you do not keep up your repayments you may lose your home

Recommendation on Application for Mortgage

The best recommendation is by far to get guidance from a source not connected to the lenders. The ideal person to provide this advice is a Mortgage Broker (like us). Many people talk themselves out of a mortgage by contacting lenders directly without first seeking guidance.

Our advise is always to consult with a Trusted Mortgage Advisor, like us,  before making any mortgage or financial choices. The material above is provided for informational purposes only and in no way represents Mortgage and or Financial advice. We advise using a comprehensive strategy when making financial plans, and we can assist you in implementing your ideas.

Make Sure to Find a Mortgage Broker Donegal Advice

When looking for a Mortgage in Letterkenny, Donegal, and Ireland, engaging a mortgage broker might provide a number of advantages and valuable benefits. Some benefits of hiring Brokers and Advisors are: offering access to a wide range of lenders, helping you save time and effort, providing expertise and knowledge, negotiating power, and personalized mortgage service.

Make an appointment with one of mortgage advisors as you seek to find a mortgage in Donegal. Speak with us right now. We are available to assist you with your Mortgage concerns and worries. Ask us questions about mortgages. We offer advice on: first-time buyers’ mortgages, re-mortgage or switching providers, self-build mortgages, investor or property mortgages, and more. Contact findamortgage.ie in Letterkenny, Co Donegal, or by phone at 074 910 3938.

The Central Bank of Ireland regulates Mortgage Brokers in Donegal and the rest of the country.

Which Lender is right for you ?

Allied Irish Banks (AIB)
Bank of Ireland (BOI)
Finance Ireland
Haven Mortgages
EBS Building Society
Avant Money
ICS Mortgages
Permanent TSB
Excellent
Based on 108 reviews
dana doherty
dana doherty
2023-02-13
Pascal, Tanya and the team were so helpful throughout our mortgage process from the initial meeting to final approval. They were very helpful and friendly. A pleasure to work with.
M C.A.
M C.A.
2023-01-30
Paschal is not only an adviser but a good person. He has helped me set up my mortgage 15years ago and he’s still around giving advice. He’s very trustworthy. Thank you Paschal and God bless you for all your good deeds.
Marie Wilson Burns
Marie Wilson Burns
2023-01-18
Pascal & the team are excellent to deal with - highly recommend
Paul Magee
Paul Magee
2022-12-15
Excellent service from Pascal and the team. For a first-time buyer, his mortgage advice and expertise took the hassle out of the entire process. Highly recommend.
Meanit Web Design Agency Donegal and Dublin
Meanit Web Design Agency Donegal and Dublin
2022-10-14
Independent, clear, honest, friendly, trustworthy - we recommend Pascal Curran and the team at Advice First to our clients in Donegal, friends and family. Just simply explained, professional, experienced financial advice to suit your specific needs.
james m
james m
2022-09-28
Pascal gives good unbiased financial advice. I'd recommend him over many of the other "advisers" available.
Warning: If you do not keep up your First Time Buyers Donegal repayments you may lose your home