Mortgages in Principle

Speak to an Expert Advisor

or

Let us Look Into The Best Rates

Why Choose Us

0 %
5-star reviews on Google
0
years we have been as independent mortgage and protection brokers
0 %
customer satisfaction for finding the best deals on the UK market
£ 0
total donated to various charities

Why Choose Ascot Mortgages

0 %
5-star reviews on Google
£ 0
total donated to various charities
0
years we have been as independent mortgage and protection brokers
0 %
customer satisfaction for finding the best deals on the UK market

What Our Clients Say About Us

5.0 Based on 145 reviews from review us onElliot E. ★★★★★ Phil Greenwood was fantastic in assisting us in getting our BTL mortgage when several other mortgage brokers were not able to, given our particular circumstances and self employed status. From starting with an initial call right through to the finish, communication was excellent and we're absolutely thrilled. Thank you, Ascot Mortgages for such a professional service.vanessa G. ★★★★★ We had great experience with Natalia. She provided prompt and excellent service throughout our house purchase process.We highly recommend Natalia for mortgage adviseFlora R. ★★★★★ I worked with Richard (Protection Adviser) for a couple of days to sort out life and critical illness insurance. Absolutely brilliant, he found me and my husband the perfect policy. Very knowledgeable and easy to get on, he definetely makes things easy to understand. Thank you for the great service provided.Debbie P. ★★★★★ Cannot speak highly enough of Ascot Mortgages who have helped me on my journey over the last seven years. They have made the dream property possible twice. Thank you to Alison, Jardelle and all the team. I am very grateful.Areti D. ★★★★★ Absolutely thrilled with the exceptional service provided by Ascot Mortgages Ltd and especially by Natalia Barry! Even though our home purchase hasn't been completed yet, we couldn't wait to share our positive experience. From the moment we reached out, their professionalism and expertise shone through, making the daunting process of securing a mortgage a breeze.Not only did Natalia navigate the intricacies of the mortgage market with finesse, but they went above and beyond by suggesting other high-quality services, including solicitors and insurance providers. This comprehensive approach is making the entire home-buying journey seamless and stress-free.Natalia took the time to understand our unique needs and financial situation, ensuring that the options presented were tailored perfectly.Communication is prompt and clear throughout, leaving us feeling informed and confident at every stage. Natalia had our best interests at heart, going the extra mile to secure a fantastic mortgage deal.We cannot recommend Ascot Mortgages and Natalia highly enough. If you're in need of mortgage assistance, look no further. With their expertise and dedication to client satisfaction, you're in the best hands possible. A huge thank you to Natalia for making our home-buying experience a dream come true!Ashley Cox 1. ★★★★★ Would 100% recommend. Myself and my partner are currently going through the mortgage process as first time buyers. Natalia Barry has dealt with our application from day one. She has always been on hand to help, informative throughout and reliable when we have had questions. She has given us several options and broken them down into simple terms to help us. Natalia has truly been exceptional who deserves every bit of credit. We certainly got lucky having her as our first mortgage consultant.Dominik S. ★★★★★ Alison and the Ascot Team are excellent. I have used them for 5 years now and they deliver the most competitive mortgage deals fast. Just what I need. Thank you!Eric T. ★★★★★ We have dealt with Ascot Mortgages twice. Once for a mortgage about eleven years ago and recently for life insurance.In both cases we were treated with the utmost respect and professionalism.In the case of the life insurance application, we considered ourselves to be problem customers because of our age and numerous health issues.Richard Johnson, who managed this application couldn't have been more helpful.He worked in our best interest and was dedicated to providing an excellent service.We were kept up to date through all of the stages of the application and when our doctors were very slow in producing medical reports for the insurance company he persisted where others might have given up.The service we had from Richard was pleasant and professional throughout some difficult stages.My wife and I have no hesitation in recommending Ascot Mortgages.Zack R. ★★★★★ Having dealt with