1.APPOINT A SOLICITOR
Your solicitor will need the title deeds to your property as soon as possible. If you have an existing Mortgage, then the Deeds will usually be held by your Bank/Building Society. In order to take up the title deeds, you will have to sign a document called a Form of Authority to authorise your solicitor to obtain your deeds. Your solicitor will need to be advised of the name of the Bank/Building Society and your Mortgage Account Number. Taking care of this essential step as early as possible will allow your solicitor to examine your title, and to take any steps required to ensure an efficient remortgage transaction. At this stage your Solicitor will pay a scheduling fee to your Bank/Building Society on your behalf, normally €40 to €65, to take up the Title Deeds. It can take up to four weeks for the title Deeds to be received by your Solicitor.
2 TITLE DEEDS RECIEVED
On receipt of the Title Deeds from your Bank/Building Society, Your Solicitor will then go through the Deeds in detail to make sure that the Title is in order. If you have carried out any works to the property, e.g. extensions, conversions of the attic/garage etc., since you purchased the property, you should advise your solicitor of this immediately. You can then discuss with your Solicitor whether any of these works required planning permission or Building Bye Law Approval.
In all such cases, your Solicitor will need copies of the relevant permissions together with a Certificate of Compliance or Exemption from a competent Architect/Engineer. If these documents are not available with the Title Deeds, your Solicitor will need time to attend to these matters and this could delay the mortgaging of your property.
3 LOAN PACK RECEIVED
Once your new Bank/Building Society has formally approved your loan in writing on the basis of the value of the house and information furnished by you, a formal loan pack is issued. Normally a Letter of Offer setting out the main details of the loan is issued to you and the Loan Pack comprising Mortgage Documentation, Acceptance of Letter of Offer and Assignment etc., is issued to your Solicitor.
4 SIGN LOAN PACK
When your Solicitor has checked the Loan Pack and discussed key terms with you, various documents are signed and completed to enable the Bank/Building Society to proceed.
5. LIFE ASSURANCE
It may be necessary to obtain Life Assurance on your new loan and it is important that you deal with this as soon as possible. A delay with the issue of the Life Policy will result in a delay in drawing down your new loan.
6 REDEMPTION FIGURES OBTAINED
Your Solicitor obtains redemption figures from your Bank/Building Society. This is the amount required to clear your existing loan/mortgage (if applicable).
7 LOAN CHEQUE
Loan cheque is received.
8 MORTGAGE COMPLETION
Your old loan(s) is/are paid off from the loan cheque.
9 ACCOUNT TO YOU
Your Solicitor will account to you for the balance immediately following completion of paying off your mortgage. Usually your Solicitor will deduct the cost of re-mortgage from the balance left over after redeeming your old loan.
10 STAMPING/ REGISTRATION
Following signing by you of the Mortgage Document your Solicitor will proceed to stamp the Mortgage and then register same by lodging the Title Documents in the Land Registry/Registry of Deeds. In the past, Registration could take months, if not years, depending on the County and type of property involved, but in recent times, the registration process has become significantly quicker.
11 TITLE RETURN
Your Solicitor, on completion of registration, returns your Title Deeds, to your Building Society together with a Certificate confirming that you have a good marketable Title. Usually, you will be notified that registration has been completed and the Title Deeds have been returned to the Building Society/Bank. At this stage your Solicitor closes off your file.
When mortgaging/re-mortgaging, what are the costs?
If you would like to discuss your particular requirements or receive a quotation on mortgaging or re-mortgaging your house, please do not hesitate to Contact Us.
In addition to the solicitor fee, there are a number of various costs that will be incurred in mortgaging a house. The usual fees are the following;
(i)Fee to take up title deeds
When re-mortgaging, there is normally a scheduling fee payable to your Bank/BuildingSociety when taking up the Title Deeds to your house, normally €40 to €65.
(ii) Property Registration Authority (PRA)
A fee will be payable to the PRA to update the mortgage details after the property has been re-mortgaged or mortgaged for the first time. The mortgage will be registered in the Land Registry or the Registry of Deeds. The Land Registry fees for a mortgage is €125.00
Further Land Registry fees may be necessary if you are cancelling a previous mortgage and this costs €25.00. When registration of the mortgage is complete, a copy of the Folio and Map will also be required for the new Bank/Building Society. This costs €25.00.
(ii) Registry of Deeds Fees
Registration of Mortgage
Registration of Vacated Mortgage
(iii) Engineers Fees
When mortgaging the property for the first time, it may be necessary that you employ an Engineer to certify that the property is in compliance with all relevant planning permissions and building regulations applicable when the property was initially built or in relation to any extensions. The costs depends on the Engineer and on what services they will provide.
(iv) Valuation Fee
When obtaining a mortgage, your Bank/Lending institution will require a valuation to be carried out by a qualified valuer to confirm that the property will be good security for their loan. The valuation is not a structural survey. The cost of this survey depends on which Bank is giving you a mortgage.
(v) Legal Searchers Fees
It is necessary to carry out legal searches on the property. This will confirm what judgements or burdens have been registered on the property or against the Mortgagors. The previous mortgage will normally be the only financial burden that should show up on the property. The searches are carried out by a firm of bonded Legal Searchers. The cost of the Legal Searchers would normally be in the region of €60.00 to €100.00, depending on the nature of the title of the property.
(vi) Commissionerfor Oath fees
It will be necessary to have some Statutory Declarations relating to Family Home and other relevant legislation sworn before a third party solicitor. The cost of this is normally €20 to €40.
Stamp Duty on Mortgages has been abolished since 2006.