Our Top Tips to Secure Lending Quickly!
You’re probably sick of hearing us talk about interest rates, we know. But there doesn’t seem to be any getting away from it at the moment.
On the 4th August, the Bank of England increased their base interest rate, again! These increases have naturally begun to filter through to the mortgage market.
This increase was the biggest rise in 27 years. This has caused a rush to remortgage across the market, resulting in delays for some.
Why The Rush?
Well frankly, more increases are expected. As mortgage rates continue to increase more and more property owners are rushing to remortgage and secure more competitive rates. This sense of urgency is causing delays on lenders producing offers.
Can You Beat The Rush?
It’s no secret that when the market is this hot, being ready to strike could mean the difference between your offer being accepted and losing out on the property.
Be Prepared!
Organisation is key. Make sure that all of your documentation is collated and ready to send.
Think about ID, proof of funds or deposit, credit reports, proof of address, solicitors details. Consider whether your solicitors have the capacity to handle your case quickly and if not, do you have an alternative? Does your lender require your solicitor to be on their approved list?
The last thing you want is to be the one responsible for any delays.
Understand What Product You Need
Some mortgages are considered special products and it pays to know what type of product you need for each strategy.
For example, applying for HMO or SA mortgages is slightly more involved than a standard BTL mortgage. If the property is low value, it might be lower than some lenders lending thresholds.
Do your research well in advance and understand what product you need. Make sure that you're across the different requirements and assessment criteria for each of your potential lenders.
Are Your Finances and Costings as Tight as They Need to be?
Perfect the art of analysing deals! If the lender can see and appreciate that you have a solid understanding of this, they might just be more comfortable lending to you.
One Size Does Not Fit All
When it comes to mortgage brokers, make sure that you fully understand where their expertise lie in terms of the products they offer and the lenders they have relationships with.
Some brokers are fantastic at securing BTL mortgages, others deal with just HMO mortgages, maybe you need a bridging lender.
Do your due diligence and create a team of specialist brokers that you can call upon quickly, whatever the strategy is.
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