Agreement in principle

chriz1

So today I did some research to try and get something planned should rates rise.
My fixed term ends Nov 23 and would have to pay a 2k ERC of I bugged out now. Which I'd be happy to do. 

Anyway I've received 2 agreements in principle today online. 

How long can I keep these for ? 

I'm planning to hold out with these agreements as long as possible and see what happens with the financial climate. Then If I decide proceed with one of them pull trigger or just cancel them if things settle

do I need to proceed with full applications now to secure them ?  and then I can sit on these as long as I can usually 6 months ? Or will these agreements in principle be able.to hold onto ? 

Also how many applications can I submit? 

K_S

@chriz1 With the vast majority of lenders, you would need to submit a full application to secure a rate, an AIP will not do that.

Depending on the lender, the mortgage offer will usually be valid for 6 months from application, 6 months from offer or a fixed end date around 5-7 months away. On top of this some lenders will allow a 1/2/3/6 month extension to the offer keeping the same rate.

chriz1 said:

So today I did some research to try and get something planned should rates rise.
My fixed term ends Nov 23 and would have to pay a 2k ERC of I bugged out now. Which I'd be happy to do. 

Anyway I've received 2 agreements in principle today online. 

How long can I keep these for ? 

I'm planning to hold out with these agreements as long as possible and see what happens with the financial climate. Then If I decide proceed with one of them pull trigger or just cancel them if things settle

do I need to proceed with full applications now to secure them ?  and then I can sit on these as long as I can usually 6 months ? Or will these agreements in principle be able.to hold onto ? 

Also how many applications can I submit? 

chriz1

K_S said:

@chriz1 With the vast majority of lenders, you would need to submit a full application to secure a rate, an AIP will not do that.

Depending on the lender, the mortgage offer will usually be valid for 6 months from application, 6 months from offer or a fixed end date around 5-7 months away. On top of this some lenders will allow a 1/2/3/6 month extension to the offer keeping the same rate.

chriz1 said:

So today I did some research to try and get something planned should rates rise.
My fixed term ends Nov 23 and would have to pay a 2k ERC of I bugged out now. Which I'd be happy to do. 

Anyway I've received 2 agreements in principle today online. 

How long can I keep these for ? 

I'm planning to hold out with these agreements as long as possible and see what happens with the financial climate. Then If I decide proceed with one of them pull trigger or just cancel them if things settle

do I need to proceed with full applications now to secure them ?  and then I can sit on these as long as I can usually 6 months ? Or will these agreements in principle be able.to hold onto ? 

Also how many applications can I submit? 

That's great thankyou,  and is there any problems with having 2 full applications submitted ? Just as a fall back incase one doesn't go through I'm thinking 

K_S

@chriz1 I wouldn't do it myself but in theory, other than any impact from the hard-footprint credit checks, there is nothing stopping you from having multiple concurrent applications. But there's really no need for it unless you're applying blindly without knowing if you meet the lender's criteria or not.

chriz1 said:

K_S said:

@chriz1 With the vast majority of lenders, you would need to submit a full application to secure a rate, an AIP will not do that.

Depending on the lender, the mortgage offer will usually be valid for 6 months from application, 6 months from offer or a fixed end date around 5-7 months away. On top of this some lenders will allow a 1/2/3/6 month extension to the offer keeping the same rate.

chriz1 said:

So today I did some research to try and get something planned should rates rise.
My fixed term ends Nov 23 and would have to pay a 2k ERC of I bugged out now. Which I'd be happy to do. 

Anyway I've received 2 agreements in principle today online. 

How long can I keep these for ? 

I'm planning to hold out with these agreements as long as possible and see what happens with the financial climate. Then If I decide proceed with one of them pull trigger or just cancel them if things settle

do I need to proceed with full applications now to secure them ?  and then I can sit on these as long as I can usually 6 months ? Or will these agreements in principle be able.to hold onto ? 

Also how many applications can I submit? 

That's great thankyou,  and is there any problems with having 2 full applications submitted ? Just as a fall back incase one doesn't go through I'm thinking 

chriz1

I'm just weiry incase they drop the offer