Room to Approve: Set Yourself Up for Mortgage Approval

View of a couple in their home speaking wirth a man holding a clipboard and pen.

So, you’ve finally decided to take that giant leap and buy a house of your own. But before you can get the place of your dreams, you’ll need to make sure you’re all set up for mortgage approval. When you’re starting from scratch it can seem like a long process, but by breaking it up into smaller steps you can make the whole process much more manageable. Read on for our top tips on setting yourself up for mortgage approval.

The First Step

Need help getting a mortgage plan together? Your first port of call should be to one of our expert AIB Mortgage Advisors. If you’re confused about any part of the mortgage approval process, need some advice on saving or just want to have a chat about your plans – they can help. Make an appointment today – and you’ll have made a giant leap towards mortgage approval.

The Deposit


The first major milestone on the way to mortgage approval is getting your deposit together. Although it can seem daunting at first, once you understand the facts and figures involved it’s easier to put a plan in place for saving. Right now, AIB offers 90% loan to value on mortgages for First Time Buyers. That means if the house you want to buy is valued at €250,000, you’ll need to supply 10% of the purchase price i.e. €25,000.

If you want to take the headaches out of saving for your deposit – a standing order is your new best friend. It’s a good idea to set one up to take a set amount from your salary each month on payday. To help you reach your goal, we have a range of savings accounts to suit every lifestyle. Set one up and you’ll be well on your way to getting that deposit together.

The Paperwork

The next important goal is showing that you’ll be able to repay the mortgage. To do this, you’ll need to provide us with some paperwork. We’ll need to see proof of employment and details of your regular income, as well as details of any existing debt or loans you have. To prove your repayment capacity, we’ll also need to see evidence that you’re able to pay rent each month and that you’re already saving some money.

The Sanction in Principle

Once we’ve received the paperwork and the deposit, the next step is to secure a Sanction in Principle. Essentially, this is your bank saying that based on the evidence you have supplied, they will offer you a mortgage up to a certain amount. It’s not a legally binding agreement for either party but it does allow you to start looking at properties knowing that your mortgage is very likely to be approved.


Letter of Loan Offer

The final countdown! Once you’ve found that dream home, you put in an offer and if It’s accepted, it’s back to us. When you’ve put down a booking deposit, let us know that you’ve made an offer and want to proceed with the mortgage. After providing details about the property (including a valuation report) we’ll be able to issue a Letter of Loan offer. And you’ll be just a few steps away from owning your new home!

Thinking of Getting a Mortgage?

Just book an appointment with an expert AIB mortgage advisor and you’ll be well on the way to mortgage approval.

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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.