New Mortgage Rules:
New lending changes will see first-time buyers able to borrow up to four times their income for a mortgage, from this month (January 2023).
The previous limit was three-and-a-half times your income.
Second-time buyers will no longer need to have a 20% deposit when purchasing a new home. From this year they will be able to secure a mortgage if they have a 10% deposit.
Second and subsequent buyers will continue to be restricted to borrowing three-and-a-half times their income for a mortgage.
The definition of a first-time buyer has also been expanded.
Borrowers who are divorced or separated, or have undergone bankruptcy or insolvency, may be considered first-time buyers for mortgage purchases, where they no longer have an interest in the previous property.
DON’T FORGET!
The Help to Buy scheme also remains in place.
The Help to Buy scheme, is a government tax refund scheme designed to help first-time buyers get the deposit needed to buy a newly built home. Borrowers can claim a maximum of 10% of the value of the property or €30,000 – whichever is lower.
The Help to Buy incentive is designed to help first-time buyers with the deposit necessary to buy their new home.
All OLOS home qualify under the Help to Buy scheme.
