Commercial lenders, such as banks, and local authorities offer mortgages to people in Ireland, explains Citizens Information. To obtain a mortgage from a commercial lender, potential homeowners must save a down payment between 10 and 20 percent of the purchase price of the home and meet income requirements, as of December 2015. Mortgage applicants must document their eligibility for the lender, so that it can meet the requirements of the Central Bank’s Consumer Protection Code 2012.Continue Reading
To get a mortgage from a bank, buyers must meet loan-to-income limit and loan-to-value limit requirements, notes Citizens Information. The loan-to-income limit restricts the mortgage amount to 3.5 times the gross annual income of the borrower. First-time home buyers must have at least 10 percent of their loan amounts as a down payment for a mortgage of up to 220,000 euros to meet loan-to-value requirements. Other home buyers must provide a 20 percent down payment.
To obtain a loan from a local authority, the buyer must demonstrate that he cannot obtain a mortgage through a commercial lender and is a first-time home buyer, according to Citizens Information. A local authority may offer a mortgage to an applicant who makes 50,000 euros or less per year. Couples must make 75,000 euros or less annually. The local authority loans up to 97 percent of the total cost of the property with a maximum loan of 220,000 euros.Learn more about Credit & Lending