Buy To Let Q & A
The amount you can borrow depends on your current income and also your current outgoings. Irish
Lenders used to lend you a multiple of your yearly salary. However these days most lenders are more inclined
to look at what they think you can afford. Check out our How much can I borrow? calculator to get an idea of
how much you can borrow.
Yes. If you use the equity you have built up in an existing property then it is possible to
borrow the full purchase price. In this scenario the mortgage lender would require security
over the existing property.
Capital & Interest
More commonly know as a repayment mortgage. This is the most popular type of mortgage. Over your agreed mortgage term you pay both the interest and the capital in full. As long as you keep your payments up to date then your mortgage will be cleared at the end of your agreed term.Interest only
With an Interest only mortgage you elect to pay only the interest, the capital you borrow stays the same. This option is often chosen by Investors who intend to sell the property and pay off the mortgage at a future date. Interest Only mortgages have also become popular with First Time Buyers who want to keep their payments down in the first few years.Current Account Mortgage
This type of mortgage combines your mortgage account with your savings or current account to reduce your term or your repayments. The balance in your savings or current account is offset against your mortgage and so reduces the interest you pay.Fixed
With a fixed rate you can budget and know exactly what you will be paying for 1, 2, 3 or more years. MortgageLine can advise you of the best fixed rates on the market.Variable
A variable interest rate moves up and down to reflect changes in the financial market. Each of the Irish Mortgage Lenders set their own variable rates. These standard variable rates normally rise and fall in line with the ECB (European Central Bank) Rate, however there is no guarantee that they will.Tracker
A Tracker Rate is a variable rate with a guarantee to be set at a fixed percentage above the ECB base rate. For example if the ECB rate falls 1% your rate will reduce exactly 1%. The opposite happens if the ECB rate rises. In recent years Tracker rates have become more popular than Standard Variable rates because they offer better value for customers.Discounted
Most lenders offer discounted rates. This will lower your repayments for the discounted period, normally one to two years. After the discounted period you will move to the lenders standard variable or tracker rate. If you prefer you could opt for a fixed rate after the discounted period.Capped
These mortgages guarantee that your interest rate - and your monthly payment - will never go above a set figure within the capped-rate period. Below that set figure, the rate will move up and down in line with the European Central Bank rate.Just like any other mortgage, buy to let mortgages come in all sorts of shapes and sizes.
What's best for you really depends on what's likely to happen to interest rates and how
much stability you want around your mortgage payments. There's also your loan to value ratio
and whether it's a single property or part of a bigger portfolio. Don't worry, we're here to
help you choose.
Mortgage Lenders will normally contact your employer to confirm your salary and employment
status but not without your permission.
If you take a fixed rate then there will be early repayment charges if you pay some or all
of the mortgage off during the fixed term. You should check the charges before you sign your Mortgage Loan Offer.
Some mortgage lenders offer to pay some or all of your Legal fee's. However they claim these fee's back as an early repayment charge if you clear your mortgage within a specified timescale, normally 5 years.
Yes, most mortgage lenders will allow you to overpay and thus reduce your mortgage
balance sooner. However you need to make sure that your mortgage is on a variable / tracker rate when you
make overpayments. If you are on a fixed rate you will be penalised for making overpayments.
Buying an investment property is an investment in your own future. The rent you receive can help
pay the mortgage and provide you with an income in retirement.
Low interest rates and a good demand for rental property make investing in property a very worthwhile and affordable option for many.
Low interest rates and a good demand for rental property make investing in property a very worthwhile and affordable option for many.
Yes. Check out our Stamp Duty Calculator to see what you will need to pay.
Yes, we treat all your personal information with the strictest confidentiality.
Call us now on 1890 65 1890, request a Call-Back or Apply Online
Contact us today on 1890 65 1890 or Apply-Online for Mortgages Made Easy.
