Average furnishings bill €13,000 : BOI

Nearly 60% of first time buyers face an average bill of €13,000 to furnish their new home with a quarter borrowing further to cover the costs.

The remainder used a combination of savings and / or small borrowings supplemented with assistance from family members, according to a 'Behaviour & Attitudes' survey commissioned by the Bank of Ireland.

The Bank made the claim at the launch of a new range of personal lending options for first time buyers and homeowners who wish to trade up.

Both can now avail of a pre-approved personal loan with up to 5 years to repay, a pre-approved overdraft and a pre-approved Gold Advantage credit card with up to 56 days interest free credit.

Customers can receive these additions for up to 3 months after receiving their mortgage

cheque, without having to make subsequent applications.

The package also offers flexible repayment options such as deferred start, baby break and skip month(s).

A one-year fixed rate for first time buyers has been set at 2.69%.

40% of respondents to the survey said they had everything they needed moving into their first home whereas 60% had some basics or absolutely nothing and needed to invest in kitting out the house.

Commenting on the survey, Olive Moran, marketing manager with Bank of Ireland Mortgages said: “This view is backed up by independent research and also by anecdotal evidence from our customers.”