First Time Buyer
What is a first time buyer mortgage?
A first time buyer mortgage is a residential mortgage for a borrower who has never previously held a mortgage or owned a property in Ireland or abroad. First time buyers in Ireland can borrow up to four times their gross annual income and up to 90 per cent of the property value, meaning a minimum 10 per cent deposit is required. Two Government-backed schemes are available to eligible first time buyers: the Help to Buy tax refund of up to 30,000 euro and the First Home Scheme equity contribution of up to 30 per cent of the purchase price. GCFS provides independent first time buyer mortgage advice across County Kildare, covering all lenders and schemes from our office in Naas.
A mortgage is a long-term financial commitment. You need to assess your finances and ensure that you can manage the repayments.
First time buyer mortgage advice in Naas and across County Kildare
If you are buying your first home in Naas, Newbridge, Celbridge, Maynooth or anywhere across County Kildare, the mortgage process can feel overwhelming for loads of reasons. Property prices across the county have risen steadily in recent years for and knowing exactly how much you can borrow, which Government schemes apply and what lenders require makes a real difference to how quickly you can move.
At GCFS we work exclusively with buyers based in Kildare, Lilywhites and Blow-ins. Whether you are looking at new builds in Johnstown, resale properties in Naas town itself or a self-build site in the wider short grass county, we assess your full situation and match you with the right mortgage option from across the market. We are fully independent, which means we have no tie to any one lender. We work for you, full stop.
First Time Home Buyer in Kildare
A mortgage is a long-term financial commitment. You need to assess your finances and ensure that you can manage the repayments.
The Central Bank has set limits on the size of residential mortgages.
We know how difficult it is to find the right home.
But when you do, we can make the mortgage part easier.
- First-time buyers can borrow up to 90% of the purchase price
- You need to provide at least 10% of the purchase price as a deposit
First Tim Buyer Kildare Step-by-Step Guide for Buying a Home
- Save for a deposit – you will need to have 10% of the purchase price – the more you save the less you will need to borrow.
- Work out your budget – carefully review your budget to see how much you can afford to spend on your mortgage repayments each month and to make sure that you have enough to cover any other costs involved in buying and maintaining your new home. When calculating the First Time Buyer's Mortgage cost, bear in mind the following:
- Stamp Duty
- Legal Fees
- Valuation fee
- Structural Survey/Engineers Report
- Mortgage protection
- Home Insurance
- Renovations if necessary
- Moving Costs
You should also consider the running costs of a house once you have moved in:
- Electricity and heating – BER rating
- Property Tax
- Management fees – if applicable
- Maintenance and repairs
- TV/Broadband
- Bin Charges
3. Research
Research the area you would like to live in. Does it fit your requirements, transport, schools, shops, location? Are there any major developments planned for the area in the future?
The most important thing to think about is the interest rate. Lenders can offer different rates but we can help you research interest rates.
Are you a First Time Home Buyer in Kildare, Ireland? Here are things to consider:
- Is the property over 100 years old
- Will you need a structural survey
- Is the property habitable – does it require renovations, how long will the renovations take, and how much will they cost?
You should try to get mortgage approval in principle before you start looking at properties, so you will have a clear idea of your budget. Sellers will take your offer more seriously if you have approval in principle. Again we can help you with this.
- Start House hunting when you find a house you are interested in remember to ask the estate agent any questions to help you make the right decision. Relevant questions would include:
- What is the BER rating
- Why are the sellers moving
- How quickly can we close the property
- What local amenities are there?
- Making an offer when making an offer, set yourself a maximum price you are willing to pay for the property and try not to exceed this. Remember to factor in the condition of the house and if you will need to spend money on renovations.
You can ensure that you are in a strong position when making an offer by having a letter from GCFS showing you have mortgage approval in principle. Estate agents will look more favourable on a bid when you have approval in principle.
- Find a solicitor While you are looking for a property you should also look for a solicitor to do the conveyancing. This is the legal work to transfer ownership of the property from the seller to you. The estate agent will need your solicitor's details once you have gone through the sale agreed. It is important that you talk about fees with your solicitor and get a confirmed price in writing.
- Sale Agreed Once your offer is accepted the property will be considered sale agreed. At this point, you will be required to pay a booking deposit to the estate agent. Booking deposits can vary from €5,000 to €10,000. Check with your estate agent that the deposit is refundable before you sign contracts. You will receive a deposit receipt from your Estate Agent. At this point, the vendor's solicitor will send your solicitor the contracts for signing.
