The Mortgage Process A Simpler And More Effective Experience
We hope that you use the information provided in this article to make the process of obtaining a mortgage a simpler and more effective experience.
There are a few steps in the process to obtaining a mortgage, some are regulatory obligations imposed by the Financial Services Authority (FSA) others are necessary to ensure that the mortgage that you get is the one that best suites your needs and personal circumstances.
The Initial Disclosure Document (IDD) this document is compulsory and is used to inform the client of the level of FSA authorisation and how and when the mortgage broker gets paid.
The Client Fact Find the Financial Services Authority (FSA) regard the 'Fact Find' as an integral part of the mortgage process; the client provides the information the mortgage broker uses to carry out the product research on the clients behalf.
The Key Facts Illustration (KFI) on completion of the 'Fact Find' the information gathered is used to research the mortgage market to obtain a mortgage product that best meets the clients needs, in the form of a Key Facts Illustration.
The Decision in Principle (DiP) after the client reviews the KFI, and if they are happy to proceed, a DiP is submitted on the client's behalf using the information provided in the 'Fact Find'.
The Credit Search on submitting a DiP the lender will conduct an initial credit search to establish the client's credit history.
Different lenders use varying criteria to arrive at a lending decision.
To understand and to purchase a copy of your own credit history, please have a look at the Experian website, where a 30 day free trial is available.
The Full Mortgage Application on acceptance of your DiP by the lender, a full mortgage application is submitted on the client's behalf.
A further credit search is carried out, and if successful a mortgage offer will be made subject to status and security.
The Valuation a valuation is carried out to ensure the property provides adequate security for the lender.
Normally the lender will instruct the valuer from their own valuer panel, depending on the mortgage product offered, the valuation can be paid up front, free or refunded.
Conveyancing in order to complete the process a solicitor is instructed to examine title, servitudes or burdens and the drawdown monies etc.
If you don't have a solicitor one can be instructed on your behalf.
With almost 200 mortgage lenders competing for business there is a lender solution for every borrower regardless of situation, and credit history
There are a few steps in the process to obtaining a mortgage, some are regulatory obligations imposed by the Financial Services Authority (FSA) others are necessary to ensure that the mortgage that you get is the one that best suites your needs and personal circumstances.
The Initial Disclosure Document (IDD) this document is compulsory and is used to inform the client of the level of FSA authorisation and how and when the mortgage broker gets paid.
The Client Fact Find the Financial Services Authority (FSA) regard the 'Fact Find' as an integral part of the mortgage process; the client provides the information the mortgage broker uses to carry out the product research on the clients behalf.
The Key Facts Illustration (KFI) on completion of the 'Fact Find' the information gathered is used to research the mortgage market to obtain a mortgage product that best meets the clients needs, in the form of a Key Facts Illustration.
The Decision in Principle (DiP) after the client reviews the KFI, and if they are happy to proceed, a DiP is submitted on the client's behalf using the information provided in the 'Fact Find'.
The Credit Search on submitting a DiP the lender will conduct an initial credit search to establish the client's credit history.
Different lenders use varying criteria to arrive at a lending decision.
To understand and to purchase a copy of your own credit history, please have a look at the Experian website, where a 30 day free trial is available.
The Full Mortgage Application on acceptance of your DiP by the lender, a full mortgage application is submitted on the client's behalf.
A further credit search is carried out, and if successful a mortgage offer will be made subject to status and security.
The Valuation a valuation is carried out to ensure the property provides adequate security for the lender.
Normally the lender will instruct the valuer from their own valuer panel, depending on the mortgage product offered, the valuation can be paid up front, free or refunded.
Conveyancing in order to complete the process a solicitor is instructed to examine title, servitudes or burdens and the drawdown monies etc.
If you don't have a solicitor one can be instructed on your behalf.
With almost 200 mortgage lenders competing for business there is a lender solution for every borrower regardless of situation, and credit history
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