getting an agreement in principle

vixarooni

hello, partner and i are first time buyers and have a few questions!

1. I've read the halifax do a soft credit check for the aip, does this lower our credibility or is it a case of picking any bank?

2. I understand that when we have an aip we don't have to use their services and can go to another provider. Just checking i am correct on that?

3. What is the length of time we have the agreement before it expires?

Thank you

Yorkie1

1. I think a soft credit check has no impact.

2. Correct.

3. Depends on the lender - don't know about Halifax.

ACG

1)Halifax do soft footprints so theyre not going to show on your credit report, the downside to that is you can never be 100% sure your going to pass the full credit check once you do submit a full app. Personally to me the halifax searches are not really worth the paper theyre written on.

2)Yes.

3) Depends on lender.

Dont worry about getting a DIP until you have an offer accepted. I very rarely do a dip until an offer has been on a property as they can expire. I dont see the point in doing a DIP with halifax as theyre not much use and doing a dip with another company who does a proper foot print is not going to help your credit score.

vixarooni

Thank you for the replies!

What does DIP stand for?

GMS

DIP is Decision in Principle. Agreement/Decision in Principle are the same thing

vixarooni

Yesterday we got a bit of a lecture from an agent saying there is no point viewing houses until you have your aip. Apparently any offer we make on a house wouldn't have the same clout behind it, nor would we be able to move quickly.

Its amazing how many opinions there are in regards to house buying!

witchy1066

how would not having an AIP make any difference, it only takes 15 mins to get AIP , this could be done in the time it takes the EA to contact the vender , and in my experience it can take a day or 2 before the vender comes back with a decision weather to except or not,

hope one of the forums experts will clarify as we are in same position as OP

ACG

Tell the estate agent your not there to P about and waste your time or theirs. Having a pointless bit of paper from halifax isnt going to make the slightest difference, if you like the property you have a good mortgage broker in place who is ready to move once you give them the green light and hes looked at your credit reports and is satisfied your good for the money - even if its a lie.

The estate agent probably just wants you to sit with their broker so they know what you can afford.

Estate agents are such a pain in the proverbial, they create more work for everyone else. What other industry would you get a company telling clients to go away and get some paperwork before they will take you seriously.

_Andy_

"there is no point viewing houses until you have your aip." - absolute nonsense

vixarooni

Great, thanks for the information! If we get a response like that again i'll know what to say

Dan-Dan

ACG wrote: »

Tell the estate agent your not there to P about and waste your time or theirs. Having a pointless bit of paper from halifax isnt going to make the slightest difference, if you like the property you have a good mortgage broker in place who is ready to move once you give them the green light and hes looked at your credit reports and is satisfied your good for the money - even if its a lie.

The estate agent probably just wants you to sit with their broker so they know what you can afford.

Estate agents are such a pain in the proverbial, they create more work for everyone else. What other industry would you get a company telling clients to go away and get some paperwork before they will take you seriously.

Ha Ha love it , both barrels