How long till mortgage decision?

ash213

My girlfriend has just applied for a mortgage with lloyds. Her bank

Her wage 25126. House value 145000. Loan required 119000

How long till she gets an answer guys?

katejo

That sounds a huge mortgage for someone earning under 30K. As a comparison, I applied for a mortgage when I was earning a similar salary before the 2007-8 crash. In theory I could have got that amount then but I only asked for 68K which I got. However that was plenty for me to pay per month. When the interest rates were still at 5-6%, a 68K mortgage cost me about 480 per month. A 119K mortgage would be much more. As soon as the rates go up again, she could be in difficulty.

wackorash84

ash213 wrote: »

My girlfriend has just applied for a mortgage with lloyds. Her bank

Her wage 25126. House value 145000. Loan required 119000

How long till she gets an answer guys?

We applied through YBS.

1 - Decision in principle - received within 24 hours
2 - Application - completed on the same day
3 - Documents - requested after 1 week
4 - Additional documents - requested 2 weeks after application
5 - Mortgage Offer - Received 4 weeks from application.

Good luck!!

Spangled

We applied to NatWest (through a broker) on Mon 3 Oct. Had AIP the next day. Sent off income docs and signed application form to broker on Sat 8 Oct which he received on Monday. Mortgage approved (subject to survey) yesterday and survey carried out today.

Pretty quick in my (limited) experience of six different mortgages.

ash213

katejo wrote: »

That sounds a huge mortgage for someone earning under 30K. As a comparison, I applied for a mortgage when I was earning a similar salary before the 2007-8 crash. In theory I could have got that amount then but I only asked for 68K which I got. However that was plenty for me to pay per month. When the interest rates were still at 5-6%, a 68K mortgage cost me about 480 per month. A 119K mortgage would be much more. As soon as the rates go up again, she could be in difficulty.

it does not sound like a huge mortgage tbf.

according to lloyds she can borrow 119k based on 25k wage...so that is what she has done. we have 30-35k deposit to spend. if interest rates go up, no problem as we are both paying towards it. we have a joint salary of around 50k, its just i cannot go on mortgage as im self employed and its complcated!!

ash213

wackorash84 wrote: »

We applied through YBS.

1 - Decision in principle - received within 24 hours
2 - Application - completed on the same day
3 - Documents - requested after 1 week
4 - Additional documents - requested 2 weeks after application
5 - Mortgage Offer - Received 4 weeks from application.

Good luck!!

so basically we should hear soon regarding decision in principle?

according to lloyds they text the decision in principle...hopefully this will be soon?!

Wh05apk

ash213 wrote: »

it does not sound like a huge mortgage tbf.

according to lloyds she can borrow 119k based on 25k wage...so that is what she has done. we have 30-35k deposit to spend. if interest rates go up, no problem as we are both paying towards it. we have a joint salary of around 50k, its just i cannot go on mortgage as im self employed and its complcated!!

lloyds are not the quickest, but you should get the AIP back instantly.

If you are contributing and living in the property you should be named on the mortgage/deeds, if the issue is you do not have accounts due to not trading long enough then they will just not take your income into account, but you should still be named.

ash213

im happy to go on the mortgage deeds as a payer but will they look into my financial history /credit check etc?

also, what does AIP mean? cheers, and when should we hear??

rising_from_the_ashes

ash213 wrote: »

it does not sound like a huge mortgage tbf.

Actually, it is a pretty hefty mortgage for a "single" person (which is what she'll be in the eyes of the lender), however, if she's met their income multiples .....

When did she apply?

rising_from_the_ashes

AIP = Approval in Principle

This just means that you've met the income multiple and other main criteria of the lender.

It can still be "knocked back" when the application process is done - so please don't get your heart set on anything until you've got the formal offer through.

ash213

rising_from_the_ashes wrote: »

AIP = Approval in Principle

This just means that you've met the income multiple and other main criteria of the lender.

It can still be "knocked back" when the application process is done - so please don't get your heart set on anything until you've got the formal offer through.

applied last night online 8pm

cheers