General Mortgage Questions

Competsoph

Hi all 🙂
Hoping you are well! I have a few general questions about mortgages.
Some context before we begin: I have a AIP and mortgage promise with the Halifax that was gained in February this year. I work for the NHS so secure job and my wage has even slightly increased since this promise was gained. Paperwork is all provided by the Halifax. 

Now questions:
1. Although my promise is with the Halifax, there are other lenders with cheaper interest rates. Am I free to change lenders to apply for my proper mortgage when I find a property? Will this have any impact on my credit score if I reapply to another lender. 

2. How would this work? Would I have to apply to the other lender via AIP first and then go ahead with a full application? (In the current circumstances I’m unsure how I’m going to have an appointment to do the application!)

May be simple but I’m FTB and still trying to get my head around everything!
Thanks 😃

[Deleted User]

You can apply elsewhere.  Your score isn't a factor in lending (or in anything else), but too many searches can have a detriminental effect when lenders review your files, but they're simply a necessary function of applying for credit.

Competsoph

Hi, thanks for your quick response. So essentially I should just look towards the lender with best rates when I do finally find somewhere. 

At the moment when asked, I’m telling EA that I have mortgage principle and promise in place as that’s true. I’ve been looking for a while now so finances are not a problem. 

Should I wait until I have an offer accepted and then apply to the best rate lender? 

Thanks 

[Deleted User]

Yes. AIPs aren't worth much, so sort it when you've found a property.

Competsoph

Sorry, another question..
Looking at the current mortgage rates, HSBC seem to be offering the best at present. On the page however it says available through HSBC via broker, or via a broker. Does this mean I can not apply directly to the HSBC for this rate?

I think I’ve found my house and now I’m starting to panic!

penners324

Some mortgage lenders are only available through a broker.

amnblog

If you are not keen to shoot yourself in the foot engage a Broker.

Competsoph

@amnblog I have to admit I was planning on going through the mortgage process myself. Do you think it’s wise to engage with a mortgage broker or not? And reasons why?

At this current time Halifax will not provide me with a mortgage because of my 90% LTV ratio so I’m going to have to find another product. Not really what I wanted for my first purchase but here we are! (Ps I’ve actually now found a property and have had an offer accepted!)