agreement in principle or credit check first?

mansicklebobblebod

Hi all,

Could someone please just let me know how this works.First time buyer.In order for an offer to be taken seriously/give us more bargaining power,I intend to get what I believe is a mortgage " agreement in principle".

Q - will the Mortgage company do a credit check before agreement in principle, or do they agree in principle based on basic facts such as income,deposit etc etc,then start the heavy stuff,pay slips,credit check,references etc once you actually apply?

Thanks - Rob

jamesml

I'm pretty sure we got an AIP over the phone with no credit checks. Think they take you on your word and then as you say, go for the heavy stuff when you actually apply.

_Andy_

an AIP involves a credit check

chelle333

We had a credit check at AIP stage because it shows on our credit files

mansicklebobblebod

Thanks all! OK,I might as well wait for the right house then go straight for the mortgage then. Cheers - Rob

sulphate

When we got our AIP I was told that it leaves a "soft footprint" on your credit file. Not sure what that means exactly. But it's only when they did the full mortgage application that the full credit check went through. That was with Lloyds.

I personally felt that we were taken more seriously by estate agents because we had an AIP - they often asked our position - but they never asked to see it.