Growing family? Need to relocate for work? Want to down size? Talk to us about a Negative Equity Mortgage.

Negative equity on your current property can be seen as an obstacle to making your move happen. AIB now has a mortgage designed to help you make that move out of your existing home.

Negative equity happens when the value of a house is less than the balance of the mortgage owed. That means the proceeds from selling the house would be less than is needed to clear the mortgage in full.

Typically, people want to move to a different home because their family is either growing up or have grown up and moved to their own home or they want to relocate for personal or professional reasons.

The Negative Equity Mover mortgage allows customers to transfer the negative equity balance of their mortgage onto a new loan for a new property. This means that the new property will be in negative equity, as your new mortgage will include the negative equity balance from your old house.

What is a Negative Equity Mover mortgage?

An AIB Negative Equity Mover is available to our existing mortgage customers who are in negative equity and want to buy a new home A Negative Equity Mover allows you to add the negative equity balance from your current home onto the mortgage for your new home.

AIB has two Negative Equity Mover mortgages available, Trade Up and Trade Down, the difference between these are

Negative Equity Trade Up - this is where the value of the new property is of a higher value than the current value of the existing property. Also, the Loan to Value (LTV) applicable to the total new borrowings, including the negative equity from the old property, must be a lower LTV than that of the existing property.


Negative Equity Trade Down - this is where the value of the new property is of a lower/equal value than the current value of the existing property. Also, the total new borrowings, including the negative equity from the old property, must be of an equal or lesser amount that the existing loan.

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Negative Equity Mover

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    Key features and eligibility requirements

    • Your existing mortgage must be in negative equity and the new property needs to be your principal private residence

    • You are not experiencing difficulties making your existing mortgage repayments

    • The prevailing AIB new business rates will apply to your total mortgage loan (unless you are eligible for Tracker Retention.

    Trade Up

    • Involves moving to a property of greater value than the value of the existing property

    • Up to 90% Loan to Value (LTV) finance is available to you towards the purchase price of your new property, up to 80% loan to value is available for a studio apartment valued at €275,000 or above or a one-bedroom property. We do not lend for the purchase of studio apartments valued at under €275,000.

    • The combined balance of the residual debt and the new mortgage must be of a lower LTV than the LTV of the existing property

    • The maximum Loan to Value of the new property including the residual debt cannot be more than 175% subject to a maximum loan balance of €700,000.

    Trade Down

    • Involves moving to a property of lesser or equal value than the existing property.

    • The borrower may apply for an LTV of up to 100% on the new property, subject to a maximum LTV of 175% including the outstanding balance on the original mortgage loan.

    • The total loan balance of the new mortgage loan must be less than or equal to the existing mortgage balance. There is no maximum loan amount.

    Additional Features and Benefits

    • Home Insurance from AIB designed specifically for your investment property.

    • Consultation with an AIB financial advisor, which includes an assessment of your life insurance, specified illness and income protection options.

    • You can apply for a low-cost finance Masterplan Account to help you manage your monthly bills.

    How it works

    Talk to the Mortgage Advisor in your local AIB Branch and let them know you want to sell your house. They will ask:

    • For a full valuation of your existing house, to be paid at your own cost, completed by an independent valuer from AIB’s Valuation Panel. This valuation should cost approximately €150

    • You must complete and return a Mortgage Application Form and all requested documentation

    • If your existing mortgage is on a tracker interest rate you may be eligible to apply to retain the rate (plus an additional 1% margin) on a new mortgage loan, subject to eligibility requirements set out under the Tracker Interest Rate Retention section of this brochure. To apply for the Tracker Interest Rate Retention phone 1890 24 24 25 for further information. You will not be able to apply for Tracker Retention in your local branch


    Review & Approve

    • We will then review your property valuation and Mortgage Application

    If approved, we will provide you with a Letter of Agreement to be reviewed and accepted by you, signed and returned to us.

    The letter of Agreement will

    • Approve you to sell your property at, or above, an agreed figure (the “Valuation Amount”)

    • Outline the repayment schedule in relation to the amount of debt which will be estimated to remain once your property has been sold

    • Tell you the interest rate and term on the existing account(s)

    • Let you know about any special conditions that may apply.


    Following the Letter of Agreement

    • We will give you a Sanction in Principle with an estimate of the total amount you may be able to borrow if you sell your house at the Valuation Amount. This figure is the total amount that may be borrowed, including the outstanding existing loan on the property

    • If the actual sale price looks like it will be less than the Valuation Amount, let us know and subject to approval, we may be able to amend the Letter of Agreement and Sanction in Principle to reflect this.

