Divorce or separation is not something we ever prepare for. We live for the moment and embrace the feeling of love, so if something unexpected happens and this ends up becoming a reality, your perfect world can sometimes become a little complicated. It can affect ownership of belongings and pets, your children, your finances and more.
We find that in most situations where children are involved, the parent who spends more time raising them, say a stay-at-home parent, will stay in the property with those children whilst the other moves out. There may come a time that whoever is “in situ” wants to take over the mortgage in their own name. Alternatively, maybe both parents want to leave and start anew.
One of the biggest things that may become complicated is any mortgage commitments you made together. If sorting this out isn’t going quite so smoothy, it may be time to approach a mortgage broker in Hull to get that the specialist mortgage advice that you need.
As an experienced and dedicated mortgage broker in Hull, we deal with specialist cases every single day. Through our years within the mortgage industry, we have been there to support and guide many different customers who were going through a divorce or separation. When those people do get in touch, we often find ourselves being asked the same three questions:
Once you have already made your mortgage commitments, changing these can be a difficult process. Both of your names are on your mortgage and as nice as it would be, it isn’t just as straightforward as speaking to your lender and asking them to take your now ex-partner off the contract.
When you approach your lender or a trusted mortgage broker in Hull to enquire about removing a name from a mortgage, they will have to be sure that the remaining applicant on the deal is able to afford their mortgage completely, without the assistance of another party.
Each of you will have to receive a full affordability assessment regardless of whether you have kept up to date with your mortgage payments or not. You may even be able to prove that you have been paying your mortgage payments without any help from your ex, but this will not change the fact their name is tied into the deal and you’ll still need to pass the lenders checks.
At this point in the process, we often find that people have someone already ready and willing, who can step in and replace the ex-partner on your mortgage. This is usually a family member, a close and trusted friend or in some cases, a new partner altogether.
Every lender will assess your affordability for a mortgage in their own unique way, so don’t give up if your existing lender is unable to help you out. There may still be other options available to you as a homeowner, so it is always worth seeking the help of a mortgage broker in Hull to see how we can help you out.
This will work the same as if you were trying to removing another person’s name from your mortgage. Both of your names are still tied into your mortgage so even if you are the one who chooses to leave, you are ultimately still responsible for any mortgage payments if your ex-partner cannot keep them up.
Even if you have a verbal or written agreement between you both that your ex will be the one maintaining payments, this is not legally binding in the eyes of the lender and you will be deemed responsible.
If at any point in the future you wish to take out a mortgage on a newer property, solely in your name, the mortgage payments for your old property will be taken into consideration by the lender. As such it is very important to take this into consideration prior to doing so and is why we always recommend getting help from a professional mortgage advisor in Hull ahead of time.
In these kinds of circumstances, we find that people can often get confused and stressed out, which is exactly where a fast & friendly mortgage advice team here at Hullmoneyman can step in. One of our loyal and hardworking mortgage advisors in Hull will sort everything out for you and recommend the most appropriate options available to you as someone who is now moving home in Hull. We will always have your best interests at heart
Some lenders are more generous as regards how much they’ll lend you than others. Some are strict and some may be more lenient, with any existing mortgage commitments being a large factor in this during these circumstances. We will take this into account when recommending the most suitable lender to apply for a mortgage agreement in principle with.
For many homeowners, depending on varying factors, the option to have more than one and even more than two mortgages on different properties is a possibility. There will be a lot for your lender and their credit scoring systems to assess when you apply for a second mortgage.
The main factor, much like above, is determining whether or not you can afford this route. If you are applying for multiple mortgages and are failing, this could have a very negative effect on your credit score.
As a fast & friendly mortgage broker in Hull, we have the ability to perform a search for you without damaging your credit file. Once we have keyed in all of your information, we can provide you with an estimation of the maximum amount that you will be able to borrow.
This will help you create an outline of your budget and how much your monthly mortgage payments are roughly going to be on top of your existing financial commitments.
