First Time Buyers:
A First time Buyer is someone who never had a Home loan before, ever or anywhere.
Taking out a mortgage and buying a new home is probably the biggest and most exciting financial
decision you will ever make. It involves a lot of planning and organisation and that’s why, at DNG McCormacks, we are with you every step of the way.
Maximum Loan to Value (LTV) for a First Time Buyer is 90%.
Max borrowing is 3.5 times combined income subject to several factors including, but not limited to, age, number and age of dependents, existing financial commitments, level of savings etc.
Why use DNG McCormacks when applying for a Mortgage?
Using a Mortgage Broker such as ourselves saves you the time and hassle involved in going direct to each Lender. We deal with many Lenders and can advise you on the best interest rates and which Lenders are most likely to approve your application based on their Lending criteria.
We deal with the following Lenders:
- KBC
- Haven (AIB)
- PTSB
- Finance Ireland
- ICS Mortgages
Approval in Principle
Before you start looking at properties, you ideally need to have ‘approval in principle’ from a Lender. This lets you know how much you can afford to spend on a new property. Many Auctioneers require you to have this prior to viewing properties.
What do lenders base their decision on?
- Income: Lenders will look at your annual income and some may take bonuses and overtime into account. Some may factor in rental income if you plan to rent out a room
- Age: What age you are now, what age you will be when you retire and/or when the mortgage ends.
- Outstanding loans: if you have other loans or a high credit card balance this may reduce the amount you can borrow or may affect your ability to get a mortgage.
- Employment status: A lender will look at whether you are in permanent employment or on probation. If you work on contract they may require you to be employed for at least 12 months with the same employer or be on a second contract with the same employer.
- Residential status: Are you a resident in Ireland or a returning emigrant.
- Outgoings: Lenders will take your other financial commitments, such as childcare, into consideration.
- Money management: Lenders will look at your bank statements and assess things like ability to meet direct debits and standing orders, if you are using an overdraft facility on a regular basis, if there is evidence of excessive use of online gambling etc.
- Savings: This shows that you have saved enough for your deposit and have the ability to save a set amount of money on a regular basis.
- Credit history: This shows your track record of paying other loans in the past. A poor credit history can prevent you from getting a mortgage.
- Property value: The purchase price of the home you want to buy (if you have one in mind) and the value of your current home, if you plan to sell and buy a new home.
- Amount you wish to borrow: This is the amount you apply for and is the difference between the purchase price of the property and the deposit you have saved.
- Guarantor: Someone acting as guarantor and agreeing to repay the loan if you can’t.
- Number of applicants: Are you borrowing by yourself or with someone else.
Application Process
You will need to complete an application form and supply a number of documents such as the following:
- Proof of Identity - Passport or Driving Licence
- Proof of Residence - A recent utility bill* *No more than 3 months old e.g. ESB, telephone, Credit Card Statement
- Employment Summary Detail (previously known as the P60) - you can this from the My Account facility on the Revenue website
- Last 3 payslips - 3 months payslips so if paid weekly it's actually the last 13 weeks payslips
- Bank Statements - 6 months original continuous Current Account Bank Statements for both personal and business bank accounts (the latest dated within the last 3 months)
- Savings/Balance of Funds - 6 months continuous original Savings Account Bank Statements or e-statements (the latest dated within the last 3 months) showing accumulation of savings balances plus Any other documentation required to verify savings record and/or the balance of funds required.
- Credit Card Statements - 2 months continuous original Credit Card Statements or e-statements (the latest dated within the last 3 months)
- Evidence of Deposit – if not included on any of the above
- Existing Loans - Minimum 6 Months Statements for any borrowings held
- Accounts - Last 3 years Audited/Certified Accounts and Tax Returns
- Tax Affairs - Letter from Accountant confirming tax affairs are up to date/tax clearance cert
First Time Buyers Help to Buy incentive
You may be able to use the Help to Buy incentive to help you with the deposit for a newly built home or a once-off self-build. This scheme provides a refund of income tax and DIRT paid over the previous four years for people who have bought or self-built a new residential property between 19 July 2016 and 31 December 2021 up to certain limits and within certain criteria.
Fee
For Mortgages of €100,000 or more, we charge a fee of €350 including VAT. For Mortgages less than €100,000 we charge a fee of €500 including VAT
Please 
Call usCall us to find out how much you could borrow.
Getting the keys to your new home could be sooner than you think!
Switchers:
A Switcher is someone who currently has a Mortgage and is looking for a better interest rate.
A straight switcher is someone who switches from one provider to another without taking any additional funds.
Max borrowing is not limited to a max 3.5 times combined income in this instance
Suitable for people who fulfil the following criteria:
1. The Mortgage you would like to switch is on your Principle House/Family Home
2. You are in positive equity i.e. you owe less than the property value. The lower your LTV, the more attractive the interest rate.
3. You are on a variable rate
4. The term remaining on your Mortgage is at least 5 years or greater
Not suitable for:
1. People in negative equity
2. On Buy to Let properties
3. People on Tracker rate Mortgages
4. People on a fixed rate
5. The term remaining on your Mortgage is 5 years or less
Huge savings can be made by switching Mortgage Lender.
Please Call usCall us to find out how much you could save.
Tip: Prior to contacting us, we recommend that you check all available interest rates with your existing Lender. A Switcher is someone who currently has a Mortgage and is looking for a better interest rate.
