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    • LegalCashier
    • By LegalCashier 2nd Jan 18, 5:11 PM
    • 26Posts
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    LegalCashier
    When to start applying?
    • #1
    • 2nd Jan 18, 5:11 PM
    When to start applying? 2nd Jan 18 at 5:11 PM
    Hi all,

    Partner and I are planning to buy a house this year after saving for what seems like forever! We will have nearly over £53k for a deposit and hope to get a £200k mortgage.

    Our question is when do we start applying for mortgages such as getting an AIP? We have a LISA that will be a year old on June 20th this year. Could we get an AIP in April and then put an offer on a house and ask for completion to be after June 20th or is best to wait until our LISA is a year old?

    LC
Page 1
    • G_M
    • By G_M 2nd Jan 18, 5:24 PM
    • 42,748 Posts
    • 49,965 Thanks
    G_M
    • #2
    • 2nd Jan 18, 5:24 PM
    • #2
    • 2nd Jan 18, 5:24 PM
    Applying for an AIP and applying for a mortgage are 2 quite separate things.

    You can do the former any time you want. It will help you work out what you ccan afford, and may help convince sellers you are a serious buyer when you look round/make offers.

    You can't apply for a motgag ill you have an offer accepted.

    If you make an offer in April, it is unlikely you could could Complete by mid June.
    • LegalCashier
    • By LegalCashier 2nd Jan 18, 5:32 PM
    • 26 Posts
    • 2 Thanks
    LegalCashier
    • #3
    • 2nd Jan 18, 5:32 PM
    • #3
    • 2nd Jan 18, 5:32 PM
    Would you say applying for an AIP now is too early? In my mind I’m thinking it doesn’t matter as they only perform soft searches so if we got a few AIP it wouldn’t be too bad?

    From my experience completion can take anywhere from two weeks to two months, depending on the length of the chain and any other complications. My question is if we made an offer say the week before our LISA is 12 months would we have to wait until the bonus is in our account to then apply for the mortgage or will they take into account that we will be receiving the £6k soon after the applicantion?
    • G_M
    • By G_M 2nd Jan 18, 5:38 PM
    • 42,748 Posts
    • 49,965 Thanks
    G_M
    • #4
    • 2nd Jan 18, 5:38 PM
    • #4
    • 2nd Jan 18, 5:38 PM
    Why do you need 'a few' AIP's? Makes no sense.

    Your experience of 2 weeks from offer to Completion puts you in the 0.05% of purchases. It is so rare as to be not worth considering.

    6 weeks to 4 months is more realistic.
    Last edited by G_M; 02-01-2018 at 5:49 PM.
    • LegalCashier
    • By LegalCashier 2nd Jan 18, 5:45 PM
    • 26 Posts
    • 2 Thanks
    LegalCashier
    • #5
    • 2nd Jan 18, 5:45 PM
    • #5
    • 2nd Jan 18, 5:45 PM
    We have been advised to get a few AIP from different lenders to see the options we have.

    Yes a 2 week completion is rare but they do happen and recently at work I have seen more and more happening. But again this is all down to the chain and who you have acting on either side.
    • Lolly88
    • By Lolly88 2nd Jan 18, 11:37 PM
    • 265 Posts
    • 780 Thanks
    Lolly88
    • #6
    • 2nd Jan 18, 11:37 PM
    • #6
    • 2nd Jan 18, 11:37 PM
    As you said you can use the LISA money from the 1 year anniversary of the account which for you will be the 20th onwards but this takes up to 30 days to process - so realistically July would be a safer bet for when you would be aiming to complete with this account. The first bonus will be paid into your account at the end of the financial year and then monthly thereafter. So you don't need to wait for it to make an application. I would suggest you read the terms and conditions of your LISA account and also consult a broker because it appears as though you don't know very much about the process or the savings product you have.
    House Fund - £32104.67
    Currently buying a house
    • Surrey_EA
    • By Surrey_EA 3rd Jan 18, 8:51 AM
    • 1,339 Posts
    • 1,629 Thanks
    Surrey_EA
    • #7
    • 3rd Jan 18, 8:51 AM
    • #7
    • 3rd Jan 18, 8:51 AM
    We have been advised to get a few AIP from different lenders to see the options we have.

    Yes a 2 week completion is rare but they do happen and recently at work I have seen more and more happening. But again this is all down to the chain and who you have acting on either side.
    Originally posted by LegalCashier
    When you say rare I do not think you are really giving true reflection of the likelihood. Offer to completion in 2 weeks is so rare as to be almost unheard of. In 20 years experience I would say I may have experienced such a timeframe once.

    If anything the process of buying a property is becoming slower, rather than faster.
    • G_M
    • By G_M 4th Jan 18, 9:31 PM
    • 42,748 Posts
    • 49,965 Thanks
    G_M
    • #8
    • 4th Jan 18, 9:31 PM
    • #8
    • 4th Jan 18, 9:31 PM
    We have been advised to get a few AIP from different lenders to see the options we have.
    Any half-decent independant mortgage adviser will be able to explain your options without the need for an AIP.

    Yes a 2 week completion is rare but they do happen and recently at work I have seen more and more happening. But again this is all down to the chain and who you have acting on either side.
    Originally posted by LegalCashier
    So you work for an auction house?

    Just about the only time this timeframe happens is

    * a cash buyer. no mortgage involved, and no sale to coordinate with
    * an investor (very rarely an owner-occupier) who is not bothered about surveys, or searches
    * in both above cases, this is likely to be via an auction
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