Testing waters w/ Agreement in Principle

bk_1

Hello

I'm looking at a new build, can I do an application for agreement in principle without much risk to my credit history to see what we could potentially get?

I'm looking to do one with Natwest as they state they do soft check:
http://personal.natwest.com/personal/mortgages/online-mortgage-application.html

Is that ok? We'd likely go with a broker if we decide to go for the property so just wanting to do this 1 to see.

amnblog

No

Do not run any credit score out of impatience.

Wait and see a broker.

ashp_2

amnblog wrote: »

No

Do not run any credit score out of impatience.

Wait and see a broker.

Whats the harm in this? I have seen multiple mortgage brokers advise people not to do these soft search AIP's. Im just interested to know why not?

ellison007

I did an AIP with NatWest - soft credit check in branch (soft search shows up on Equifax). no risk to credit history and no harm at all done to credit score, in fact you will gain lots more knowledge. Good idea because the system will flag any problems immediately.


brokers are the experts tho'. combine your own research with their research. they are better at doing it, they've done 1000's of applications for customers. you will probably do just the one app in a 25 year period (unless you re-mortgage after 2 years etc. that is).


best of luck.

bk_1

Well I did it, I came just short of what I was looking for. Called broker to do affordability assessment and said it went through fine for HTB equity loan requirements and should be fairly ok to get what I wanted. (Without credit check so whatever checks they do on their system)

I will put down Natwest's assessment down due to the fact I just cleared a loan (2 days ago) and it'll probably take few days/weeks/end of month for that to show up as cleared/closed. This goes in line with the affordability checkers the lenders have on their site as if I add my monthly loan repayment the mortgage available is very close to Natwests assessment.

ashp_2

It will take 4-6 weeks for your report to update. Make sure you check as in my case it took even longer and would of potentially ruined my mortgage application.