Almost two fifths of mortgage applications being turned down

Almost two fifths of mortgage applications being turned down

Almost two fifths of mortgage applications were turned down by Irish banks last year, according to new figures contained in a letter from Finance Minister Michael Noonan to Fianna Fáil’s Michael McGrath.

In total there were 28,500 applications for mortgages last year. However, only 17,700 were approved by AIB, Bank of Ireland, EBS and Permanent TSB.

That means 38% of applications were turned down.

Commentators insist that the true figure is likely to be even higher as a number of applications did not include information from EBS.

Speaking on Morning Ireland today, Fianna Fáil’s finance spokesman Michael McGrath said the figures fly in the face of attempts to reignite the property market.

He said: “I think these figures are very worrying at a time when the Government is trying to put in place initiatives to kick-start the property sector.”

There is 1 comment for this article
  1. Paddy at 10:45 am

    Years of complaining about denial of mortgages but the figures now show that only 2 out of 5 are turned down. Paddy had it right; a shortage of credit is not preventing Irish house sales, the real issue is that realistic buyers will not pay the prices expected by housing-boom conditioned sellers.

    A final point; would you in today’s economic environment loan money from your own pocket to 3 out 5 people who asked? I would not!

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