It can be difficult to move on from your current financial commitments, especially in situations like these. This is why having an expert advisor by your side will be incredibly beneficial to you in the process of setting yourself apart and removing a name from a mortgage.
Moving home is already a stressful enough experience and if you add that to a complex situation like a divorce or a separation, it can sometimes all get a bit too much. Get in touch with a mortgage advisor in Hull today and we will see how we can help you.
Many can see the concept of being self-employed as a barrier when it comes to credit, especially when it’s getting a mortgage. With the help of an experienced mortgage broker in Hull working by your side, that doesn’t have to be the case.
The first thing that you should be aware of is that there isn’t a specific uniformed style of lending criteria for sole traders and limited company directors. Each individual lender has their own policy that is unique to them and the amount they will allow you to borrow can largely differ to that of another lender.
Looking at sole traders (also known as partners), the amount that you will be able to borrow for a mortgage will be an amount based on your net profit.
You’ll find that the majority of lenders average your last 2 or 3 years’ net profit but there are lenders out there that can consider using your latest year. If your net profit has decreased the lender will usually go off the latest year and will require you to provide them of an explanation as to why this has happened.
If you are a limited company director who is in ownership of 20% or more in company shares, then in the eyes of mortgage lenders, you will be classified as self-employed and similar rules will apply as above in terms of averaging. The figure that they tend to average will be your salary (typically this can be equivalent to the tax-free allowance) plus declared dividends.
You’ll find that there are different circumstances where a limited company may be performing well in terms of net profit, but the directors are not drawing their dividend. These type of applications can often face hurdles when it comes to the maximum borrowing capacity, as there is not as much income that can be declared by the applicant.
It’s not the end of the road, however, because there are lenders out there that will consider using your share of the net profit, rather than salary plus dividends.
The minimum trading period for people who are self-employed in Hull or limited company directors is one year, though in some cases there are mortgage lenders who will want to see more than that. If you have recently formed a limited company after a period as a sole trader, under the advice of your accountant, then there are lenders who can look at this as long as it is within the same field of work.
As you can see from the information listed, obtaining mortgages for the self-employed can easily be seen as difficult business, though the hardest part is simply evidencing your income. If you would like to talk about your situation please feel free to Get in Touch and we’ll talk you through your options, as well as send you a form for your accountant to complete. This will help us tailor-make a recommendation designed to meet your exact circumstances.
The reason a lender will need to see your bank statements is to learn more about you as a person and what your spending habits are like. How you have acted lately and the presentation of this on your bank statements can be the difference in how much a lender will let you borrow, if anything at all.
This is down to risk. A lender needs to know you’re responsible with your money and can be trusted to handle finances appropriately. After all, a mortgage is likely the biggest financial commitment you will ever make in your life and is not something to be taken lightly.
Your bank statements are easily obtained either in the post from your bank, over the counter from your local bank, or as often seen these days, as a printable version from your bank’s online platform.
So down to the main question now. What will they actually be looking for? What might flag up in their eyes?
Well as mentioned above, they need to know you’re being responsible with your finances. One of the things they’ll be looking at is if there are any overdrafts. Using this every so often is not necessarily a bad thing, but if you are exceeding your limit on a regular basis, this is going to put your level of trust into question.
More factors to be careful with are potential returned Direct Debits, which could show a lender you are not consistently reliable, and not disclosing loans at application stage, as it won’t look good if the lender finds outgoings on your bank statements that you failed to mention. Once again, this is a process of trust.
Other things to be aware of are missed payments for personal loans and things such as credit cards. If you can prove you handle your money well and are able to meet monthly payment deadlines, a lender will be more likely to lend you an amount closer to that which you would like to borrow.
This is a question we find ourselves being asked on a regular basis. All too often do customers find themselves stuck when they have a history of gambling behind them. The occasional bit of fun is harmless, but if you are frequently betting large amounts of money, whether you’re making it back or not, a lender will not look at your situation favourably at all.
To learn more, please see our article on “Do Gambling Transactions Look Bad on My Bank Statements?”
