A first-time buyer is someone who has not previously either individually or jointly, purchased or built, on his or her own behalf, a house in Ireland or abroad. Where there is more than one purchaser, each must come within the scope of the definition in order to avail of stamp duty exemptions. In addition, it must be your principal private residence and no rent, other than rent under the stamp duty rent a room arrangements, can be derived from the property for two years after the date of the current purchase.
Get an engineer to survey the property before the contract is signed. Any problems with the structure and/or the boundaries will be highlighted at this early stage.
There may be some very good value to be had. Put in an offer and negotiate — your solicitor will advise you.
When applying for a mortgage, three factors are critical: your income, your deposit, and your credit rating. Ensure that the information on you on the Irish Credit Bureau database is accurate — www.icb.ie If not, have it amended.
You need sufficient life insurance cover to clear your outstanding mortgage in the event of your death.
Your solicitor will check that the property has good marketable title.
Carry out a planning check on the development plan for the area.
Booking deposits paid to auctioneers are normally refundable prior to contract signing.
Once contracts for sale are signed by both the buyer and seller and the deposit has been received by the seller's solicitor, both parties are committed. The deposit is usually 10 per cent of the purchase price.
Insure the property at this stage.
Supporting documentation including mortgage approval, life cover, and house insurance will need to be in place before the sale can close. Once this is done, the keys are yours. Congratulations!
First time buyers are exempt from stamp duty whether the property is new or not.
Your solicitor will register the property, mortgage, and supporting documentation in your name and return all deeds to your financial institution where they will be held until your mortgage is fully discharged.
These points are the personal views of the writer and should not be acted upon without getting the appropriate professional advice.
Brendan Burke solicitor would be happy to discuss these or any other matters and can be contacted at (091 ) 704 864, [email protected], www.brendanburke.ie, Galway Technology Centre, Mervue Business Park, Galway.
