How likely for AIP to then get rejected?

[SweetMelodies]

Went to see a mortgage broker and went through things/gave him some documents etc. He went off to research mortgages for us and came back the next day with an AIP from NatWest. So we are in the process of formally applying for it.

Just nervous about the likelihood of then getting turned down?

Do they say an outright no or offer a mortgage just less?

Finding the whole process severely stressful! :(

Have you made an offer Ron a house because you can't apply for a mortgage without an amount you're applying for for a specific x home?

Yes sorry we’ve had an offer accepted on a house and it’s now sold stc whilst we go through all this.

The person buying our current property has also put their formal mortgage application through after an AIP so hopefully they are definitely accepted too 😬

An AIP is just based on the very limited information you provide at the beginning. Now the application is formal they will do lots of checks on your outgoings, income and scrutinise your credit file. We received an AIP, but then were declined further on due to a late payment showing on an account on our credit file. If your Broker is a good one though, they will get another lender for you if your application is declined. Ours went through with a different lender so we were fine. It’s really stressful though, and I’m still recovering 3 months after completion!

Our broker applied for an AIP for us with NatWest also. It was referred to underwriters, so broker said we would just have to submit full application and see what happened, or he could apply for an AIP with another lender if we preferred. His advice however was that he felt NatWest was the right lender for us, so we decided to go with his advice. We were outbid on the property we were going for in the end though.

A couple of months later we had an offer accepted on another property, so broker went ahead and submitted our full application. I was really nervous about it due to not having an AIP and the whole thing was insanely stressful. However, I’m pleased to say it all went through without a hitch, application submitted Friday, fully offered the following Friday. Completed 11 days later so all good in the end.

It’s a really stressful time for sure, but amazing when all works out. Fingers crossed things go just as smoothly for you, all the best.

Livelovebehappy I think they ran a credit check for the AIP? A soft one anyway. What type of late payment was it if you don’t mind me asking? Also how long after applying did you discover it had been declined?

The late payment was on a car loan. TBH it was at the beginning when we hadn’t set up the direct debit correctly so it showed late on the credit file. The bank our broker put us with came back pretty quickly after the actual application started, probably a week later. I couldn’t believe they declined on just a late payment but our broker said some of the prominent high street banks with the best interest rates are pretty strict. Our broker got us a deal with another bank within a couple of days although the int rate wasn’t quite as good. I’m sure you will be fine OP. It’s a stressful process though.