From our experience in working with many First-Time Buyers in Hull & Home Movers in Hull, we have found that most mortgage lenders will want at least three months bank statements from an applicant.
With that in mind, it’s time for you to forget the past and think about the future. You have at least three months to work on your finances. The first thing we’d suggest is if you are a frequenter of the local bookmakers or online gambling scene, you take a break for some time. This not only benefits your financial state but can also benefit your mental health too.
The next steps we would recommend taking are to trying to save money. For example, cooking in as opposed to eating out, treating yourself to unnecessary purchases and cancelling unneeded subscriptions are great ways of freeing up additional cash to ensure bills can be paid on time.
What this boils down to is simply being sensible and planning with plenty of time ahead of what you’re looking to do. The further away you find yourself from bouts of debt and financial uncertainty, the better your chances will be with a lender.
Whether you’re a First-Time Buyer, Moving Home or Self-Employed, it’s always important to keep on top of your finances. If you have a bad credit history and are unsure of what to do, you can always enquire for Specialist Mortgage Advice in Hull by Getting in Touch with us today. We’ll advise as best as we can, to further you through your mortgage journey.
When lenders ask for your bank statements you can expect them to look for a variety of things. However, their main objective is to assess whether you are the sort of person who manages money responsibly and is likely to keep up to date with their mortgage payments. In recent months, one question is being asked by applicants quite a lot: “do gambling transactions look bad on my bank statements”.
Whether you have an annual flutter on the grand national or regularly use internet betting sites, clearly there is nothing illegal about properly licensed gambling. Many of the bookmakers advertise on mainstream TV and radio. A lot of people see gambling simply as a mainstream hobby or pastime similar to many others. However, it shouldn’t be forgotten that even the gambling advertisers urge customers to “please gamble responsibly” and this is the key to bear in mind when applying for a mortgage. Thus, whilst it is not a lender’s job to tell you how to live your life, how to spend your money or indeed to moralise on the ethical rights and wrongs of gambling, they do have a duty (underscored by mortgage regulation) to lend responsibly.
If lenders need to prove to the regulators that they are making prudent lending decisions, it isn’t entirely unreasonable of them therefore to expect the people to whom they lend to adopt a similar approach when it comes to their personal finances. Think about it. If you were lending your own money would you lend it to the applicant who gambles or the one who doesn’t?
As mentioned above, it is not illegal to gamble so just because you have the odd gambling transaction on your bank statements it doesn’t automatically mean you will be declined for a mortgage. However, the lender will consider whether these transactions are reasonable and responsible. Thus they will particularly look at the frequency of these transactions, the size of the transactions in relation to the person’s income and the impact upon the account balance.
If these transactions are infrequent small amounts that make no significant impact on a regular credit bank balance, then they are not likely to be regarded as important. However, if you bet most weeks or you are constantly overdrawn, the lender is therefore likely to see that as being irresponsible and decline your application.
As we’ve seen, basically lenders are looking at your bank statements to show how you manage your money and to help them establish whether this gives them either the confidence that you are financially prudent or the evidence that you are not.
Remember, lenders are financial institutions that, either directly or as part of a wider group, often sell current accounts, overdraft facilities credit cards and personal loans, so understand that these things can all play a part in prudent financial planning. The key for a mortgage applicant is how these facilities are managed. For example, having an overdraft facility and occasionally using it, is not inherently a bad thing; regularly exceeding the overdraft limit – not so good. Thus, lenders will look for excess overdraft fees or returned direct debits because these would normally show that the account is not being well conducted.
Other things to look out for include credit transactions from pay-day loan companies; “undisclosed” loan repayments (i.e. if you said on the application that you have no other loans but there appear to be regular loan payments, this could be a problem); they would look out for any obvious missed payments; finally, they might also consider how much of a typical month is spent overdrawn – i.e. if you only just go into credit on payday and for the rest of the month are overdrawn, how sustainable is this mortgage?
