You will need to make a further appointment with your mortgage adviser which will usually be with the same person as before.
Once our mortgage advisor has completed all of the details on your application, you will be provided with a recommendation that includes a mortgage illustration. If you are happy to proceed they will then ask you to sign it. At that point we’ll get the process started straight away. We will arrange for a mortgage valuation to be carried out on your property. This will confirm whether the property is suitable for us to lend on.
This is also the point where you have to arrange for a conveyancer/solicitor to get your required legal work started.
Once your application has been processed, you will then receive a mortgage offer, meaning that your mortgage has been agreed.
Check over the details in the offer carefully to make sure that it matches what you agreed with the mortgage advisor. After you have received a binding mortgage offer, you have at least seven days to think about whether or not this is the right mortgage for you.
A copy of this offer will also be sent to your conveyancer, together with instructions from us for them to act upon. Now you need to let your conveyancer know that you are ready to go ahead – most of the work from this point is in the hands of your conveyancer, and they should aim to complete the purchase for you as quickly as possible.
In England, once your conveyancer has completed all the necessary checks, you will be asked to sign a contract. When you have signed and exchanged this contract, you are legally bound to buy the property.
You can pull out and cancel your mortgage application at any stage before you have exchanged contracts, but you might lose some of the money depending on how far through the process you are. It is better to cancel now though than risk committing to a mortgage that you might not be able to afford.
If you discover any problems at this stage you should discuss them with your conveyancer and take their advice. At this stage, you may be asked to pay a deposit of at least 5% of the property price. You’ll also be asked to agree a date when your conveyancer will finalise all of the paperwork and send the balance of the money to the seller’s conveyancer.
This is what people call the “completion date” and will normally be the day when you can move in. Remember the process is different if you are buying a property in Scotland.
Self employed?