Can you apply for a mortgage online?

Applying for a mortgage online

If you’ve been hesitant to book an appointment with a mortgage broker because you’re worried about the amount of time away from work or home that a mortgage application would take, then the good news for you is that you can complete the whole mortgage application process online.

From your initial enquiry, through to guiding you through completing the application form, performing a soft credit check and ultimately getting you an Agreement/Decision in Principle (AIP/DIP – a pre-credit score or credit history check mortgage offer), we can handle your entire mortgage application without you ever leaving the comfort of your own home.

With us, you can enquire online, chat via phone and email and then keep in touch with your application by talking to us in the same ways.  No need to take days off work to come into the office for meetings, we’ll talk to you at a time of day that’s convenient for you.

We’re proud of our service to our clients, and proud to be able to help them out by being flexible with our times and availability so that there’s always someone to talk to about your mortgage application. We’re authorised by the Financial Conduct Authority and registered in England & Wales, so you can be sure that you’re working with an approved mortgage broker, and that we’re always going to try our hardest to give you the best possible advice.

An initial enquiry with us isn’t going to affect your credit score, and it’s not until your fully committed to either a Decision or Agreement in Principle that your credit file will be checked, even then, depending on the lender, it may only be a ‘soft search/footprint’ which will not have an adverse effect on your credit score.

Mortgage applications don’t have to be complicated, and we’ll do everything we can to make it as simple and painless as possible for you.

Is it easy to get a mortgage?

Obviously a lot’s going to depend on your circumstances, your credit score and your budget. However, we’re certainly going to try to make it as easy as possible for you.

Overall, it’s all going to depend on your personal and financial circumstances, including if you already have an existing mortgage. Factors such as your deposit size, your credit history, your income and your current debt will all play a large role in you being approved for a mortgage.

If you can meet the following requirements, you’ll be more likely to meet the lender’s eligibility criteria and pass the affordability test. And improve your chances of getting approved for a decision / agreement / mortgage in principle.

The more deposit you have, the better mortgage deal you’ll likely get. Lenders will factor in your deposit when calculating your loan-to-value (LTV) ratio, which is essentially the size of the mortgage in relation to how much the property is worth and is expressed as a percentage. So if possible, aim for a larger deposit.

If you have any unsecured debts, you may want to consider paying them back before applying for a mortgage. Lenders will calculate your debt-to-income ratio to see if you can afford to pay back your mortgage each month while still living within your means, so clearing off some debts could make your application much easier.

Single vs joint: Is it easy to get a mortgage on your own? It’s absolutely possible to get a mortgage as a single applicant, though your application will be affected by several factors.

Your income will play an important role in how much you can borrow, though it’s not the only factor to determine this. Many lenders use income multiples to determine how much they can lend, the most common often being 4x an applicant’s salary, though some will lend 5x income or even 6x.

Is it easy to get a mortgage with a 95% or 100% LTV (Loan to Value, or % of the property price) rate?

While a 100% LTV mortgage is not typically found amongst most lenders, for a 95% LTV ratio, the applicant would need to pass strict eligibility criteria and affordability checks. This is because your monthly rates will be higher overall, so lenders need to make sure that you can afford to pay the loan back.

While some lenders will agree to a 95% loan-to-value ratio, this percentage is often common for Help to Buy applicants – they put own 5% of the property’s value, then the government will loan a further 20%. If you need help with your deposit, there are other avenues you can take, such as shared ownership and Right to Buy.

By | 2019-12-20T12:55:26+00:00 December 20th, 2019|