Why use DNG McCormacks when switching Mortgages?
Using a Mortgage Broker such as ourselves saves you the time and hassle involved in going direct to each Lender. We deal with many Lenders and can advise you on the best interest rates and which Lenders are most likely to approve your application based on their Lending criteria.
We deal with the following Lenders:
- KBC
- Haven (AIB)
- PTSB
- Finance Ireland
- ICS Mortgages
What do lenders base their decision on?
- Income: Lenders will look at your annual income and some may take bonuses and overtime into account. Some may factor in rental income if you plan to rent out a room
- Age: What age you are now, what age you will be when you retire and/or when the mortgage ends.
- Outstanding loans: if you have other loans or a high credit card balance this may reduce the amount you can borrow or may affect your ability to get a mortgage.
- Employment status: A lender will look at whether you are in permanent employment or on probation. If you work on contract they may require you to be employed for at least 12 months with the same employer or be on a second contract with the same employer.
- Residential status: Are you a resident in Ireland or a returning emigrant.
- Outgoings: Lenders will take your other financial commitments, such as childcare, into consideration.
- Money management: Lenders will look at your bank statements and assess things like ability to meet direct debits and standing orders, if you are using an overdraft facility on a regular basis, if there is evidence of excessive use of online gambling etc.
- Savings: This shows that you have saved enough for your deposit and have the ability to save a set amount of money on a regular basis.
- Credit history: This shows your track record of paying other loans in the past. A poor credit history can prevent you from getting a mortgage.
- Property value: The purchase price of the home you want to buy (if you have one in mind) and the value of your current home, if you plan to sell and buy a new home.
- Amount you wish to borrow: This is the amount you apply for and is the difference between the purchase price of the property and the deposit you have saved.
- Guarantor: Someone acting as guarantor and agreeing to repay the loan if you can’t.
- Number of applicants: Are you borrowing by yourself or with someone else.
Application Process
You will need to complete an application form and supply a number of documents such as the following:
- Proof of Identity - Passport or Driving Licence
- Proof of Residence - A recent utility bill* *No more than 3 months old e.g. ESB, telephone, Credit Card Statement
- P60
- Last 3 payslips
- Bank Statements - 6 months original continuous Current Account Bank Statements for both personal and business bank accounts (the latest dated within the last 3 months)
- Savings/Balance of Funds - 6 months continuous original Savings Account Bank Statements or e-statements (the latest dated within the last 3 months) showing accumulation of savings balances plus Any other documentation required to verify savings record and/or the balance of funds required.
- Credit Card Statements - 2 months continuous original Credit Card Statements or e-statements (the latest dated within the last 3 months)
- Evidence of Deposit – if not included on any of the above
- Existing Loans - Minimum 6 Months Statements for any borrowings held
- Accounts - Last 3 years Audited/Certified Accounts and Tax Returns
- Tax Affairs - Letter from Accountant confirming tax affairs are up to date/tax clearance cert
Fee
For Mortgages of €100,000 or more, we charge a fee of €350 including VAT. For Mortgages less than €100,000 we charge a fee of €500 including VAT
PleaseCall UsCall Us to find out how much you could save.
Public Sector Mortgages:
If you work in the public sector, at DNG McCormacks we can offer you a mortgage which has been specifically designed for you.
These mortgages, which are provided by ICS Mortgages, are designed for First-time buyers, Second time buyers and those switching from another lender and possibly releasing equity in their home.
Only one applicant needs to be a public sector worker to avail of this offer.
Here are some of the key product features:
- Your basic income will be considered to be two points up your current pay scale.
With regard to Variable income the following will apply:
- Overtime: Up to 100% of regular overtime earned may be factored into our assessment if your employer confirms it is regular on your salary certificate.
- Allowances: 100% of contractual allowances will be factored in if your employer confirms it is guaranteed and is evident on the most recent Employment Detail Summary and on target income for current tax year
- Employees who are promoted within the Civil Service on a one year ‘probationary’ period will be considered
- New entrants to the Civil/ Public service who are subject to any probationary period will be reviewed on a case by case basis. Your previous employment history will be required to establish your experience and suitability for their new position.
- Mortgage rates starting at 1.95%.
- A range of variable, 3 and 5 year fixed rates.
- An overpay facility – you can pay an additional 20% off the loan amount in any 12 month period without penalty whether you are on a fixed or variable rate. This will reduce your mortgage term and the amount of interest you pay.
- Mortgage breaks – customers can apply for a 3-month break from their mortgage up to 3 times throughout their mortgage term. This is to give a little breathing space during certain life events such as the birth of a child, medical or educational expenses. The mortgage must be drawn down for at least 12 months before applying for a mortgage break.
Key Qualifying Criteria:
- All properties must be in the Republic of Ireland
- They must be used as Principal Dwelling Houses
- Applicants must have the required permission to reside and work in the state
- A full valuation of each property is required
- Security, buildings insurance and life cover are required
- Minimum age of applicants is 18 years and maximum age on maturity is 70 years
- Applicants must have a proven repayment capacity to meet stress test repayments
If you are a Public Sector employee, please Call usCall us and we would be delighted to give you further details of this attractive mortgage package.
Getting the keys to your new home could be sooner than you think!
Fee
For Mortgages of €100,000 or more, we charge a fee of €350 including VAT. For Mortgages less than €100,000 we charge a fee of €500 including VAT
