Guide to Finding Mortgage Brokers in Ireland

A mortgage broker is a Central Bank-regulated intermediary who compares mortgages across several lenders, recommends the one that suits you, and manages the application through to drawdown. Every lender has its own rules, products and rates; a broker's job is to know them all so you do not have to.

This guide explains how the Irish market works, what brokers do, the steps from first conversation to keys, the documents you will need and what it all costs. It is written for first-time buyers, movers, switchers and people returning to Ireland from abroad.

At Lenny Financial we have been arranging mortgages from South William Street in Dublin since 1999, and now from Bray as well. We hold agencies with all of the main lenders in the Irish market.

Overview of the Irish Mortgage Landscape

Irish mortgage lending runs to more than €12 billion a year, and first-time buyers account for close to 60% of it. Average loan sizes have risen with prices, and the typical mortgage on a second-hand home is now above €300,000.

Lending is governed by the Central Bank's mortgage measures: first-time buyers can borrow up to four times gross income, second and subsequent buyers up to 3.5 times, and everyone needs a deposit of at least 10%. Lenders have a limited allowance to go above those limits for individual borrowers. Within the rules, each lender then applies its own affordability test, a stress test at a higher interest rate, and a check of your credit history.

Rates, lender policies and State supports change several times a year. A broker's value is in knowing where things stand this month, for your circumstances, rather than where they stood when you last read about them.

Mortgage Options Available for Non-Residents

Non-residents can get an Irish mortgage, but the path is narrower:

• Deposit. Expect to need a larger deposit than an Irish resident, often 30% or more, depending on the lender and your circumstances.
• Return date. Irish citizens planning to move home within the next year or so are treated more favourably than applicants with no plan to return. Some lenders lend to Irish residents only.
• Income. Lenders want to see verified income, usually with a credit report from the country you live in, and several set a minimum income for non-resident applicants.
• Currency. Income in a non-euro currency is discounted to allow for exchange-rate risk under the EU Mortgage Credit Directive, which reduces what you can borrow.
• Choice. Only some lenders consider non-resident applications at all, so the comparison is smaller and the criteria stricter.

We arrange mortgages for returning emigrants regularly and know which lenders will consider each situation. Starting the conversation six to twelve months before you plan to move home gives you the most options.

Types of Mortgages in Ireland

Fixed-rate mortgages lock your rate for an agreed period, usually one to ten years, with a few products fixed for longer. Repayments cannot rise during the term. More than nine in ten new Irish mortgages are now fixed. Breaking or switching during the term can attract an early repayment charge.

Variable-rate mortgages move at the lender's discretion. They cost more than the best fixed rates but you can overpay or clear the loan at any time without charge.

Tracker mortgages follow the ECB rate at a fixed margin. No lender sells a new tracker today; existing tracker customers keep theirs, and preserving a low-margin tracker is often the right call when considering a switch.

Buy-to-let mortgages fund a property you will rent out. The Central Bank limit is 70% of the value, so a 30% deposit, and rates are higher than for a home loan. Affordability is assessed mainly on the expected rent.

Green mortgages give a discounted rate on homes with a BER of B or better. Most main lenders offer one. Our guide to green mortgages covers how they work.

Self-build mortgages release funds in stages as the build progresses, each stage certified by your architect or engineer. Lenders want planning permission, costings and a qualified supervising professional before they approve.

Cashback mortgages pay a lump sum, often 2% of the loan, after drawdown. The rate that carries cashback is usually higher, so whether it wins depends on the rate gap and how long you stay; useful for first-time buyers facing legal fees and furnishing costs, but it needs to be compared on total cost.

Choosing Between a Bank or a Broker

A bank can only offer its own products. If you already bank there, are happy with its rates and want no advice beyond its range, going direct is a reasonable choice.

A broker compares products across lenders and recommends one in writing, in a statement of suitability that sets out why it suits you. That matters most when your situation is not standard: self-employed, recently returned to Ireland, a gifted deposit, a short employment history, or using Help to Buy or the First Home Scheme. It also matters when the cheapest headline rate is not the cheapest product, which is more often than you would think.

In short:

• Choose a bank if you have a strong relationship with one lender, are satisfied with its products, and are comfortable assessing the options yourself.
• Choose a broker if you want the whole market compared, advice on which product fits your plans, and someone to manage the paperwork and the lender on your behalf.

Most brokers, including Lenny Financial, are paid a commission by the lender, so there is usually no fee to you. A broker must tell you what commission it receives and publish a summary of its arrangements on its website.

