Mortgage Application Submitted

The_J

Just asked one of my guys what the latest is. Usually Leeds send out a crappy word document AIP. Might be worth asking for that?

gazfocus

Thanks The J, I will ask.

I received all my documentation back from Leeds BS today saying they had scanned what they needed, etc.

paulmapp8306

Following this as Im going through the same.

Only possible issue - is that proof the deposit is in place - could be an issue

Basically I need £22400k deposit. I have £18k in the bank. The rest is comming from the Army - which is an advance on my pension lump sum payout (can take £8500). i qualify BUT cant put in a formal application until i have a mortgage agreed and a solicitor instructed.

Seems a bit odd - as if you need that 8500 for the deposit, how can you get a mortgage without knowing for sure - however it seems this works as a lot of people use it.

Once the app is in, with lender, house and solicitor details on, they say yes/no and sent a promise to pay the money when the deposit is due to the solicitor. Then i get a form signed by 3 people in my chain and return that to the cell - and they then just wait for the deposit to be called for.

Im just a little concerned that I have no way of "prooving" the £8500 is there until the mortgage is agreed - and the lender might need that "proof" before agreeing the mortgage. it looks like a majic roundabout.

i do have £3k Overdraft facility - which if I use would proove I have £21k I guess, leaving £1400 unaccounted for. My father in law is also lending us £3k (as my wife is due a decent sum in inheritance - we just dont have it yet) to pay legals and moovers. that wont be in my bank for 2 weeks as hes away on holls until then.

How is this going to work?

gazfocus

I think it varies massively with each lender. Majority of lenders (from what I've read) don't require proof that the deposit is in place prior to the mortgage being offered. Most people get by on the basis of the deposit being needed by exchange of contracts.

It's just a requirement of this particular lender that we needed to have the deposit in place prior to application.

gazfocus

Just thought I'd check something if you don't mind guys...I've just looked at my Equifax credit report and Leeds Building Society did a Table 1 search on my credit file when my mortgage advisor did the agreement in principle. The decision was referred and the following day they did a Table 2 search and the search reason was "Subsequent (or follow up) Enquiry (resulted was the Agreement in Principle was approved).

The full application went in on Friday lunch time and on Monday my credit report is showing another Table 2 search by Leeds with the reason "Credit Search Quotation".

Is it normal for them to do another Table 2 search as I presumed they would've done a Table 1 search (Equifax said that Table 2 searches can't be seen by other lenders).

gazfocus

Any thoughts on this one?

The_J

I would do my nut if you were my client :rotfl:

Chill out man you'll be fine.

gazfocus

Lol that's why I'm posting here and not hassling our mortgage advisor

MagicCats

paulmapp8306 wrote: »

Following this as Im going through the same.

Only possible issue - is that proof the deposit is in place - could be an issue

Basically I need £22400k deposit. I have £18k in the bank. The rest is comming from the Army - which is an advance on my pension lump sum payout (can take £8500). i qualify BUT cant put in a formal application until i have a mortgage agreed and a solicitor instructed.

Seems a bit odd - as if you need that 8500 for the deposit, how can you get a mortgage without knowing for sure - however it seems this works as a lot of people use it.

Once the app is in, with lender, house and solicitor details on, they say yes/no and sent a promise to pay the money when the deposit is due to the solicitor. Then i get a form signed by 3 people in my chain and return that to the cell - and they then just wait for the deposit to be called for.

Im just a little concerned that I have no way of "prooving" the £8500 is there until the mortgage is agreed - and the lender might need that "proof" before agreeing the mortgage. it looks like a majic roundabout.

i do have £3k Overdraft facility - which if I use would proove I have £21k I guess, leaving £1400 unaccounted for. My father in law is also lending us £3k (as my wife is due a decent sum in inheritance - we just dont have it yet) to pay legals and moovers. that wont be in my bank for 2 weeks as hes away on holls until then.

How is this going to work?

I'd imagine a letter from the Chief Clerk with the unit stamp on it stating that this is genuine should suffice.

gazfocus

Just a quick update. Leeds building society have now assessed my mortgage application but have lowered the offered amount to just over £29k. My mortgage advisor has said that this is because they won't take my working tax credits into account because they're in joint names with my wife but the mortgage is in my name only.

My mortgage advisor has now sent them a copy of a letter from my boss confirming my second income (which wasn't accounted for on the original application because I had left the job then gone back to it) so hoping that will bring the offer amount back up to the £56k we need.

However, survey has been instructed so can finally get the house off the market

The J, has anyone in your office had experience with this sort of thing?