Mortgage offer is it a hard search?

Lewis7498

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…


My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

housebuyer143

It's normally soft search at DIP and hard search once you apply. I would be surprised if they are doing the Val and didn't hard search you.

For most people a hard search is going to have no impact on their credit file, so they don't care about securing a rate they might not use.

K_S

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

Lewis7498

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

K_S

Lewis7498 said:

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

@lewis7498 That's odd to say the least! Clients are quite sensitive (a bit too much imho ) nowadays about hard-footprint credit checks so I always take their explicit permission before doing anything that involves one.

One hard-check in October should have no impact on a further application in Jan/Feb. Just try and avoid any further hard-checks (new current account, credit card, loan app, etc.) in the period leading up to the next app.

Given that you've mentioned a fix ending in April, I hope it's towards the end of April rather than the beginning. HSBC offers are valid for 6 months from date of offer so, if an offer were to be issued on (say) 28th October, it would only be valid until 27/28th April, so you wouldn't be able to use it without paying ERC if your current fix only ended on 30th April. I hope that makes sense.

If the timing could be an issue, and you've said that the valuer contacted you for an appointment, you could just delay the valuation appointment for a few weeks so that you are comfortably in November before there's any chance of the offer being issued.

Lewis7498

K_S said:

Lewis7498 said:

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

@lewis7498 That's odd to say the least! Clients are quite sensitive (a bit too much imho ) nowadays about hard-footprint credit checks so I always take their explicit permission before doing anything that involves one.

One hard-check in October should have no impact on a further application in Jan/Feb. Just try and avoid any further hard-checks (new current account, credit card, loan app, etc.) in the period leading up to the next app.

Given that you've mentioned a fix ending in April, I hope it's towards the end of April rather than the beginning. HSBC offers are valid for 6 months from date of offer so, if an offer were to be issued on (say) 28th October, it would only be valid until 27/28th April, so you wouldn't be able to use it without paying ERC if your current fix only ended on 30th April. I hope that makes sense.

If the timing could be an issue, and you've said that the valuer contacted you for an appointment, you could just delay the valuation appointment for a few weeks so that you are comfortably in November before there's any chance of the offer being issued.

Oh goodness yes my mortgage is up on 30th April 2023 so it wouldn’t last until then the offer would it?
The valuers called this afternoon and said they could only do this Monday morning 9-12pm as the lender wanted the report by the afternoon which I thought was also odd. Pretty sure I can’t cancel this now as it’s the weekend.

I’m guessing the ERC applies even in the last 3 months of the mortgage if not staying with the same lender?

housebuyer143

Lewis7498 said:

K_S said:

Lewis7498 said:

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

@lewis7498 That's odd to say the least! Clients are quite sensitive (a bit too much imho ) nowadays about hard-footprint credit checks so I always take their explicit permission before doing anything that involves one.

One hard-check in October should have no impact on a further application in Jan/Feb. Just try and avoid any further hard-checks (new current account, credit card, loan app, etc.) in the period leading up to the next app.

Given that you've mentioned a fix ending in April, I hope it's towards the end of April rather than the beginning. HSBC offers are valid for 6 months from date of offer so, if an offer were to be issued on (say) 28th October, it would only be valid until 27/28th April, so you wouldn't be able to use it without paying ERC if your current fix only ended on 30th April. I hope that makes sense.

If the timing could be an issue, and you've said that the valuer contacted you for an appointment, you could just delay the valuation appointment for a few weeks so that you are comfortably in November before there's any chance of the offer being issued.

Oh goodness yes my mortgage is up on 30th April 2023 so it wouldn’t last until then the offer would it?
The valuers called this afternoon and said they could only do this Monday morning 9-12pm as the lender wanted the report by the afternoon which I thought was also odd. Pretty sure I can’t cancel this now as it’s the weekend.

I’m guessing the ERC applies even in the last 3 months of the mortgage if not staying with the same lender?

Go out on Monday and don't let him in 😆😆 make some excuse and rearrange for end of October. 

Lewis7498

housebuyer143 said:

Lewis7498 said:

K_S said:

Lewis7498 said:

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

@lewis7498 That's odd to say the least! Clients are quite sensitive (a bit too much imho ) nowadays about hard-footprint credit checks so I always take their explicit permission before doing anything that involves one.

One hard-check in October should have no impact on a further application in Jan/Feb. Just try and avoid any further hard-checks (new current account, credit card, loan app, etc.) in the period leading up to the next app.

Given that you've mentioned a fix ending in April, I hope it's towards the end of April rather than the beginning. HSBC offers are valid for 6 months from date of offer so, if an offer were to be issued on (say) 28th October, it would only be valid until 27/28th April, so you wouldn't be able to use it without paying ERC if your current fix only ended on 30th April. I hope that makes sense.

If the timing could be an issue, and you've said that the valuer contacted you for an appointment, you could just delay the valuation appointment for a few weeks so that you are comfortably in November before there's any chance of the offer being issued.