The simple answer is – be sensible and, if possible, plan ahead. Typically, a bank would ask for up to three months of your most recent bank statements. These will show your salary credits and all your regular bill payments. Thus, if you know you’re likely to want to apply for a mortgage in the not-too-distant future, try to make sure that you avoid any of the above pitfalls. Take a break from gambling for a short while and work on presenting your bank account in the best possible light.
Your mortgage broker can help you as there are some lenders who may ask for fewer bank statements than others or indeed some may not even ask for them at all. However even these lenders would reserve the right to request bank statements in certain circumstances, so your best bet (no pun intended) is to be as prudent as possible in the run-up to any mortgage application. Remember, if you do gamble, please gamble responsibly!
If you are a First Time Buyer in Hull who doesn’t know a lot about mortgages, you should definitely get some specialist advice from a Mortgage Advisor in Hull. They will guide you through the whole mortgage process and help you with your application and get you on track so that lenders will be impressed.
The majority of married applicants would much rather jointly apply for a mortgage, as opposed to applying for a mortgage in a sole name. Property prices have inflated far beyond wage increases over the years, and in a lot of mortgage cases these days, two salaries are required in order to qualify for a big enough mortgage on a property.
However, sometimes you may find yourself in situations where one salary is enough to cover the amount you’re looking to borrow. On top of this, there could be specific reasons why one applicant doesn’t want to go on the application.
One of the applicants may have found themselves with a previous credit problem such as bankruptcy or a CCJ, which could prevent them from currently being on a mortgage, even if they would like one.
In cases of bad credit with one of the applicants, providing the other applicant isn’t tied to the credit problem in some way, be they a partner or a business partner, one applicant may still be able to apply for the mortgage in their sole name.
The person eligible for applying for a mortgage in their sole name would need to be careful to try and avoid creating any financial association with their partner. If you happen to get tied to a financial commitment with them in some way, this could seriously affect your credit score and harm your chances of obtaining a mortgage in the near future.
Other instances where an applicant may choose to go the route of applying in their sole name, can include if the other applicant is unemployed. As a rule, the maximum borrowing capacity for couples applying for a mortgage together is actually lower than if the working applicant took out the mortgage in their sole name. This is something we have seen happen quite a lot over our years in the mortgage industry!
The age of applicants can also become a factor in the calculation sometimes. If one of the applicants is say in their 50’s, a mortgage lender may not look at their situation favourably, due to the risks of old age and how inconsistent income could be at that age. That being said, if a younger partner applies as a sole applicant, this could make things a little easier as they have more opportunities for a bigger income than their partner.
You may find that there are stamp duty or other tax implications which would lead to one of the applicants to seek out their options of applying for a mortgage by themselves, rather than with their partner.
Depending on your personal and financial situation, some lenders are quite strict about married applicants having to do the mortgage in joint names. This is likely down to their perception of the future and the financial security of the situation. Mortgages become quite complicated if a couple were to ever divorce. Luckily this view isn’t seen by all lenders, so there are still options out there for applicants.
Our experienced Specialist Mortgage Advice team in Hull are here to help 7 days a week, so if you would like to speak to a dedicated Mortgage Advisor in Hull, please Get in Touch and we’ll get the ball rolling on your mortgage process.
We are all unique and all have our own different problems that could potentially affect us getting a mortgage in our lives. Here at Hullmoneyman, your loyal and experienced Mortgage Broker in Hull, there are not many situations that we encountered in our time of providing mortgage advice in Hull. It would be our pleasure, if we can, to help you through these complex situations. Below we’ve created a short look at some factors that you could encounter whilst trying to getting a mortgage.
The likelihood that you will be turned down a mortgage due to childcare costs is not very high. However, childcare is often a very large outgoing, so you will be granted a lower mortgage amount than competitors who maybe have the same income but do not have children of their own.
Every so often, lenders will take things like child benefit and other state benefits into account and not hold it against customers, allowing for a little more leeway when it comes to the maximum allowance.
