We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Mortgage in Principle
katywhity123
Posts: 9 Forumite
What does Mortgage in Principle mean exactly i am struggling to understand what stage we are at when they say we have been accepted for a Mortgage in Principle?????
0
Comments
-
It means that, based on the information you have provided (usually income etc.) there will be no problem with the mortgage company lending you that amount of money, provided your credit record etc. is ok. Before agreeing to actually lend you the moneh, they will carry out credit checks and ask for evidence that your income is as you;ve said, and also get the property valued to make sure the amount you've agreed to pay for it is not more than they think its worth.0
-
Cheers that makes it alot easyer to understand do you think credit history makes a huge impact on getting it agreed or is it more to the fact that you can afford I am the second person on the application my partner has not credit problems totally clear history and a good wage. I have a little bad credit history of just £3277 which had defulted but is now all clear now and was paid off as soon as i was aware of it.0
-
Not sure, when I applied for a mortgage with the post office online, it was agreed in principle within about a minute. Not sure how much credit checks could be done in that time...!0
-
do you think credit history makes a huge impact on getting it agreed
Yes if its not good.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
Both credit record and affordability are vital. The better your record the more money you can borrow and the better your chance is of getting higher risk things like lower deposits (higher loan to value (LTV)) or interest only deals. those with recent missed payments might struggle to get a mortgage at all in the current situation.0
-
I have had no recent missed payments for anything all history is over 2 years old and was all paid off at the same time will that help?0
-
What are you incomes?
how much deposit do you have?
how much is the property worth?0 -
im on min wage and my partners is on £1130 per month take home amount
we have £20% deposit and the property is £109,9950
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 355.8K Banking & Borrowing
- 254.9K Reduce Debt & Boost Income
- 456.2K Spending & Discounts
- 248.3K Work, Benefits & Business
- 606K Mortgages, Homes & Bills
- 179K Life & Family
- 263.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.7K Read-Only Boards