    Selling your home

    • After you have reviewed, signed and returned the Letter of Agreement and instructed a solicitor to assist with the sale of your property, you may proceed to sell your property

    • Once sold, at a figure greater or equal to the Valuation Amount, the full sale amount must be forwarded to AIB to clear the outstanding debt on your Mortgage Loan(s)

    • Following the sale of your property and after the full sale proceeds have been applied to the outstanding debt on your Mortgage Loan(s), we will send you a confirmation letter detailing the amount of residual debt (the amount remaining on your Mortgage Loan(s) after the full sale proceeds have been applied to your Mortgage Loan(s)) remaining and the new repayment schedule to repay the residual debt

    • You will need to pay all legal, moving and auctioneering fees (these cannot be deducted from the sale proceeds). If you have a fixed interest rate mortgage account an early breakage cost may be payable by you.

    Buying your new home

    • So, you’ve sold your old house and have found a new home to buy The first thing to remember is that you must continue to meet your monthly repayments as outlined in the Letter of Agreement

    • You will be given a Letter of Loan Offer outlining all the loan conditions, this will include the requirement that the new house is to be valued. A valuation of the property will have to be carried out by a valuer on our residential mortgage valuers panel. This can only be arranged by contacting our Central Valuations Team on 1890 100 051. The valuation will cost you €150.00. If this is carried out more than four months before the requested date of drawdown of the loan or of the final stage payment, a re-valuation will be required and this will cost you €65.00.

    • Once the property valuation are accepted by us, we have carried out a full loan assessment and once you meet our standard lending conditions, you will be given a Letter of Loan Offer outlining the conditions The new mortgage will be made up of the residual debt from your old home, and the money required to purchase the new property

    • This is a new mortgage, so you will have the option of choosing from AIB’s new business rates. If your previous mortgage was a fixed rate, this rate will not be transferred onto the new mortgage loan, and any breakage fees must be paid by you.

    • The currency of your loan and repayments will be euro. If the currency of (some of) your income or assets you intend to use to repay the mortgage loan is not euro, and/or you live in a European Economic Area (EEA) state that is not in the euro zone, the mortgage loan is a foreign currency loan.


    You should be aware that fluctuations in the relevant currency exchange rates may affect the value of your outstanding mortgage balance and/or your repayment. This could mean that you may find it difficult to afford your mortgage repayments. 
    We can only facilitate one non-euro currency per mortgage application.


    Your new mortgage

    Once the conditions in the Letter of Offer have been met, we will:

    Clear the remaining balance of the existing loan (residual debt) and forward the balance to your solicitor to complete the purchase of the new property.

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Don't want to Move?

You love your home yet need more space but are in Negative Equity, a Top - Up mortgage may be the option for you.


  • If your property is in Negative Equity you may be permitted to take out a top-up on your existing mortgage, to finance improvements to the property.

  • The maximum LTV for the combined balance of the current mortgage and top-up is 175% subject to a maximum loan balance of €700,000.

  • The LTV cannot increase after the top-up is added to the current mortgage. This must be confirmed by a valuation on the property

  • Standard new business rates will apply to the top-up loan.

  • The standard assessment and approval process for all mortgage top ups will apply.

Talk to Us

Drop in to any AIB branch and speak with a Mortgage Advisor today.  They’ll explain exactly what’s involved, and answer any of your questions.

Or phone 1890 24 24 25 to set up a meeting at a time that suits you. (Lines are open Monday to Friday 8am to 9pm, Saturday 9am to 6pm).

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Help and Guidance

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    Important points to note

    • AIB strongly recommends that you seek independent legal, tax and financial advice before proceeding with Negative Equity Mover or Tracker Retention

    • The Sanction in Principle regarding how much money you may be able to borrow for the new property, is subject to change based on your financial circumstances at the time of purchase of the new property and the actual sale price for your existing property

    • After the sale of your existing property, it may be necessary for you to review/amend/cancel

    • Your existing insurance policies

    • Prior to the drawdown of your new mortgage, you will be required to have adequate life cover in place. You should speak to your financial advisor about amending your existing life cover and/or taking out additional life cover

    • Any arrangements or modifications to your existing AIB loan account(s) may be reported to the Irish Credit Bureau and may appear on your credit report

    • You will be responsible for the cost of any property valuations and any other associated costs of buying and selling the properties

    • If part of your existing mortgage is on a fixed interest rate and it is repaid prior to the expiry of the fixed interest rate term this may result in an early breakage cost being payable to us. Your existing Letter of Loan Offer details how an early breakage cost is calculated. For further details regarding the early breakage cost please telephone 1890 252 008

    • The Negative Equity Mover and Tracker Interest Rate Retention offers are available until further notice

    • Tracker Interest Rate Retention may also be referred to as Tracker Portability in other documentation you may receive from us.

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Warning: If you do not keep up your repayments you may lose your home.

Warning: You may have to pay charges if you pay off a fixed-rate loan early.

Warning: The cost of your monthly repayments may increase.

Warning: If you do not meet the repayments on your credit agreement, your account will go into arrears, this may effect your credit rating, which may limit your ability to access credit in the future.

Warning: This new loan may take longer to pay off than your previous loans. This means you may pay more than if you paid over the shorter term.

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