Timescale when applying for a mortgage - Advice please

ahoneybun

I was hoping that someone might be able to help. My husband and I submitted an application for a mortgage on Monday of this week and yesterday we received a letter from the surveyor telling us that they had been instructed to carry out a survey on the property by the Building Society. The question I wanted to ask is does that mean the Society are going to offer us a mortgage (obviously if the survey comes back alright?) Its seems like a quick turn around, don't get me wrong I am not complaining! I expected it to take longer as I am not sure how log these things normally take. Many thanks for your help.

oxfordmark

ahoneybun wrote: »

I was hoping that someone might be able to help. My husband and I submitted an application for a mortgage on Monday of this week and yesterday we received a letter from the surveyor telling us that they had been instructed to carry out a survey on the property by the Building Society. The question I wanted to ask is does that mean the Society are going to offer us a mortgage (obviously if the survey comes back alright?) Its seems like a quick turn around, don't get me wrong I am not complaining! I expected it to take longer as I am not sure how log these things normally take. Many thanks for your help.

Hello

The mortgage wont be offered until the valuation/survey comes back satisfactory.

Do you know when yours is?

dotdash79

Also you might have passed the initial credit check and affordability check, however they might still want references, copies of pay slips, etc, etc before a full mortgage offer is made.

Who's the mortgage company? what's the LTV?

Senior_Paper_Monitor

The status of your application is dependent upon who the lender is - for instance: Coventry order the valuation as soon as application/payment made (and usually haven't even looked at the documents at that stage) while Skipton won't contemplate a valuation unless almost totally underwritten.

ahoneybun

Oh right it is Coventry! The reason I asked was that the initial valuation from the Coventry was free but we paid for a home buyers report. Which means if what you are saying is true we will lose our money if they don't offer. I did think it seemed quite quick. When initially applied online we were accepted but only sent paperwork, payslips etc on Monday.

Senior_Paper_Monitor

In 99% of cases we try to hold the valuation back - but that takes a specific action with Coventry. With Coventry that fact that they have gone to valuation has no real indication of how they are going to evaluate the application (although their DIP is fairly reliable - as far as a DIP can be)

ahoneybun

Thank you for your response and excuse my ignorance but what is a DIP? It's somewhat blown my bubble to be honest I was really hoping that the application was sailing through.

Senior_Paper_Monitor

Decision in Principle (credit and basic criteria check) which you will have passed prior to the complete application

ValHaller

ahoneybun wrote: »

Thank you for your response and excuse my ignorance but what is a DIP? It's somewhat blown my bubble to be honest I was really hoping that the application was sailing through.

DIP = Decision In Principle

This is the outcome of a preliminary application made when you have no house in view and answers the question of whether you are good for the money. If you have gone straight to Coventry with the house, you will have bypassed this stage.

Also different lenders have different processes for the DIP - some look at your credit record whereas others base it on what you declare - leaving you vulnerable if the Credit Record does not line up with what you declare.

ahoneybun

We were given a DIP on Friday of last week, so fingers crossed it will all be good. Thanks for your responses, it is much appreciated.