Get pre-approved for your mortgage before you start house hunting. A mortgage in principle shows sellers and estate agents that you're a serious buyer with confirmed borrowing capacity.
Your home/property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.
A mortgage in principle (also called an agreement in principle or decision in principle) is a preliminary assessment from a lender indicating how much they would be willing to lend you. It's not a guarantee, but it shows your borrowing capacity.
Get an indication of how much you can borrow before you find a property, helping you focus your search on affordable homes.
Most mortgage in principle applications can be completed online in minutes, with decisions often available within 24 hours.
Most lenders perform a soft credit check that won't affect your credit score, allowing you to shop around for most appropriate deals.
A mortgage in principle offers several advantages when buying a home, from strengthening your position with sellers to helping you budget effectively.
Estate agents and sellers see you as a serious buyer with confirmed financing, making your offers more attractive.
Know your exact budget before you start looking, saving time and avoiding disappointment with unaffordable properties.
Having pre-approval can speed up the mortgage application process when you find your ideal property.
Understand your maximum borrowing capacity and plan your deposit, monthly payments, and other costs accordingly.
The process is straightforward and can usually be completed online in a matter of minutes. Here's what you need to know.
Getting a mortgage in principle is a simple process that requires basic information about your finances:
Once you have your mortgage in principle, you can start house hunting with confidence. Here's what to expect next.
Use your mortgage in principle to focus your search on properties within your budget. Show it to estate agents to demonstrate your buying power.
Having pre-approval makes your offers more attractive to sellers and estate agents, potentially giving you an edge in competitive markets.
When you find a property, you'll need to make a formal mortgage application. Your mortgage in principle doesn't guarantee approval.
The lender will arrange a valuation of the specific property you want to buy to confirm its value and condition.
The lender will conduct a full assessment of your application, including detailed affordability checks and credit scoring.
If approved, you'll receive a formal mortgage offer that you can use to complete your property purchase.
While a mortgage in principle is helpful, it's important to understand its limitations and what it doesn't guarantee.
A mortgage in principle is not a guarantee of a mortgage offer. The lender can still decline your formal application.
Mortgage in principle offers typically last for 3-6 months, after which you may need to reapply if you haven't found a property.
The final mortgage offer will be based on the specific property you choose, including its value, condition, and location.
Get pre-approved for your mortgage and start house hunting with confidence. Our expert Advisers can help you secure most appropriate deals for you.