Before looking to move home we would recommend that you talk to a Mortgage Adviser to discuss your options. The discussions will initially involve the following: –
What is your budget for new mortgage payments?
How much deposit can you put into the potential new purchase having accounted for moving costs and in particular, Stamp Duty?
Does your credit record impact upon your ability to secure a mortgage?
If you have any doubts at all, then we would recommend getting a copy of your credit file. There are a number of different companies who can supply this for you (some involve a small fee) and include Experian, Equifax and Noddle. Click here to find out how to get a copy of your credit file
Does your existing mortgage have early repayment penalties and can it be ported to your new home to avoid this?
If so, then you may be able to move your existing mortgage to your new property. This will be subject to meeting certain requirements of your existing lender
Do you fit within mortgage affordability criteria?
The days of multiples of salary being used to calculate affordability have now largely disappeared. All lenders tend to have their own individual way of calculating maximum borrowing and will include income but also account for living expenditure ( food/clothing, bills, financial commitments, social, transport and in some case deductions from pay for pensions and life assurance).
Are any of the properties you are considering of unusual constructions which might impact upon your ability to obtain a mortgage
e.g. (flat in a high rise building, flat with a short lease, in a poor state of repair or with more than one kitchen for example).
Once you have an idea of your likely selling price and an idea of your budget for future mortgage payments you can then begin searching for your new home.
If you do have properties in mind then we will work with you to establish affordability and discuss the mortgage options available to you. The mortgage market is constantly changing with products entering the market and others being withdrawn. We can look at all the different options – Fixed/Variable Rates, how long to have the
mortgage over and the respective benefits and disadvantages of the options. We have a Mortgage Sourcing system which is updated each day so that you can have
access to current products. We want you to be informed as much as possible and to ensure that we recommend the “right” mortgage for you that suits your budget and
your current and future plans.
We will look at your preferences which may include – options to overpay, flexibility (Offset mortgages for example), mortgage set up fees (valuation/survey costs, booking, application and arrangement fees, early repayment penalties, portability upon another home move. Consider that the lowest interest rate may not always be the best option for you. The lowest rates can invariably come with high set up fees or be restricted to certain categories of applicant – Professionals, existing borrowers with a specific lender, or to a geographical area for example.
If you do have one or two properties under serious consideration then it would be highly recommended to obtain a mortgage Agreement in Principle. This usually involves a credit search and we would generally advise that searches are kept to a minimum as multiple credit checks can impact upon your credit score. We can usually obtain an Agreement from most mortgage providers within a few hours. This is generally without cost or obligation to proceed. You will need to provide the following documents: –
Proof of ID (Passport or Driver License)
- Last 3 months Payslips
- Last P60
- Last 3 months bank statements
- Proof of address
- Last mortgage statement
A copy of you latest credit file may also be useful
SELF EMPLOYED/LIMITED COMPANY DIRECTORS – Mortgage lenders are now requiring considerably more proofs of income. You will generally now need to provide the following:
- The latest 3 Years SA302 documents along with Tax calculations and Tax overviews from the Inland
- Revenue and 3 Years Business Accounts
Should you make an offer on a property and it be accepted then the mortgage application process can begin. At this point you will require a solicitor to handle the sale and buying legal work. If you need quotations in this regard then we have access to a large panel of solicitors.
We will make all the application arrangements for you once we have agreed upon an appropriate mortgage lender and product. Provided that you have supplied all the relevant documents to support your application, then the process should take 2-3 weeks before the mortgage provider has issued a formal written offer of mortgage to both you and your solicitor. At that point the legal work can advance, with a view to contracts being exchanged and a move date concluded.
Remember that you will need to have Home Insurance for your new home and we would strongly recommend that you seek advice upon Mortgage Protection. We can assist you in both regards and would suggest that you discuss this early on in the process to establish costs.
Throughout the whole process we will liaise with the mortgage lender the conveyancers and the estate agents to keep you up to date on progress. Our service does not end with your home move. We will look to review your mortgage from time to time and to ensure that you benefit from the most suitable mortgage options once your existing deal is close to expiring.