Mortgage application

[Penguinhippo]

We're in the process of buying a house and are about to apply for our mortgage. We already have the agreement in principle. How does the application process work? The seller hasn't found anywhere to move to yet and we will be in a chain. What if the mortgage interest rates go down between applying and actually completing? Will we have to apply all over again to get the lower rate or is it worth waiting for the next BoE meeting in a couple of weeks? Anything else useful I need to know?! It's my first time buying!

I would highly recommend using a mortgage broker!

Use a mortgage broker and they can get an amendment if the rates go down. Rates went down after we were approved and our broker was fab and sorted it so that we then got the lower rate. You aren't charged to use a broker, they take their fee from the banks

Can I still use a broker if I am porting a mortgage? I have to stay with my current mortgage provider.

Mortgage offers are usually valid for six months and that can sometimes be extended too.

If you are porting a mortgage then you just need to talk to your current lender and they’ll have someone that can help you through it. It’s really easy. The rate stays the same but you can change the length.

Are you needing to borrow additional funds on top of the existing mortgage? I’m confused.

Yes, you can still use a broker if porting. They might even get paid by the lender as well (depends on the lender).

I'm a but confused though. In your OP you said what happens if interest rates go down- can you change your deal ? Yes you can, but if you are porting why are you concerned with the rates changing? Or are you porting & then raising an additional mortgage on top?

In any case, it is perfectly possible to amend your mortgage offer before exchange to take advantage of reducing rates. I recently done a product transfer for a client & the rate reduced 4 times over the 2 month period between offer & when the old rate ended. Went from 5.15% to 5.05%, to 4.90% and to finally 4.74%.

Sorry, yes I am porting a mortgage and then having an additional mortgage for the extra borrowing.

How are you a first time buyer if you are porting a mortgage? Or is the current mortgage in someone else's name?

I'm a first time buyer but my husband isn't