No one plans for a separation or divorce from a partner when buying a home together. Unfortunately this happens more than you might expect, causing a need for reorganisation of finances.
We often get asked the same or similar questions regarding divorce and separation mortgage advice in Hull:
All of these are possible, but it can be difficult without the help of a trusted and knowledgeable Mortgage Advisor in Hull. We also know that times like these can be rather difficult, so we always aim to make the process run as smooth as possible, relieving you from as much stress as we can.
This problem seems to come up regularly, but it usually isn’t too much of a problem. Some Lenders require you to have been in work continuously for a certain period of time, but others are a little more relaxed on this rule. You can often even get a mortgage if this is your first job, though this is purely dependant on the lender. If you are due to start a new job soon then you may still be able to get a mortgage, providing that you have a signed contract and job offer letter.
Gaps in employment can be a problem with the occasional lender, though probationary periods tend to be okay.
Anti-money laundering precautions are incredibly strict these days and within good reason. All lenders will still require you to evidence where your deposit came from and will have to prove where you have earnt your money from or been gifted from. Your solicitor and the estate agent you are buying from may also ask you to provide this information.
Speaking of a deposit by way of a gift, commonly known as a gifted deposit, the person who has gifted you the money will need to confirm in writing that it is a gift and not a loan that needs to be paid back at any point in time.
Depositing a large sum of cash into your bank will be questioned by the lender and this could lead to your application being rejected if you cannot provide any proof as to where this money came from, so always be vigilant.
There’s always going to be a chance that you’re going to come across some sort of problem when dealing with a mortgage. They can get quite complicated at times!
As a Mortgage Broker in Hull, we encounter all different kinds of mortgage hurdles. Having had over two decades of experience, we have faced most of these complex situations before and know exactly how to deal with them. However, if one that we haven’t come across before catches us off guard, we will still do everything within our power to get by it and help you along your mortgage journey. You may be unaware of the majority of these hurdles if you are a First Time Buyer in Hull, we hope that we can help!
Since there are so many different types of mortgage hurdles, it would be impossible to cover them all. Here is a breakdown of the top five mortgage hurdles that you may face during your mortgage application.
It’s uncommon for your mortgage application to be turned away due to you having children, however, your offer is likely to be a little higher than if you didn’t have children.
Lenders have to be 100% certain that you can afford all of your mortgage payments on top of your current expenditures. Childcare costs are considered a part of your expenditures each month. They have to compensate for these costs as they can sometimes run into hundreds of pounds per month. At the end of the day childcare costs don’t go down, they only really go up! They treat this financial commitment the same way as they would treat a car loan or hire purchase agent.
Even if you don’t have to pay nursery fees to pay, if you have children, you may still be offered less than other buyers who don’t have children. The good news is though that this type of family can often be in receipt of tax credits and some lenders will take these into account as well as child benefit.
It’s very sad when it happens, but if you decide to call it a day with your partner, you may come across some financially related problems, particularly your mortgage if you have one together.
Lenders may struggle to accept your application if you are still financially linked with someone else. They don’t want you to have two different sets of mortgage payments to meet each month, it could be too much for you to manage.
When people need help with their mortgage in this situation and they come to us for Specialist Mortgage Advice in Hull, we often get asked the same questions:
When facing mortgage hurdles like these, it can get very complicated, very quickly. More often than not, there is a solution to these scenarios, it’s just knowing how to get around them. With a Mortgage Broker in Hull by your side, you will have all of the stress taken off your back during these hard times.
Different lenders will have different viewpoints on benefit income, this includes how they are going to assess it. On the plus side, all benefit income such as child tax credit, working tax credits, disability benefits and pension can all be taken into account in one way or another. Therefore, it’s up to your lender to consider it or not.
If you need further advice about mortgages and benefit income, feel free to get in touch with our team. We will look over your situation for you and try to link you with a lender that will consider your benefit income, we aim to get it right the first time!
