Hello everyone, John Coleman here, Ireland’s mortgage broker with your property and mortgage market recap for August 2022. 🇮🇪
Well, September is already here, which means the nights will get darker earlier, colder weather is coming soon, and the kids are back to school.
Or are they? I have a hilarious story about a parent who was a day early on the first day of school!
Now in terms of the mortgage market here in Ireland, it’s no shock that rates are up. But I really haven’t seen demand fall off at all for me personally.
I don’t think we’ll see the effect on prices for about another six months. And sticking to my earlier prediction, I think we’ll see slower price growth, not prices actually falling.
One of the stranger things in the mortgage market (and we’ve seen a lot of strange things this last few years!) is that one Ireland back stated that they won’t be lending any more money for mortgages the remainder of this year. Apparently, they went over their allotted budget for lending, but also say it’s only temporary and they’ll be back to issuing mortgages next year.
Service, however, has been shockingly slow from all of the banks, as it’s taking about four weeks just to get a decision. I’m really hoping that service improves in September, October, and November, but I’m not too optimistic.
Talking about rates; I’m actually going to talk myself out of some business saying this, but it’s the right thing to do.
For people who have a mortgage and they’re concerned about what happens when rates go up, I suggest ringing your own bank first. (As much as it pains me not to have you calling me first.)
Ask your bank the cost to get out of your current fixed rate and look at the best options and rates long-term they can offer.
While they probably won’t offer the BEST rates on the market, they will be able to make the switch much faster. Otherwise, if you switch your mortgage, it may take 3-4 months, at which time the higher rates will definitely hurt you.
In good news, the First Home Scheme really looks to help first-time buyers and I’m excited to work with a whole new batch of buyers who are excited for the scheme.
I do expect bank exceptions to come back in October, so if you’re looking for an exception to borrow more than 3.5x your salary, get your paperwork in order and let’s get ready now.
Until next month, be well, enjoy September, and look forward to the first day of fall on September 23rd!
-John Coleman,
JC Mortgages
☎️ Tel 01-8102032
📲 Mobile 086 3970039
📩 Email john@jcmortgages.ie
💻 Web www.jcmortgages.ie