If you are thinking of buying a property in 2010 then you need to make sure you avoid the following 5 common mistakes.
1/ Getting too many mortgage quotes
As a general rule shopping around is a good idea but with mortgages it can sometimes be a bad idea to get too many quotes. When you apply for a mortgage quote banks will generally run a credit check on you. Each time a credit check is carried out it leaves a footprint on your credit report. If you apply to several banks then there will be several notes to this effect on your report. This can sometimes go against you when you eventually find the right property. A good Mortgage Broker, like MortgageLine, will find you the best deal and then only apply to that lender for you. This looks much better on your credit report.
2/ Going direct to your bank for a mortgage
Going direct to your bank for a mortgage is a bad idea. One thing that is a given after the last two years is that Irish Banks cannot be trusted. Check out the following Irish Independant article, "Pop into your local bank for bad advice"
By going direct to your bank you are limiting your options. A good Independent Broker like MortgageLine will make sure you get the best deal, not only on your new mortgage, but also on the extras that you will need like Life Assurance for example.
3/ Fixing your mortgage for too long
Rates are at historic lows at the moment and so 2, 3 & 5 Year fixed rates are attractive and well worth considering. However it is not a good idea to fix for too long. Some banks for example will offer you fixed rates for 10 and in some cases 20 years. Fixing for too long is not a good idea because you just cannot be sure how your circumstances will change over that period. Fixing for just 2 or 3 years gives you some security but also the flexibility that you will not have to wait too long if you want to move house or remortgage.
4/ Believing your Estate Agent
In the current market bids below the asking price are normal. In this scenario the Estate Agent will probably come up with some spiel like the following,
"..I should warn you that there is another couple looking at the property tonight and they are very keen and will probably offer the asking price. If you can raise your offer now I can guarantee the property is yours.."
The Estate Agent is most likely preying on your fears of losing the property. Stick to your original offer and tell the Agent to come back to you if anything changes. The Agent will do everything possible to get you to raise your offer so buyer beware!
5/ Not budgeting for the hidden costs
Unfortunately as well as paying for the property itself there are a number of other costs that you will need to budget for. These include solicitors fees, surveyors fees and valuation fees. Ask your MortgageLine Adviser about the costs you need to budget for.
Finaly its hard to say what 2010 will bring. Our economy has took one hell of a pounding over the last few years but I think we can be allot more optimistic going into this new year than we were last year.
If you need good honest Independent Financial Advice in 2010 give us a call or Apply Online
Tuesday, December 22, 2009
Friday, December 18, 2009
Wheres the carrot??
I have just got off the phone with a customer that I setup a mortgage for a year or two ago. She lost her job back at the start of 2009 and has since returned to college to complete a Degree course.
When she became unemployed she signed on for social welfare and claimed her mortgage interest relief supplement. Her lender KBC Homeloans was also contacted and a plan put in place to keep things ticking over till she finished her degree and got back to work.
This woman has now just received notification from the Dept of Social Welfare that her payments will be stopped unless she resigns from her college degree course.
I have to say I am dumbfounded to hear this. This poor woman has no chance of getting a job at the moment in her field and so she has went back to college to improve her future prospects of employment and now she is being told that her benefits will be stopped unless she resigns from her college course.
This is not a joke, this person has a letter in black and white telling her in no uncertain terms that she has to drop out of her college course or face the prospect of poverty and homelessness. The only carrot being dangled infront of this woman is leading her home to her couch despite the fact that she wants to get her degree and improve her chances of getting back to work.
And there was me stupidly thinking that we are supposed to be supporting unemployed people to get the training and further education that they need. How is this woman supposed to live with €0.00 from the state. Surely she should be entitled to something.
When she became unemployed she signed on for social welfare and claimed her mortgage interest relief supplement. Her lender KBC Homeloans was also contacted and a plan put in place to keep things ticking over till she finished her degree and got back to work.
This woman has now just received notification from the Dept of Social Welfare that her payments will be stopped unless she resigns from her college degree course.
I have to say I am dumbfounded to hear this. This poor woman has no chance of getting a job at the moment in her field and so she has went back to college to improve her future prospects of employment and now she is being told that her benefits will be stopped unless she resigns from her college course.
This is not a joke, this person has a letter in black and white telling her in no uncertain terms that she has to drop out of her college course or face the prospect of poverty and homelessness. The only carrot being dangled infront of this woman is leading her home to her couch despite the fact that she wants to get her degree and improve her chances of getting back to work.
And there was me stupidly thinking that we are supposed to be supporting unemployed people to get the training and further education that they need. How is this woman supposed to live with €0.00 from the state. Surely she should be entitled to something.