Usually, with a new job comes a bigger salary and this extra income is often put towards something like a new mortgage. Naturally, you would expect that this means that you are more likely to get a mortgage, however, this is sometimes not the case.
Normally, when you start a new job you’ll have a probationary period. Probationary periods are usually okay, however, there will no doubt be some uncertainty there. Some lenders may only accept you once you have job security, it’s just down to the lender and mortgage costs.
Lenders will also look at your previous places of employment to determine your work patterns. They need to be sure that you aren’t just dipping in and out of work. Gaps in employment can have a negative impact on your application.
There are lenders who will work from a newly signed employment contract though even in month one or if your new job is about to start.
For any purchase, all mortgage lenders and mortgage brokers legally have to evidence the source of the borrowers’ deposit funds. This is to battle money-laundering and prove that the applicant has raised funds legally. Your solicitor and estate agent may ask for evidence of your deposit also.
We believe, that this is the most complicated part of applying for a mortgage and could cause some slip-ups if not done correctly. Whether your deposit is from savings, premium bonds, the sale of another property, gifted from a family member or friend, from family overseas, or from a personal loan, you are required to have the paper audit trail for the accumulation of funds.
Every mortgage lender is different, they each have their own way of deciding who gets accepted and who doesn’t. Some lenders criteria are hard to match and some aren’t, it depends on how strict they are and how good your credit score is.
Often we see that mortgage applications are declined due to a customer not meeting the right criteria. We believe that this really highlights the value of using a Mortgage Broker in Hull, like ourselves. We work hard to get you the correct lender for you and your circumstances (first-time, if we can help it!)
Firstly, before you apply, you should check your credit file to see if it’s looking good, if not, you may need to try and improve your credit score. There are lots of different ways that you can do this, however, we always recommend that you speak to a Mortgage Advisor in Hull before anything.
Generally speaking too, only a small number of people are realistically eligible for every deal on the market. This means that most of the time, people are searching for the wrong deals. Just because you have seen a cheap deal, doesn’t mean that you will qualify for it.
As a Mortgage Broker in Hull, we advise that before you rush into anything, either do some research into the different types of mortgages available or get Mortgage Advice in Hull.
Get in touch and receive a free mortgage consultation today.
Another common occurrence is customers using price comparison websites to find a mortgage. There is nothing wrong with this, although, you need to remember that the price comparison websites can’t match you to all the nuances of a lenders criteria.
Time can be wasted, as it can be weeks down the line of an application sometimes when a mortgage lender finally declines a case. Consequently, this can result in you losing your property and/or breaking down a chain. You may also find yourself getting declined because of picking the wrong mortgage, which in turn could end up leaving a negative mark on your credit score for a failed application.
Customers may be eligible for certain deals, but only at a reduced amount that allows them to match the criteria. This seems to happen regularly, at first the lender says that you can borrow a certain amount and then further down the line they change their mind and find a way to reduce the mortgage available.
As we mentioned before, lenders are all different and they each have their own way of doing things. There is sometimes a huge difference between lenders and it’s very unlikely that you are going to match all of them. You need to narrow down your options and find out which is the best mortgage option for you.
Whether you’re a First Time Buyer or Moving Home in Hull, we think that you will find our Mortgage Advice service highly beneficial. Not only will we support you through the whole mortgage process, but we will also try to find you an amazing mortgage deal for your personal and financial circumstances.
We have dealt with thousands of specialist mortgage cases and have secured mortgages for customers who thought that they never had the chance. Approaching a Mortgage Broker in Hull, like Hullmoneyman, will allow you to get an up-to-date credit report too and we will work with you and match you to the most appropriate mortgage for you!
Have a specialist mortgage situation? Not a problem! Get in touch today with your local Mortgage Broker in Hull for a free mortgage consultation. Please refer to our reviews for more information about our amazing Mortgage Advice in Hull.
If there have been significant changes in your personal circumstances and you would like to remove a person from a mortgage, our team of mortgage advisors are able to help with this. We have an experienced team on hand who have been able to help people progress through what’s known as “financial separation”.
