Mortgage Application

Kattmul123

Hi everyone.

Had a decision in principle for Leeds Building Society, application has been sent in on Friday but having to wait till after bank hol to start underwriting process. 

I just have a few questions that I don’t want to bug my broker with.

1)They’ve taken my home buyers survey money… is that a good sign? Do I get that back if they decline me?

2) If they are unsure, will I get the chance or will my broker get the chance to fight my corner?

3) Has anyone had any experience with being declined after a AIP? Or is it rare?

4) What are the underwriters like?

My broker thinks we have nothing to worry about but we are borrowing only 1,000 less than the AIP money they offered and I’ve had a missed payment last month (only one) and was paid. And my partner lived in his arranged overdraft for a couple months but then it was cleared and not like that in most recent statement. We just want our dream home so much we are worried we won’t get the mortgage. 

Any advice or words of wisdom? Can’t wait to know more answers from them.

CreditCardJunkie

Hi hope you're not kept waiting too long it's agonising! I've just been through this with a different lender so not 100% sure on yours but mine did the survey before doing the underwriting so it could have been declined at any stage before the mortgage offer. I'm self employed so there was a lot of back and forth, it took a month to get our offer 🙈 for anyone employed it seems to take a week or two max! If you were open with your broker I would try not to worry!

Kattmul123

CreditCardJunkie said:

Hi hope you're not kept waiting too long it's agonising! I've just been through this with a different lender so not 100% sure on yours but mine did the survey before doing the underwriting so it could have been declined at any stage before the mortgage offer. I'm self employed so there was a lot of back and forth, it took a month to get our offer 🙈 for anyone employed it seems to take a week or two max! If you were open with your broker I would try not to worry!

Thank you! Me too. Usually bank holidays fly over… this one has been super slow haha🤣 

Fab. Did you go with the lender who offered you your AIP? 

TheJP

Manage your expectations. Its not even been 1 business day since you submitted your application. If they do the survey and then don't proceed then yes you will have lost the fee, its no different to you pulling out after a bad survey.

Yes many people have been declined after a AIP/DIP, it all depends on circumstances.

I doubt your broker could fight your corner if the bank declines you, they have processes and systems if you don't fit you don't fit, move on.

Underwriters live in caves and are rarely seen in public, they are meticulous and have an eye for detail. Beware. I jest but again they follow their banks process and policy.

You are over thinking very minor stuff at this stage. Relax until you know more detail and again manage your expectations. 

kingstreet

Kattmul123 said:

Hi everyone.

Had a decision in principle for Leeds Building Society, application has been sent in on Friday but having to wait till after bank hol to start underwriting process. 

I just have a few questions that I don’t want to bug my broker with.

1)They’ve taken my home buyers survey money… is that a good sign? Do I get that back if they decline me?

Fees are collected as the application is submitted. Don't read anything into that. Yes. If the survey hasn't been done at the time of the decline.

2) If they are unsure, will I get the chance or will my broker get the chance to fight my corner?

Possibly. Would depend on the reason.

3) Has anyone had any experience with being declined after a AIP? Or is it rare?

It's very unusual unless it relates to post-application data such as a supporting document or property issue.

4) What are the underwriters like?

They simply consider the application data, documents, valuation and decide if the application matches the lender's requirements.

I’ve had a missed payment last month (only one) and was paid. And my partner lived in his arranged overdraft for a couple months but then it was cleared and not like that in most recent statement.

That's not helpful but it's impossible to say if it will be an issue. It will depend on timing, amounts concerned etc

Answers in line.

theartfullodger

You never know in advance.  Different lenders, different applicants get different handling and outcomes...

I had one application that ended up taking months.. 1stly the broker transcribed my home postcode getting one character wrong and lender then wanted to know why i was fraudulently claiming to live in someone else's house.

Then (was buy2let) the application asked from which account the monthly mortgage would be paid from.  I answered honestly & correctly but they then rejected it as it was a different account from the one getting my main income, ( 5 pensions....)

Think it took 4 months. Sorted eventually, but i could  (time wise) afford the delay.

Good luck, hope it works out 

CreditCardJunkie

Kattmul123 said:

CreditCardJunkie said:

Hi hope you're not kept waiting too long it's agonising! I've just been through this with a different lender so not 100% sure on yours but mine did the survey before doing the underwriting so it could have been declined at any stage before the mortgage offer. I'm self employed so there was a lot of back and forth, it took a month to get our offer 🙈 for anyone employed it seems to take a week or two max! If you were open with your broker I would try not to worry!

Thank you! Me too. Usually bank holidays fly over… this one has been super slow haha🤣 

Fab. Did you go with the lender who offered you your AIP? 

I'm sure! We had an AIP with Halifax first and then asked our broker if someone else would lend us more so we got another AIP with Santander which is who we got the offer with. Apparently they are good for self employed!

Jazz1988

Leeds book the valuation on the day of application, well they did with us anyway. Put our full application in on tuesday march 19th and got our offer on Wednesday march 27th, was very quick. Best of luck ☺️🤞