how long does it take to get a mortgage in principal

amjustagirl

My potential buyer is seeing her mortgage advisor tommorow. Does anyone know how long it takes approximately to get a mortgage in prinicipal? that day, a week, weeks? Estate agent rang her advisor today who stated that she shouldnt have a problem getting a mortgage. How certain can the advisor be though?

picklepick

A mortgage agreement in principal is given straight away, instantly. A full mortgage application can take weeks.

Desperado99

picklepick wrote: »

A mortgage agreement in principal is given straight away, instantly. A full mortgage application can take weeks.

I agree. I spoke to our mortgage lender before we put our house on the market and we were told how much they could lend us immediately - subject to credit checks. They also told us that it would take 4-6 weeks (so probably 6-8 ) for it to be processed.

amjustagirl

so would you only put a mortgage application in once a vendor had accepted an offer on a property? just trying to get my head round all this as ive never sold a property before.

Fire_Fox

amjustagirl wrote: »

so would you only put a mortgage application in once a vendor had accepted an offer on a property? just trying to get my head round all this as ive never sold a property before.

Mortgage in principle before you start house hunting, mortgage application (costs money, makes a mark on credit file, need a specific address) once an offer has been accepted and property is off the market. Can't really see why your buyer would only be going for an MIP at this stage, are they just doing that then immediately progressing to the mortgage application?

picklepick

I'm assuming the estate agent has asked them to provide proof of their ability to fund the purchase, so they need an AIP and they're also completing the full application at the same time if you have accepted an offer?

A buyer wouldn't apply for a full mortgage until an offer is accepted.

ijrwe

I got my two AiP's within about 24hrs. Most people would have one sorted before putting offers on houses but it's not a huge problem if they haven't - I think generally you know if you're going to be a likely candidate for a mortgage or not.

amjustagirl

It's happened twice to me in the past buyers putting offers then not having a mortgage in principal. Surely the estate agent should check to see if a potential buyer can even get a mortgage first? Or are the estate agents ive been using rubbish? Also am within my right to say i wont be taking my property off the market until a survey has been paid for after accepting an offer? so i know that the person is serious. Just seems to be a few dreamers out there. Thanks.

amjustagirl

picklepick wrote: »

I'm assuming the estate agent has asked them to provide proof of their ability to fund the purchase, so they need an AIP and they're also completing the full application at the same time if you have accepted an offer?

A buyer wouldn't apply for a full mortgage until an offer is accepted.

would a survey be carried out first then the mortgage application processed? or the other way round?

picklepick

It depends if your buyer is having a survey arranged through their mortgage company, or if they are arranging their own.

If it's the former, the survey forms part of the application process.

directdebiter

5-6 weeks usually minimum to get full approval paperwork back and solicitor ok to exchange. Note that this does not include any hiccups such as digging into payslips in more detail etc.