The new Central Bank mortgage rules were announced recently and that means a change in how we’ve done things in recent years.
In essence, the new rules mean that first time buyers can continue as they were, provided that the purchase price is less than €220,000 and the amount to be borrowed is not greater than 3.5 times their income.
Those looking to trade up will be hit harder, however, with a requirement to save a deposit worth 20 per cent of the property’s purchase price, and again a limit of 3.5 times applied to the mortgage multiple.
While there has been much coverage of the deposits required, the limit of 3.5 times your salary also means a change in direction in terms of what you can borrow.
Check out the table below to see what it means for you…