Buying a Second-hand House
If you are buying a second-hand house you should strongly consider having a structural survey carried out. This will highlight any issues there may be with the property.
If you are buying a newly built house, the builder will be in contact with you about a snag list prior to closure.
Examples of items for a snag list include:
- Check if the heating is working
- Cracks in ceilings or walls
- Skirting boards being fitted correctly
- Doors opening and closing properly
- Uneven plaster work
- Loose wires are all tidied and in place
- Ensure no leaks
The builder will then work on completing the works outstanding on the snag list.
- Loan Offer: When you have gone sale agreed on a property and satisfied the bank's criteria your bank will then issue a formal loan offer. Some banks will require a valuation at this stage. The loan offer will detail the amount you have been approved for, the address of the property, the value of the property, the term of the mortgage, and your monthly repayment. It will also detail the terms and conditions of the offer and the expiry date of the offer.
Your bank will send a copy of your loan offer to your solicitor along with the loan pack. You should arrange to meet with your solicitor to sign the required paperwork. At this point, you will be requested to bring your deposit up to 10% of the purchase price.
Both solicitors will arrange for a final closing date.
- Completing the purchase
Before your bank will release your mortgage funds to your solicitor there are a number of steps that you will need to complete:
- Life policy must be in place to cover the value and term of the mortgage.
- Valuation – get a valuation – this will be organised by the lender.
- Home insurance – you will need to take out a home insurance policy on the property. The insurance amount is determined by the valuation.
- If you are buying an apartment, you will then have block insurance which is normally incorporated in the management fee.
- All special conditions on the offer letter are to be met.
- Legal documents are to be submitted by your solicitor.
On the agreed closing date you will then receive the keys.
Government schemes available to first time buyers in Ireland
As a first time buyer in Ireland you may qualify for one or both of the Government backed schemes below. These are separate to your mortgage and can significantly reduce the amount you need to borrow or save.
Help to Buy (HTB)
The Help to Buy scheme is a tax refund of up to €30,000 euro for first time buyers purchasing or self-building a new property valued at €500,000 euro or less. The refund is based on income tax and DIRT paid over the previous four years and is claimed through your Revenue account online. Read more on the Revenue.ie Help to Buy Incentive page
First Home Scheme (FHS)
The First Home Scheme is a shared equity scheme that bridges the gap between your deposit and the purchase price of your home. The scheme can contribute up to 30 per cent of the purchase price or 20 per cent if you are also using Help to Buy. It is available for new builds, qualifying self-builds and tenants buying the home they currently rent from a landlord who has issued a notice to sell. HTB applies to new builds only. Full details at firsthomescheme.ie.
The current FHS property price ceiling for County Kildare is €475,000. This figure is reviewed twice yearly — check firsthomescheme.ie for the latest ceiling before applying.
Not sure which scheme applies to you or how to combine them? We can calculate your exact entitlement before you approach any lender.
Independent mortgage advice from a qualified financial planner
Gwen Clarke holds the Certified Financial Planner (CFP) designation and the QFA (Qualified Financial Adviser) qualification. The CFP is the highest internationally recognised standard in financial planning and is held by fewer than 2,000 practitioners in Ireland. When you come to us for first time buyer mortgage advice, you are speaking directly with a fully qualified, regulated adviser.
GCFS is authorised and regulated by the Central Bank of Ireland. Our advice is fully independent, meaning we search the full mortgage market on your behalf and recommend only what is right for your situation.
Our Credentials:
- Certified Financial Planner (CFP) - international gold standard in financial planning
- QFA - Qualified Financial Adviser, required for regulated mortgage advice in Ireland
- Authorised and regulated by the Central Bank of Ireland
- Over 25 years of financial services experience in County Kildare
Not ready to call yet? Download the free GCFS mortgage guide
If you are still at the research stage, our free mortgage guide covers the full process from saving your deposit to drawing down your mortgage. It explains income multiples, what lenders look for, the schemes available and all the costs involved in buying.
What our first time buyer clients say
"Massive thank you to both Gwen and Danitza. A process made very easy and straightforward for a first time buyer like myself. Easy to contact by phone or email, constant updates and support. Danitza was very efficient, informative and friendly."
- First Time Buyer, County Kildare
"Gwen and her team went above and beyond to help us and make the journey as simple as possible, from securing the mortgage through to drawdown. Because of their professionalism, quick response and genuine client care we recommended the service to friends and colleagues who have been equally impressed."
