Should I apply for a mortgage now?

Ksaver7

I had an offer accepted on a property at the end of February but knew it would take a while for the chain to complete as the vendors hadn’t found a place and are looking in a small area. Because of this I didn’t apply for a mortgage at the time as I was waiting for the chain to complete.

We are now 4 months on and no progress and interest rates are rising by the day. Is it worth me applying for a mortgage now (before the inevitable rate rise tomorrow) in the hope that it’ll complete within 6 months?

Also, given the delay I’m actively looking for other properties. If I were to apply with this house as the address could I change the address later down the line and/or adjust the amount I’m borrowing (likely increase)? 

The LTV wouldn’t change as I’d be keeping below 60% LTV regardless

giddypenguin

I was in a similar boat, I was advised by my broker that the address can’t be changed so not to apply until we are sure we’re going ahead.

she also reassured me that lenders change their rates at different times so all the good deals should evaporate overnight, but it’s definitely a worry isn’t it?

K_S

@Ksaver

With most lenders you can change the property post-offer while keeping the same rate at long as you are in the same LTV band. Borrowing more will depend on whether your income supports it.

With a few lenders like Nationwide, a new property means a full new application so you lose the old rate.

Ksaver7

Thanks both! 

It's a bit depressing watching rates climb up. When I started looking there were sub 1% rates, would be lucky to get sub 3% at this rate!