Co-op mortgages

Alwilb

Does anyone have any experience of using the co-op?

I've been approved by their underwriters for a 75%, 3.39% 5 year fix with no arrangement fee. I'm at the stage where I applied over the phone, a few days later they told me I'd been credit checked and approved and they'll send the paperwork out. I signed and returned the paperwork and included 3 month's pay slips and a declaration of gift form signed by my Father (he's helping me with the deposit).

I know the usual course of events would be that the co-op review all of that and then pass me over to the surveyors to arrange for the valuation.

I'm keen to push on with this as quickly as possible. Do you think it's safe for me to look to arrange the valuation whilst co-op review the paperwork I've returned to them? I don't see anything which would cause the mortgage to fall down at this stage but clearly I don't want to arrange and pay for the valuation/homebuyer's survey to be told Co-op have changed their mind.

Do people think I'd be safe pushing on with the valuation or should I sit tight and have a few days of delay whilst waiting to hear from the co-op? It took them a week to get the paperwork out to me last time so I'd rather not twiddle my thumbs for another week if possible.

ACG

Co-op will arrange for the valuation. You can ask them to do it before they have underwritten it but it will be at your own risk.

I used to work for them until last year, theyre actually quite good. If you have an application and no unusual circumstances and can back it up with what they want there shouldnt be any issues.

They have a good process in place and everything should go through quickly enough.

Alwilb

Yeah that's the issue. If I instruct the valuation at risk, how big of a risk is it? It's gone through underwriting and now just needs me to send them the various paperwork. I wouldn't think it would fall down now but you never know.

Best to just sit on it I would think. I just want to see it all go as quickly as possible. They confirmed on the phone my application had been initially accepted on a Friday and it took until the following Friday to actually receive the paperwork (I chased it up and their systems showed they forgot to send it) so keen to push on.

ACG

Thats human error, it will go through quickly enough dont worry.

Thrugelmir

Alwilb wrote: »

Yeah that's the issue. If I instruct the valuation at risk, how big of a risk is it? It's gone through underwriting and now just needs me to send them the various paperwork. I wouldn't think it would fall down now but you never know.

The lender requests the valuation to be performed for their benefit not yours. This will be a surveyor of their choosing to minimise any possibility of collusion. In essence the surveyor confirms that the price you've agreed with vendor is fair and reasonable to the lender.

Alwilb

Thanks Thrug. It's perhaps come across incorrectly. The question in my mind at the moment is, in order to speed the process up, whether I should ask for the valuation to be done now before my written application has been approved. My application was made on the phone and then approved a couple of days later by the underwriters. I think/hope the 'written application' is more a formality.

Countrywide are the surveyors which co-op use and I'm also going to go with the homebuyer's survey as it's an old property.

From what ACG says, the Co-op move quite quickly so I'll probably sit tight for a few days and wait for the written application to be received and processed before paying the valuation/survey costs.

ACG

It wont even save you a week if you booked it in now.

Alwilb

Yeah I think it's best to just work to Co-op's timescales and not jump ahead.

Thrugelmir

Alwilb wrote: »

Yeah I think it's best to just work to Co-op's timescales and not jump ahead.

Relax. House purchase is a stressful process. The mortgage is the often the smoothest part!