Tuesday, December 8, 2009
You Just Cant Trust the Banks (Now we have concrete proof)
You just cannot trust the banks. In his latest report the Financial Ombudsman, Joe Meade, once again confirms why you cannot trust the main Irish Banks. In his article in the Independant, Charlie Weston summed it up perfectly, "if you want bad advice, then pop into your local bank branch"
The Ombudsmans report is full of examples of Greedy Irish Banks ripping off vunerable customers. One of the most worrying things is that many of the ripped off customers are old age pensioners. If the banks dont have the morals to treat our elderly citizens properly then what chance does anyone else have.
Irish Banks and our very own Financial Regulator have overwhelmingly failed the Irish Nation. This is not new news but it is good to see it in black and white and also that the ripped off customers involved are getting compensated. God knows how many ripped off customers there are out there who have not complained to the Ombudsman. Anyone who have been the victim of bad advice by our shameless banks needs to contact the ombudsman asap.
Joe Meade retires from his role as the Financial Ombudsman at the end of this month. He has been worth his weight in gold to many Irish consumers who have been compensated under his watch. You can see a copy of his latest report at http://www.financialombudsman.ie/
What we really now need is for Joe Meade to switch to the Financial Regulators office for a few years to put a stop to the bad advice before it happens.
The Ombudsmans report is full of examples of Greedy Irish Banks ripping off vunerable customers. One of the most worrying things is that many of the ripped off customers are old age pensioners. If the banks dont have the morals to treat our elderly citizens properly then what chance does anyone else have.
Irish Banks and our very own Financial Regulator have overwhelmingly failed the Irish Nation. This is not new news but it is good to see it in black and white and also that the ripped off customers involved are getting compensated. God knows how many ripped off customers there are out there who have not complained to the Ombudsman. Anyone who have been the victim of bad advice by our shameless banks needs to contact the ombudsman asap.
Joe Meade retires from his role as the Financial Ombudsman at the end of this month. He has been worth his weight in gold to many Irish consumers who have been compensated under his watch. You can see a copy of his latest report at http://www.financialombudsman.ie/
What we really now need is for Joe Meade to switch to the Financial Regulators office for a few years to put a stop to the bad advice before it happens.
Tuesday, December 1, 2009
New Debt Management Service
MortgageLine have launched a new service with DebtLine.ie
Many Irish consumers are experiencing problems with Debt Repayments. Incomes have reduced substantially over the last year and so it has become increasingly difficult for many to keep up with their debt repayments.
During the Celtic Tiger years too many people (me included) simply borrowed too much. Many people have been left, not only with big mortgages and negative equity, but also with big car loans, personal loans and maxed out credit cards.
It's really important to face up to your debt problems. Unfortunately they will not go away of their own accord. There is no shame in getting into debt, it happens to the best of us, but it is important to deal with the problem head on as soon as possible.
With the new service from DebtLine Ireland a budget is worked out to see what customers need to cover priority household bills like their mortgage and living expenses. Then whatever is left over is divided out proportionately to secondary creditors like credit cards and personal loans.
DebtLine Ireland will negotiate hard with creditors and in most cases aim to get all future interest and charges waived so that debts can be cleared quicker.
It is going to take a long time for many Irish consumers to clear their Celtic tiger debt. However with a Debt Management Plan from DebtLine Ireland you can get that debt cleared in a realistic and manageable way.
Contact DebLine Ireland today to see if a Debt Management Plan is what you need to get your life back on track.
Many Irish consumers are experiencing problems with Debt Repayments. Incomes have reduced substantially over the last year and so it has become increasingly difficult for many to keep up with their debt repayments.
During the Celtic Tiger years too many people (me included) simply borrowed too much. Many people have been left, not only with big mortgages and negative equity, but also with big car loans, personal loans and maxed out credit cards.
It's really important to face up to your debt problems. Unfortunately they will not go away of their own accord. There is no shame in getting into debt, it happens to the best of us, but it is important to deal with the problem head on as soon as possible.
With the new service from DebtLine Ireland a budget is worked out to see what customers need to cover priority household bills like their mortgage and living expenses. Then whatever is left over is divided out proportionately to secondary creditors like credit cards and personal loans.
DebtLine Ireland will negotiate hard with creditors and in most cases aim to get all future interest and charges waived so that debts can be cleared quicker.
It is going to take a long time for many Irish consumers to clear their Celtic tiger debt. However with a Debt Management Plan from DebtLine Ireland you can get that debt cleared in a realistic and manageable way.
Contact DebLine Ireland today to see if a Debt Management Plan is what you need to get your life back on track.
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