Found perfect mortgage but not buying yet...

BushBag

Quick question, hopefully...
If I was to find the an optimum mortgage now but wasn't in the position to buy yet could I secure the mortgage rate to use in the furture??
I am currently looking at houses but haven't found one yet, but I have found the mortgage I want and am scared that it may not be around by the time I am in a position to need it.

Any help will be gratefully received.

_Andy_

Without an offer secured on a home you won't be able to actually apply for a mortgage.

BushBag

So basically I'm in the position where i've got the cart but no horse... ? Can't secure the mortgage until i've got the house, therefore I've just got to hope I can find one before the Building Society changes it's rates.

_Andy_

Yep that's pretty much it.

BushBag

Thanks for your help

AnAlternativeView

That's not entirely accurate. You can apply for a mortgage in principle, some firms will even let you apply and pay a reservation for a product but this only lasts an 'agreed' / specified period - i.e. 3/6 months.

JimmyTheWig

Are your circumstances unusual (e.g. limited to this lender for some reason)?

Rates have generally stayed pretty stable over the last few months. I'd be surprised if over the coming months you can't find a deal similar to the one you are interested in.

LittleMissAspie

Yes you can, we are doing that right now. We have paid the booking fee and we have to send the application form back with salary documents and get credit checked etc. We just don't fill in the section about the house. This is then valid for 6 months. After that we'd have to apply and pay again I suppose.

Edale

First Direct are allowing us to apply and so long as the mortgage is drawn down within six months will hold the deal. There are no booking fees so it costs me nothing but guarantees the rate. I didn't think I could apply before I found a property but they gave me a decision in principal and then chased me a week later to see why I had not sent the forms back. When I told them the offer we made had not been accepted they said I could still apply as I have said above. I just put TBC in the property details on the form.

BushBag

All of this is good news.
The mortgage I am after is not special in anyway just suits the situation I am in. It is a 5 year fixed from Yorkshire BS with a 85%LTV. As it is the best on the market at the present time for my situation I would have liked to have locked it down in case something dramatic happens in the next few months economically....
I was under the impression that anything "in principle" wasn't binding, mererly just a check as it were and that They had the right to pull out if they so desired?

VIGILANT22

:rotfl::rotfl: