What You Need to Know to Apply for a Mortgage Today

Buying a home is a major life milestone, knowing what you need to prepare before you apply for a mortgage is key. And like any big decision, it’s nice to have a helping hand. If you don’t quite know where to start, the mortgage application process can seem pretty intimidating. But it doesn’t have to be. At AIB, we’ve got decades of experience at helping buyers like you through every step of the mortgage process. So, if you’re confused over the criteria for mortgage approval, read on for our advice on applying for a mortgage today.

First Steps in Applying for a Mortgage

If you want to get a handle on your mortgage fast, our Mortgage Calculator can do most of the heavy lifting for you. Simply enter a few details about yourself - incomings and outgoings, marital status, and dependents - and we’ll let you know much you borrow instantly. To make things even easier, you can now complete the entire mortgage application process online. But if you’d prefer to talk to someone first, request a callback from one of our mortgage advisors or book an appointment and we’ll make sure you’ve got a friendly face to help you get started.

Starting to Save

When it comes to mortgages, it all begins with your deposit. As a First Time Buyer, you’ll need a deposit of at least 10% of the value of your new home in order to qualify for a mortgage. To give you an idea of what that means in practice, here’s a straightforward example:

If your new home is valued at €200,000, you’ll need a deposit of at least €20,000.

That breaks down into saving €833.35 a month over 24 months or €1,666.70 a month over 12 months.

Not sure where to start? We’ve got a range of savings plans that’ll help turn that nest egg into a sizeable chunk sooner than you think. You don’t even need to visit a branch – if you’re an AIB Phone and Internet Banking customer, our Online Saver allows you to manage your account and keep track of your savings all from the comfort of your couch.

Finding your Dream Home

The AIB SmartMove App is your new best friend when it comes to finding your perfect home. The app is packed with useful features for all stages of the mortgage process, including:

· Easy to use calculators

· Handy checklists

· Useful tips and advice

The Smartmove app is powered by Daft.ie, it also provides a in-built property search engine which allows you to rate your favourite properties, add photos and comments, and a whole lot more. Remember, buying a home is a process that shouldn’t be rushed. Take time to check out the interior and exterior of the house as thoroughly as possible. Ask plenty of questions and get friends or family to give you a second opinion if you’re not sure about something. If it doesn’t feel right, then it probably isn’t.

Making Sure You’re Covered

Before you draw down your mortgage, you’ll need adequate life assurance and home insurance in place to protect the things that matter most to you. Need some advice? We’ve got you covered. Your mortgage advisor can arrange an expert consultation with an AIB Financial Adviser to take you through your available options – from life and illness cover to income protection. When you’re selecting home insurance, remember you’ll need to insure the value of the property as well the value of the contents of your home and extra cover for valuable items you take outside your home like engagement rings. And once you’ve got that added peace of mind, you’ll be ready to settle into your new home.

Have a Question About Your Mortgage Application?

If you’ve got a question about any aspect of applying for a mortgage, our expert advisors would be only too happy to hear from you. Just call us or book a Mortgage appointment today.

Allied Irish Banks, p.l.c. is an authorised agent and servicer of AIB Mortgage Bank in relation to origination and servicing of mortgage loans and mortgages. AIB Mortgage Bank is regulated by the Central Bank of Ireland.

Copyright Allied Irish Banks, p.l.c. 1995.