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Think carefully before securing other debts against your home.  
Your home may be repossessed if you do not keep up repayments on your mortgage

 

Offer Accepted – Congratulations from Max Mortgages!

Although the property market became more steady since the changes in stamp duty, tax laws and the Brexit vote in 2016, there is still much competition to secure a home.

Where in early 2016 there may have been a dozen people competing for that property, now there may only be half a dozen.  But that property only has to be sold ONCE. So it doesn’t matter to the vendor how many people missed out, so long as at least one acceptable offer is on the table.

 

Click here to contact us or feel free to read on

 

Once accepted, you need to ensure you have a full mortgage application submitted as a matter of urgency so that progress is evident.  You need to exchange as soon as possible as the vendor has the option of simply walking away for any reason including getting a better offer, and without any liability to you under current English law.  This is why we encourage our clients to have an ongoing dialogue with us.  This ensures we can move quickly when the time comes.  We can provide the agent with a Decision in Principle (DIP) to help reinforce your buying credentials and perhaps they will take the property off the market to help provide you with added security.

As soon as your offer is accepted, you need to make sure you provide us with all the relevant information and supporting documents to submit a full mortgage application.  Getting to the point of exchange can take up to 6-8weeks, even longer for leasehold properties.  So once your offer is accepted, ensure you start the various processes as soon as you can.  If you then want to spend two weeks in Mexico whilst you wait for the formalities to be undertaken, probably the best way for it!

Remember although the offer may be accepted, it is not until exchange that both you and the vendor are bound. Hence it is in your interests to move things along smoothly.  The longer you take, the greater the chances of the vendor losing faith and going with another buyer or you simply being gazumped by a higher offer.  You will not be able to exchange until the various formalities have been carried out such as the mortgage offer and satisfaction that you are getting good clear title.  However there may be other options such as indemnity cover and conditional exchange which can help you secure the property sooner.  Speak to your conveyancer and discuss any such options that may be practical in your situation.

 

The supporting documents we need for a full mortgage application are :

  1. ID.  Passports/Drivers’ Licenses for all applicants
  2. Proof Address. Council Tax/Latest Utility Bill/Postal Bank/Card statement for all applicants
  3. Residency.  If applicable, copies of VISA permits and biometric cards.  Front and back
  4. Income. Last 3 months payslips (covering at least 13 weeks if paid weekly) and latest P60 if employed.  If self-employed or business owner or director, than we need at least the last 2 yrs SA302s (Tax Calculations) and corresponding HMRC Tax Year Overviews as well as finalised signed trading accounts.  For contractors, we need copy of the latest contract plus previous contracts to cover the last 12 months history.
  5. Bank Statements for all active accounts for all applicants. Date range needs to be latest last 3 months covering a minimum of 13 weeks.  A combination of proper statements and temporary statements for each account is fine. Online statements, scans and PDFs are fine. But no photo’s or screen shots
  6. Proof of deposit. Usually by way of bank statements covering at least the last 12 months for all accounts holding any deposit monies.

 

Other requirements may be necessary based on your situation such as:

    1. Latest mortgage statements for all owned properties
    2. Current tenancy agreements (AST) for all rental properties
    3. Bank statements confirming rental income
    4. Additional payslips to confirm commissions or bonuses
    5. Accountants reference
    6. Employer Reference
    7. Job Contract / CV
    8. Gift Letter for gifted deposit and a bank statement showing source of funds
    9. Completion statement if you have just sold a property / inherited money
    10. Estate Agent letter confirming potential rent.  Estate agent should be ARLA or NAEA registered
    11. Consent/Permission to Let letter

 

Ready to take the next step? Click Here