- First Time Self-Build Buyers, County Kildare
"We didn't have an easy road and had lots of challenges to overcome, including extremely tight timelines. Gwen and Danitza smashed through every wall for us, always friendly, approachable and positive. We truly believe we would not have got it over the line without them."
- First Time Buyer, County Kildare
Frequently Asked Questions about First Time Buyer
Can I avail of the Help to Buy and the First Home Scheme together?
Yes, you can.
If you are availing of both the Help to Buy and First Home Scheme then Maximum funding of 20% is available from the FHS if availing of HTB.
How do I know if I am saving enough?
We can calculate what your mortgage repayments are and advise on what you should be saving on top of the 2% increase that the bank will stress you on.
How much can we borrow?
It depends on your income If you are a first time buyer or a second time buyer.
The second time buyer are still subject to 3.5X Income
First Time Buyers are subject to 4 X income – to be a first time buyer and it’s a joint application both applicants must be first time buyers
What fees are involved with buying a house?
There are various fee’s with buying a house if you are a first Time Buyer some of these include
- Valuation
- Mortgage Protection
- Stamp Duty
- Solicitor Fee’s
- Structural Survey
Second Time Buyer selling current property and buying a new house
- Valuation of your own house
- Estate agent fee’s for listing the property
- Solicitor Fees
- Stamp Duty
What if the rate changes do my repayments change
If you are in a fixed rate for 5,4,3,2, or 1 year your repayments won't change.
You will need to check what rate you are on. If you are on a variable rate you will also need to be mindful of what rate you are on also as this could change anytime also.
How much can a first time buyer borrow in Ireland?
First time buyers in Ireland can borrow up to four times their gross annual income under Central Bank lending rules. For a joint application, both applicants must be first time buyers for the 4x income multiple to apply. If either applicant previously held a mortgage, the application is treated as second and subsequent and the lower 3.5x multiple applies. Lenders will also stress-test the application at a higher rate to confirm repayments are manageable if rates rise.
How much deposit does a first time buyer need?
How much deposit does a first time buyer need?
Can I use the Help to Buy scheme and the First Home Scheme together?
Yes, you can combine the Help to Buy (HTB) scheme and the First Home Scheme (FHS) in certain circumstances. If you use both together, the FHS equity contribution is capped at 20 per cent of the purchase price rather than the standard 30 per cent. To combine both schemes the property must be a new build, as HTB applies to new builds only. The FHS on its own is also available for qualifying self-builds and tenants purchasing the home they currently rent. At GCFS we can confirm your exact combined entitlement before you make any application.
Do I need mortgage approval before I start viewing properties?
You do not need full mortgage approval before viewing properties, but getting approval in principle before you make an offer is strongly recommended. Approval in principle confirms to estate agents and sellers that you have finance in place and gives you a clear budget. In a competitive market such as parts of Kildare it can be the difference between securing a property or losing it to another buyer.
What costs should a first time buyer budget for beyond the purchase price?
Beyond the purchase price, first time buyers in Ireland should budget for solicitor's fees (typically 1,500 to 2,500 euro plus VAT), stamp duty at 1 per cent on properties up to 1 million euro, a structural survey (350 to 600 euro), a bank valuation fee (150 to 200 euro) and mortgage protection insurance, which is required by all lenders. We cover the full cost breakdown at your first meeting, so there are no surprises.
Gwen Clarke Financial Services Ltd's team of experts offers a wide range of services, including investments, pensions, corporate pensions, mortgages, and life protection. We understand that each of our clients has unique financial needs, which is why we tailor our services to meet your specific requirements. Our goal is to help you achieve your financial goals by providing you with personalized advice and guidance every step of the way. Whether you're looking to invest for the future, secure a mortgage, or protect your loved ones, we can help. Contact us today to learn more about our services and how we can assist you in your First Time Buyer's Mortgage in Kildare, Ireland, and in securing your financial future!
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Book your first time buyer mortgage assessment in Naas
Before you speak to a bank, speak to us. A free 20-minute initial mortgage assessment with Gwen or Danitza will confirm how much you can borrow, which Government schemes you qualify for, what your monthly repayments will look like and what steps you need to take to get mortgage ready as quickly as possible.
There is no fee and no obligation for your first assessment. As an independent adviser we compare options across all lenders in the Irish market, not just one.