Oh goodness yes my mortgage is up on 30th April 2023 so it wouldn’t last until then the offer would it?
The valuers called this afternoon and said they could only do this Monday morning 9-12pm as the lender wanted the report by the afternoon which I thought was also odd. Pretty sure I can’t cancel this now as it’s the weekend.

I’m guessing the ERC applies even in the last 3 months of the mortgage if not staying with the same lender?

Go out on Monday and don't let him in 😆😆 make some excuse any rearrange for end of October.

Can I do that because I will 😆 How typical and this wasn’t even factored in when I spoke with L&C yesterday and did this process!! You’d think they would register it’s over 6 months?

K_S

@lewis7498 That's really poor if all this wasn't discussed by the broker prior to recommending a lender and putting in an application, kind of misses the point of applying. You *should* be ok, as HSBC are currently only at applications submitted around 3rd October so it'll probably be November before your application is picked up.

ERC - there might be slight variations depending on the specific lender but generally speaking, if you are moving lenders then the ERC is payable up to the last day of the fix, so the earliest ERC-free completion date in your case is likely to be 1st May.

Some of the lender surveyor panels do operate a manned phone line on Saturday so it might be worth trying to reschedule tomorrow morning.

Lewis7498 said:

K_S said:

Lewis7498 said:

K_S said:

Lewis7498 said:

Hi everyone,

So I’ve seen on the forum that some people are applying for mortgage offers as they are valid for 3-6 months so could potentially be a good thing in the current climate if the existing mortgage is coming to an end.

Mine is up Apr 23 (so can switch from Jan with current lender) but I just secured an agreement in principle from HSBC for peace of mind in case things get worse…

My question is, I’ve been called today for them to do a valuation on Monday but I’m worried if this is all going so far as to leave a hard search on my file when we might not even be going with them yet?
Do you know if the hard search is later on in the process as I was told by L&C that it’s a soft search?

@lewis7498 If HSBC has instructed a valuation, that means your broker has submitted a full application. A full application will have left a hard-footprint credit search on your credit files.

Assuming that you did instruct the broker to submit a full application, I wouldn't stress too much about it. Unless you are planning to make another application within the next few days or have an otherwise adverse credit history, etc, one hard search is unlikely to have any ongoing impact on your credit history. I get plenty of clients that come to me shortly after being declined on one (or two!) mortgage applications and on its own that's never stopped me from placing them with an alternate lender.

@K_S thank you. Slightly annoyed I wasn’t told this at all, even when I asked he said no it’s a soft search 🫤

I may be applying for a new one around January/February if I can get a better rate so you don’t think this will matter at all?

@lewis7498 That's odd to say the least! Clients are quite sensitive (a bit too much imho ) nowadays about hard-footprint credit checks so I always take their explicit permission before doing anything that involves one.

One hard-check in October should have no impact on a further application in Jan/Feb. Just try and avoid any further hard-checks (new current account, credit card, loan app, etc.) in the period leading up to the next app.

Given that you've mentioned a fix ending in April, I hope it's towards the end of April rather than the beginning. HSBC offers are valid for 6 months from date of offer so, if an offer were to be issued on (say) 28th October, it would only be valid until 27/28th April, so you wouldn't be able to use it without paying ERC if your current fix only ended on 30th April. I hope that makes sense.

If the timing could be an issue, and you've said that the valuer contacted you for an appointment, you could just delay the valuation appointment for a few weeks so that you are comfortably in November before there's any chance of the offer being issued.

Oh goodness yes my mortgage is up on 30th April 2023 so it wouldn’t last until then the offer would it?
The valuers called this afternoon and said they could only do this Monday morning 9-12pm as the lender wanted the report by the afternoon which I thought was also odd. Pretty sure I can’t cancel this now as it’s the weekend.

I’m guessing the ERC applies even in the last 3 months of the mortgage if not staying with the same lender?

Lewis7498

@K_S it’s very bad and I’m surprised as always had a fairly good experience with L&C.

Its with SDL surveys so will try tomorrow and move it but if not I’ll just have to hope that it doesn’t get processed for a couple of weeks and then I think I’m safe if it’s after 1st November is that right?

Can I also ask, there’s no kind of solicitors needed if it’s just gets to the ‘offer’ stage is there? Only if we wish to proceed?

Reassuring to know that HSBC are only at 3rd October so far but worrying that this valuation was being rushed for first thing Monday morning! 🫤

K_S

@lewis7498 Assuming it's lender free legals, there should be at least a couple of check points and client inputs required before a completion date is set, so you should be able to time the conveyancing to your requirements.

Lewis7498 said:

@K_S it’s very bad and I’m surprised as always had a fairly good experience with L&C.

Its with SDL surveys so will try tomorrow and move it but if not I’ll just have to hope that it doesn’t get processed for a couple of weeks and then I think I’m safe if it’s after 1st November is that right?

Can I also ask, there’s no kind of solicitors needed if it’s just gets to the ‘offer’ stage is there? Only if we wish to proceed?

Reassuring to know that HSBC are only at 3rd October so far but worrying that this valuation was being rushed for first thing Monday morning! 🫤