How long to hear from mortgage company?

helping_hubby

We've applied for a mortgage through a financial advisor on Thursday night. Signed lots of papers etc...

Our situation isn't favourable and although our IFA seems confident there's still the bit of doubt in my mind that we'll be rejected. I have another potential application we can make with another mortgage company but due to the rise in rates this one would need to go through by close on Wednesday. Our IFA is saying we probably wont find out an answer till Wednesday/Thursday with regards to the mortgage we applied for last Thursday night.

Does this seem right to you? The other lady seems to think we should know quicker than that. Like end of today really.

So how quick does one usually get an answer from a mortgage company?

spunkeyrich

Sometimes it can take a time. A week seems reosonable to me. 'The other lady' she doent happen to be another adviser does she? you are using an IFA which is good I am sure they will do thier best for you. some companyies take longer than others as they have to check on a number of things. You say you have had difficulty in the past, well as long as it isnt too bad then the mortage company may offer you a mortage at a slightly higher interest rate.

Dont apply elsewhere at the moment as every application is reflected in your credit scoring.

Cheers

rich

zipwen1

we used an IFA and waited about 8 days for an answer we applied to 3 lenders (rejected by the first two) an they all answered within 6-8 days so this must be usual time it takes.

helping_hubby

Thank you. Well we havent actually applied for any yet and been rejected. This is our first application and I am just very very nervous as our financial situation isn't perfect. I'm gutted though because literally the day we had our offer accepted was the day of the interest rate rise. And then last week the fixed rates were withdrawn and raised again. We've managed to reserve the rate prior to last wed/thur rise, but if we get rejected then the next application will be 0.1% higher. Just bad and unlucky timing I guess.

As for the timings with regards to getting an answer, I feel a little better knowing it can take a week. I was worried the IFA was dragging it out deliberately to stop me going with the other lady.

The other lady is an advisor for Barclays/Woolwich. She's lovely, but I expect she's just doing her job and trying to sway me to apply with them.

AndrewSmith

The other lady can only look at things from the perspective of Barclays/Woolwich thus cannot possibly offer advice or timescales for other lenders. Ignore her.

With cases that are slightly outside of the 'normal' lending criteria it is quite normal to have to wait for a week to get a decision, especially at this time of year which is historically busy for lenders, due to the increase in consolidation remortgages following the christmas overspend.

Be patient and trust the IFA. There is no benefit to him for dragging out your application as he recieves his commission only once you begin paying your new mortgage ie after legal completion.

Andy

clairefun

Yeah, it can take longer than that even so don't worry. Different companies do it in different ways. We applied with one, it took 3 weeks for us to find out it was rejected. We applied to another and they took an hour to do it all over the phone, including a credit check. It really varies!