Steps to Securing a Mortgage in Ireland

1. Work out your budget. Lenders need a deposit of at least 10%, and on top of that you will pay stamp duty, legal fees and a valuation. Knowing your income, savings and outgoings sets up everything that follows.
2. Get Approval in Principle. Approval in Principle (AIP) is the lender's statement of how much it would lend you, based on your payslips, bank statements and credit check. It is valid for six to twelve months depending on the lender, and estate agents expect to see it before they take a bid.
3. Work with your broker. This is where we compare lenders, recommend a product and prepare the application. At Lenny Financial we do this through our digital portal, so documents are uploaded once and tracked.
4. Find your property. Location, commute, condition, BER and future development in the area all count, and so does how the price fits your approved amount.
5. Make an offer. When it is accepted, you pay a booking deposit to the estate agent. It is refundable until contracts are signed.
6. Instruct a solicitor. Your solicitor handles the conveyancing: title, contracts, searches and registration. Choose one who does residential conveyancing regularly. We have a panel we are happy to refer clients to.
7. Valuation and survey. The lender requires a valuation by a valuer on its panel. A separate structural survey is your choice, and strongly advisable on a second-hand home. We work with surveyors who offer our clients a discounted rate.
8. Loan offer. With the valuation and full underwriting done, the lender issues the formal loan offer, with its conditions. This is the binding commitment.
9. Sign contracts. Your solicitor reviews the contract with you; you sign and pay the balance of the deposit. Both sides are now committed.
10. Close. The remaining conditions are met, typically mortgage protection and home insurance, the funds are drawn down and the keys are handed over.

Our Mortgage Plus service covers every one of these steps, from the first budget conversation to the day you collect the keys.

Documentation Required for Mortgage Applications

Having the documents ready is the single biggest thing you can do to speed up an application. Lenders will want:

• Identity and address. A passport or driving licence, and a utility bill or bank statement dated within the last six months.
• PPSN. Shown on a payslip, tax document or Revenue correspondence.
• Proof of income. For employees, three months' payslips, a salary certificate completed by your employer and your Employment Detail Summary from Revenue. If you are self-employed, two years of certified accounts, tax clearance and business bank statements.
• Bank statements. Six months of current account, savings and any loan or credit card statements. Lenders read these closely for regular saving, rent paid on time and the absence of missed payments or gambling transactions.
• Credit history. Lenders check the Central Credit Register themselves, but it is worth requesting your own report first, free of charge, so there are no surprises.
• Anything specific to you. A gift letter for a gifted deposit, proof of rental income, or a separation agreement where relevant.

Our portal lists exactly what is needed for your application and tracks what has been received, and we deal with the lender's queries directly.

Costs and Fees Associated with Mortgages

• Deposit. At least 10% of the price for first-time buyers and for second and subsequent buyers alike, under Central Bank rules in force since January 2023; some lenders ask movers for more. Buy-to-let needs 30%. Non-residents should expect to need more.
• Stamp duty. 1% of the price up to €1 million, 2% on the portion between €1 million and €1.5 million, and 6% above €1.5 million. There is no first-time-buyer exemption.
• Legal fees. Typically €2,000 to €3,500 plus VAT at 23%, plus outlays for searches and Land Registry fees. Ask for an itemised quote.
• Valuation. €150 to €250, paid by you.
• Survey. Optional, usually €500 to €1,000 depending on the property. Worth it on any second-hand home.
• Mortgage protection. Required for most home loans. The premium depends on age, health and the amount covered; you do not have to buy it from your lender.
• Home insurance. Required from drawdown, for the rebuild cost rather than the market value.
• Local Property Tax. An annual charge based on the valuation band of your home.
• Management fees. If you buy an apartment or a home in a managed development.

Stamp duty and legal fees are the two most often forgotten when budgeting, and they are payable at closing, in cash, on top of the deposit. We set out every cost for you before you bid.

Tips for Simplifying the Mortgage Process

• Start six months before you want to buy. Regular saving, rent paid by standing order and a clean six months of bank statements are the strongest application you can make.
• Get Approval in Principle before you view. It tells you your budget and it tells agents you are serious.
• Gather the documents once, properly. Most delays in Irish mortgage applications come from missing or out-of-date paperwork.
• Compare the whole product. Rate, cashback, fixed term, overpayment terms and the follow-on rate all matter.
• Ask questions early. The best time to raise a gifted deposit, a bonus, a probation period or a past credit issue is before the application goes in, not after the lender finds it.

Whether you are buying your first home, moving, switching to a better rate or coming home to Ireland, talk to us. We will tell you where you stand and what to do next.