By: Jack Williams

Buying a house is a huge milestone in anyone's life, and securing a mortgage is a critical part of the process. But the mortgage application process can be confusing and intimidating, especially if you're doing it for the first time. In this article, we'll take a closer look at what the mortgage application process involves and what you need to know to help make it as smooth and stress-free as possible.

Step 1: Prepare your finances

Before you even begin the mortgage application process, it's important to take a close look at your finances and make sure they're in order. This includes making sure you have a stable income, paying off any outstanding debts, and having a good credit score. Your lender will use this information to assess your ability to repay the mortgage and determine the amount they're willing to lend you.
 

Step 2: Save your deposit

Before looking at properties, you need to save for a deposit. Generally, you need to try to save at least 5% of the cost of the home you’d like to buy. For example, if you want to buy a home costing £200,000, you’ll need to save at least £10000 (5%) for the deposit. Saving more than 5% will give you access to a wider range of cheaper mortgages available on the market and a lower interest rate.
 

Step 3: Find a mortgage broker

With so many lenders in the UK, it's important to do your research and shop around for the best deal. A qualified mortgage advisor can make this process easier for you and ensure you find a lender that meets your needs and offers the best terms for your mortgage. They will help you consider factors like interest rates, fees, and repayment terms when comparing lenders.
 

Step 4: Get a Decision in Principle

Once you've found a lender you're happy with, you can ask your mortgage broker for a Decision in Principle (DIP). This is a preliminary agreement from the lender indicating how much they're willing to lend you based on the information you've provided. A DIP is not a guarantee of a mortgage, but it can give you an idea of what you can afford and help you narrow down your house-hunting options.
 

Step 5: Submit a Full Application

If you're happy with the DIP, you can then proceed to submit a full mortgage application. This will include providing additional information, such as proof of income and ID, as well as paying a fee to cover the lender's costs. The lender will then carry out a more detailed assessment of your finances and the property you want to buy. Your mortgage broker will streamline this process for you and keep you informed of any updates. 
 

Step 6: Wait for Approval

Once your full application has been submitted, it's just a matter of waiting for the lender to make a decision. This process can take anywhere from a few days to several weeks, depending on the lender. If your application is approved, the lender will send you a mortgage offer, which you can either accept or decline.
 

Step 7: Complete the Sale

If you accept the mortgage offer, you can then proceed with the sale of the property. You'll need to pay a deposit, arrange a survey of the property, and agree on a completion date with the seller. You will need a solicitor to assist during this process. Once everything is in place, you'll be able to move into your new home.

The mortgage application process can be complex, but with the right preparation and guidance, it doesn't have to be overwhelming. By understanding the steps involved and taking the time to shop around for the best deal, you can make the process as stress-free as possible. Good luck with your mortgage journey!