Over the years we have worked through an array of different mortgage situations, ranging from straightforward to incredibly difficult. As such, there is rarely a similar situation that we haven’t encountered at least once before. If you are in need of Specialist Mortgage Advice in Hull, we’re available from 8am until 10pm (that’s 14 hours a day), every day of the week, to try and help you through any rough patches you’ve found yourselves in.
When you have a situation like this, it’s important to gain perspective and look at it from the mortgage lenders point of view. The lender will have two people contracted in, which gives them security on the property. This means that in the unfortunate event of arrears and/or repossession, they have more than one route to take when it comes to chasing for payments.
Letting someone go from the property means that they then only have one option for security, which they may be less comfortable with. Usually, they prefer that the person wanting to keep the property can afford the property in their own right based on income and affordability. The best option for you may just be to switch lenders and take out a mortgage in your sole name.
Often, in situations like financial separations, a lump sum may be also raised against the property, which would allow you to ‘pay off’ the other person tied into the deal with you. Problems do crop up, the main one being that one person may not be able to afford the whole mortgage in a sole name. There are still ways a mortgage broker in Hull may be able to help and various routes you’re able to take, such as family guarantors etc. Our dedicated mortgage team are also able to help if you would like to put life insurance policies and any home insurance policies in sole names.
When you pass the lenders credit score to qualify for a mortgage, you will obtain an agreement in principle – commonly known as an AIP for short. Having an agreement in principle in place allows you to make an offer on a property. It also can be very useful when negotiating on the asking price, as the seller now knows that you are serious and ready to start.
This depends on the type of credit search the lender decides to undertake. They will either perform a soft credit search or a hard credit search on your file:
Nowadays, it’s more common for a lender to carry out a soft credit search over a hard credit search. They usually choose to perform a soft credit search because they require less information out of it and there is a lot less chance of your credit score being affected by this one.
Whilst the financial institution doing a soft search obtains less information about you than if they had done a hard search, an agreement in principle from one of these lenders is usually still a very strong indication that your application could be accepted.
Hard credit searches go a lot more in-depth than soft searches. The main difference between hard and soft searches is that hard credit searches can affect your credit score, by leaving a footprint. Anyone who looks at your file in the future will be able to see that lenders have hard searched your credit score.
This won’t really affect you if you have a good credit score. The problems can come if your score is lower and you have had more than one hard search on your file, as it could look like you are trying to apply for lots of credit at the same time. This is likely to put off a lender.
You will never be guaranteed a mortgage, but having an agreement in principle in place ahead of time will certainly work in your favour. Once you provide the lender with all your documents, an Underwriter will review everything and make a final decision. Agreements in principle usually include small print that can easily be missed, which is why speaking to a Mortgage Broker in Hull can be useful.
When customers reach out to us for help about their agreement in principle, we find that in some cases they’ve been turned away at full mortgage application stage.
The documents required include, but are not limited to, things like ID, payslips and bank statements. As your expert Mortgage Broker in Hull, we take pride in helping you be prepared for all this. If you are looking at starting your mortgage process, you may need to look at how to get prepared for a mortgage in Hull.
It’s necessary to have your agreement in principle in place when making an offer. Most credible estate agents will want you to provide evidence that you are able to proceed with the purchase.
Normally, your agreement in principle needs renewing after around 30-90 days. As an experienced Mortgage Broker in Hull, we still recommend getting one as early as you can, in order to avoid finding your dream home only to be told you aren’t eligible for a mortgage.
You don’t always need to buy the first house you see after you get your agreement in principle. It’s a simple process, so if it does happen to expire, you can just obtain another.
You may be a First Time Buyer in Hull or you might be thinking of Moving Home in Hull and are looking for great Mortgage Advice in Hull. If so, we think that you will benefit from our dedicated mortgage advice services in Hull.
We offer a free initial mortgage consultation with one of our expert Mortgage Advisors, so feel free to get in touch today and we will see how we can help!