Remortgaging just means moving from one deal to another, either with the same lender or with someone completely different.Read more
How to get a mortgage
What you need for
your mortgage application
The mortgage application process
- Let your chosen lender (usually the one you have an Agreement in Principle with) know that you want to make an application. They will have told you how to do this when they issued yourAiP. Alternatively, if you’re using a broker, it might be easier to let them do this for you.
- Your lender will value the property your offer’s been accepted on. This is to check that you’re not overpaying (and therefore that they aren’t lending too much).
- This is where your paperwork comes in. Good job you’ve already prepared it! Your lender will check all your documents at this point, as well as performing a hard credit check (the kind that shows up in your credit record).
- When the lender is happy with your paperwork, credit score and the property valuation, they’ll make a formal mortgage offer.
- When you have the formal offer, let your conveyancer know. They’ll have the money transferred to the seller on completion day.
How long the application takes
Of course, these things take time. Expect to wait around 18-40 days between making your application and getting the formal offer, and perhaps longer if your paperwork is complex, the property valuation is different to your offer, or events like the Covid pandemic slows work down.
Every case is different, so ask your mortgage broker what your expectations should be. If your lender asks for any additional paperwork, get it to them as soon as possible to help prevent delays in the process.
As well as the cost of your mortgage (and the deposit you put down first), another large cost will be Stamp Duty Land Tax, and this needs to be paid within 14 days of completion. The good news is, you might be one of the lucky people who gets a reduction or exemption. Let’s take a look.