Decision In Principle
This is certificate Estate Agents often ask for to verify your financial position and ensure that you can afford to bid on the property.
Decision in Principle
Often referred to as a Mortgage in Principle, Application in Principle or Decision in Principle, this is certificate estate agents often ask for to verify your financial position and ensure that you can afford to bid on the property. This is a key part in the offering and negotiating process and is something we can assist with.
**We will need some documentation at this stage, including ID & proof of income. Documentation varies and will depend on your independent circumstances & the lenders requirements**
Costs involved in purchasing a property.
Unfortunately, it is not just the cost of the mortgage you need to think about when purchasing your first property! We will explain each additional cost and enhanced options in some areas of the process. This will ensure you are fully informed on the legal side of your transaction, the different valuations you may want to consider and the fees that are attributed to some mortgage products. There will be no area of the buying process you will not be informed about; we pride ourselves on our communication and transparency with clients.
Armed with your decision in principle in hand, it’s now up to you to negotiate the purchase price, so start practicing your haggling skills! As soon as we have a property agreed, we will act as quickly as possible to submit your full mortgage application to the lender most suited to you. This will trigger a formal valuation of the property, to protect both yourself and the lender and ensure the house is worth the price agreed.
Once a bid is accepted and you have agreed a purchase price, we will recommend the most suitable mortgage for you. This ensures you will have the most appropriate mortgage available to you, given your circumstances. We will keep you informed at every step of the process, from the initial consultation to completion, and aim to ensure that you are happy with our advice.
We explain the mortgage product in detail to you, tell you why it has been chosen and ensure you are happy with our recommendation.
When a lender has been chosen and agreed upon by you, we will then submit a full application. This will run a credit check, will take your incomings and outgoings into account and will instruct a valuation on the chosen property. We will already have gathered this information from the fact find process and a lender will have been chosen based on this information gathered.
You will then potentially have received your mortgage offer! This is the exciting part when the lender formally approves the loan enabling you to buy your home. We will contact you as soon as we are notified. Importantly, the lender also sends a copy of your mortgage offer to your solicitor as your purchase enters the legal stage.
At this stage we will also offer a full protection review for you, which is included with all of our mortgage recommendations. This process enables us to make sure you and your family will be covered in the most appropriate way possible, by tailoring protection to suit your needs and circumstances. Contact Us for more information.
