Mortgage Application - FTB Help!!

Mini_me

Me and my partner have put in a Mortgage Application and have fronted nearly £45k for a deposit putting us at 85% LTV.

Having had an AIP (Agreement in Principle), the mortgage specialist at the bank has instructed a suveryor (which we paid for) and they are out at the property in the next 2 weeks.

Does this effectively mean they have:

A) Credit Checked us and are happy to proceed on the information we have provided and what they have verified and are only awaiting the details of the survey?

Additionally,

They need confirmation from employers and accountants for salary confirmation/etc

Once they have all this, does it go to offer letter?

If so what are the things that can go wrong except the obvious which is the survey coming back saying it needs £x amount of work doing to it.

??

Thanks in advance to all who can help.

:T

The_Palmist

I was in a similar situation today. Now I am not very comfortable with paying for survey unless my application is almost approved. So I have asked the bank to do my application first and I will pay for survey once I am through the zillion checks.
They seemed happy enough to wait. I was initially going for a fee free product but that's another story. From my recent research I have learnt that Banks do a mini [no pun intended ;-)] search and once you are through it, only then will they do the formal application. I am guessing you are through the initial credit check [which takes minutes], they will then be doing a full credit check. It should all be ok and if you have already paid for the survey, we shall just hope for the best.
Good luck

The_Palmist

Ahh things that could go wrong:
1. Some issue with your employer
2. some other bad debt you don't know of
3. any other missed payments which you might not remember

If you gathered that kind of deposit, its in Bank's interest to lend to you. Fingers crossed.

mij544

Mini_me wrote: »

Me and my partner have put in a Mortgage Application and have fronted nearly £45k for a deposit putting us at 85% LTV.

Having had an AIP (Agreement in Principle), the mortgage specialist at the bank has instructed a suveryor (which we paid for) and they are out at the property in the next 2 weeks.

Does this effectively mean they have:

A) Credit Checked us and are happy to proceed on the information we have provided and what they have verified and are only awaiting the details of the survey?

Additionally,

They need confirmation from employers and accountants for salary confirmation/etc

Once they have all this, does it go to offer letter?

If so what are the things that can go wrong except the obvious which is the survey coming back saying it needs £x amount of work doing to it.

??

Thanks in advance to all who can help.

:T

The short answer is nothing is given until you receive the formal mortgage offer, although that said increasing with purchases lenders have carried out all of the underwriting needed and providing the survey is ok it will go to offer within a few working days.

Just remember though that if the survey does come back with a down valuation or retention due to work required, you ensure you adjust your offer accordingly.

Hope this helps,

Mini_me

Thanks all for the information.

Spoke with the bank today and they advised me there is a small chance it won't go through should things from Employers not come back as required - I am 100% confident it will so minimal issue there.

Additionally, he stated the risk is on the Survey and obviously its just a waiting game now.

In terms of survey to offer, there is apparently minimal wait, just depends on how busy the surveyor is!

Hopefully by the end of this month (2 weeks today), we should have a formal offer in our hands!

Additionally, he advised to instruct this solicitor as this is the slowest part of the process...

Do you think that is wise given the Mortgage is not a 100% confirmed yet? I don't want to lose the Survey fee and Solicitor fees (+£1k) if the mortgage comes back void!

Talk about risk! :eek:

funky1471

Wait...They will do the survey and take your money before offering the mortgage?

Seems like a good way to get your money and not have to give a full offer to me.

Was I naive to think the survey was done last when everything else was ok?

We had an AIP from Halifax, and have put in a full application now and gave card details for the cost of the survey.

I'm not that happy that they can take our £300+ and then decide not to offer due to something unrelated to the actual survey.

Why not make sure they are happy with everything else THEN do the survey as a final stage?

The_Palmist

I am in the same situation, I will request Halifax to leave survey as last thing. I have spoken to a solicitor and asked to leave my file on hold till Banks confirm their business.

funky1471

We need to complete by end of June so I think we have to just let them do it and take the chance.

tyler80

We had our mortgage agreed subject to survey before we had the survey. I thought that was the usual way of doing things, I wouldn't have arranged the survey if the bank were still waiting on my P60 or wage slips

funky1471

They have all of our payslips etc, and the application is currently with the underwriter, was told the survey will be booked for this week.

Hoping to have a formal offer soon. Totally bricking it until we do as if we don't get this mortgage it means we have to rent another 6 months to a year.

That's not necessarily a problem, but we really want this house so fingers (and toes) crossed.