Purchasing a property is a significant financial commitment, likely the most substantial one you’ll make in your life. Understandably, you may have numerous questions about the mortgage process.
As a mortgage broker in Leeds, we’ve helped a diverse range of buyers, and a common inquiry we come across is, “how long does mortgage approval take?” If you’re a first time buyer in Leeds grappling with questions like these, seeking expert mortgage advice in Leeds is important.
However, it’s important to note that not every question has a straightforward answer, especially when it comes to timelines, as it hinges on individual personal and financial situations.
Assuming you have a clean credit history, mortgage approval could take around 2-3 weeks. This timeframe is just an illustrative example; the actual duration may vary. Approval processes may extend if there are current or past credit issues.
In such cases, the mortgage lender meticulously examines your credit file to assess your reliability as a mortgage applicant. For those with adverse credit or a history of credit problems, the approval process might span several months.
It’s imperative to understand that there’s no fixed timeframe for mortgage approval; it is contingent on both the mortgage lender’s policies and your unique financial circumstances.
Securing mortgage approval today is a more intricate process compared to the days before the credit crunch. The days of mortgages being easily accessible are gone.
The current process is meticulous and time-consuming, aiming to gain a comprehensive understanding of your personal and financial situation.
Mortgage lenders delve into various aspects, including your credit, income (including occupation), and outgoings (examined through bank statements) to gauge your suitability for a mortgage.
This thorough evaluation is essential for lenders to determine the level of risk involved. It’s vital to bear in mind that you are just one of many applicants in the process.
As a mortgage broker in Leeds, our approach involves structured stages that guide you through the mortgage application process.
The goal is to make your mortgage journey stress-free, allowing you to focus on finding your dream property in Leeds while we handle the intricacies of the mortgage side.
Initiating your mortgage process is easy; simply book a free mortgage appointment with one of our mortgage advisors in Leeds. This can be done online by selecting a suitable date and time or by contacting our team directly.
With appointments available seven days a week, you can choose a time that suits your schedule. During the appointment, which typically lasts 30-45 minutes, your mortgage advisor in Leeds will gather essential information to understand your goals and guide you along your mortgage journey.
Following your mortgage appointment, your mortgage advisor in Leeds will provide an important document – the mortgage agreement in principle (AIP). This document is indispensable when making an offer on a property.
It serves as proof to the estate agency that you’ve received pre-approval from a mortgage lender. If you’ve already identified your dream property, we can swiftly proceed to the next step.
Once your offer on the property is accepted, we’ll align it with the ideal mortgage deal from our extensive panel of lenders, encompassing both high street and specialist products.
The details of this tailored mortgage deal will be presented in a comprehensive mortgage illustration document, providing you with all the essential information.
If you’re satisfied with our service and the identified mortgage product, it’s time to initiate your mortgage application. Preparing this application involves attaching several documents to demonstrate your affordability for a mortgage.
Rest assured, we’ll help you in gathering all the necessary paperwork to ensure your application is complete. Upon readiness, we’ll submit your application to the mortgage lender.
Once your mortgage application is submitted, it’s now in the hands of the mortgage lender. Importantly, we’ll never propose a mortgage product that is likely to be declined. The lender will scrutinise the attached documents to verify your mortgage affordability.
They’ll also verify your ID and current registered address, and scrutinise the source of your deposit. If your deposit is a gifted one, the lender will require the last 3 months’ bank statements from the donor and a signed gifted deposit form.
Distinct from a house survey, a mortgage valuation survey entails the lender sending a property surveyor to assess the actual value of the property you intend to purchase. Different property surveys are available in Leeds, each suitable for different property types.
Your mortgage advisor in Leeds will recommend the appropriate survey for your situation. The purpose of the survey is to ensure the property’s value aligns with your offer. This step safeguards the lender in case of repossession, assuring they can recover their funds by selling your home.
As long as you consistently meet your monthly repayments, there’s no need to worry about losing your home.
After the lender completes their checks, successful applicants should receive formal mortgage approval. Your mortgage advisor in Leeds will promptly share this positive news with you.
Subsequently, you’ll be handed over to the solicitors to finalise the legalities, exchange contracts, and prepare for key collection.
Whether you’re a first time buyer in Leeds, looking to move, remortgage in Leeds, or invest in a buy to let property, understanding the mortgage process is key. As a mortgage broker in Leeds, we recommend commencing your mortgage process up to six months in advance.
This allows for the arrangement of your agreement in principle and early property searching within your budget. For instance, if you plan to move home in January, starting the process in the summer aligns with your timeline.
If you’ve had an offer accepted or are considering buying a property in Leeds, take action now! Book your free mortgage appointment online or by contacting our team today.
Date Last Edited: December 11, 2023