Ascot Mortgages and Alison for many years now I can say that you wont find a more professional, knowledgeable and efficient company to help with your mortgage. Alison is patient and makes the whole process seem easy. She has the answer to any question you have and seems to genuinely care. I can not recommend enough. I am sure I will be using Ascot Mortgages for years to come.Umair Z. ★★★★★ It has been a fantastic experience to work with both Phil and Jardelle at Ascot Mortgages to secure a mortgage product for my first home. Phil made the mortgage process smooth and easy. They are professionals and know what they are doing. Very pleased with the service and communication. would highly recommend them.Hello at NLP West M. ★★★★★ I needed a buy to let re-mortgage. Ascot were efficient from start to finish. I can recommend them completely especially because they can search the whole spectrum of mortgage lenders and meet the clients needs. never waiting for staff to get back and always kept me in the loop.Onohomen O. ★★★★★ ZHOU J. ★★★★★ It has been a brilliant experience to work with both Phil and Jardelle at Ascot Mortgages to secure a great mortgage product for our next home. Given how challenging the current market is, they have done a fantastic job to meet our needs with their expertise, professionalism and effectiveness. We would highly recommend their services to whom seeks help with their property purchase.Nicholas S. ★★★★★ Fantastic service. Ellie and Jardelle were always quick to reply to any queries and very helpful throughout the process. Highly recommend!Stacey S. ★★★★★ Jason was brilliant to work with! Always on top of the transaction! Would highly recommend 👍Scott ★★★★★ Although I've not bought anything yet, they (Jason in particular) have been super helpful in my search for the right mortgage deal, whilst also giving an honest opinion during these difficult times. Would highly recommend.Sandra I. ★★★★★ Fantastic from start to finish! Natalia and Jason found me the best rate for my remortgage and they were extremely efficient! Best service I’ve ever received from a brokerage company. Thanks so much.Virmantas N. ★★★★★ Amazing service and great communication. Ellie Morgan had quickly completed all requests and over delivered all expectations.Highly recommended for those who want to get the stuff done without any delays!David W. ★★★★★ I have used ascot for 3 renewals since they done helped me with my purchase which was complicated and will continue to use them going forward. Very fair prices and very helpful and knowledgeable even with just general information.Adam B. ★★★★★ Natalia made life very easy for us when remortgaging. Third time using ascot always a breezeTaff G. ★★★★★ Ascot Mortgages have been brilliant. Easy to work with and incredibly helpful. I am always happy to recommend them. Natalia and Jason have made the whole process much easier than I was expecting. Excellent service.Daryl L. ★★★★★ We've had a fantastic experience with Natalia Barry and Jason Jones at Ascot Mortgages for our property purchases and refinancing. Their expertise, coupled with genuine care and understanding of our needs, made the process smooth and stress-free.They were consistently communicative, keeping us informed at every step. Their assistance in consolidating our protection cover was invaluable, simplifying what could have been a complex process.What set them apart was their personal touch – always polite and ready to pick up the phone for a chat. This level of personal engagement is rare and much appreciated.In short, Natalia and Jason are not just skilled professionals but also truly dedicated to their clients. We highly recommend their services to anyone in need of mortgage advice.Sarah A. ★★★★★ I have used this firm for several years and they have always been super helpful and supportive, attentive and resolved issues in really useful ways. Shout out to Alison, Ellie and Jardelle (and the team!)Georgia W. ★★★★★ We worked with Ellie to secure our mortgage and protection, and she was a dream! Being a first time buyer, I was quite clueless about the process, and in a time where mortgage rates have been quite high, she worked right til the end to make sure we were getting our mortgage at the best possible rate and was always available to answer all questions I had. Can't recommend enough 🙂Richard D. ★★★★★ js_loader

Written by:

Alison Gibson

Ascot Mortgage Expert

Last Updated:

06.10.2023

Written by:

Alison Gibson

Ascot Mortgage Expert

Last Updated:

06.10.2023

What is a Mortgage Agreement in Principle?

A Mortgage Agreement in Principle, also known as a Decision in Principle (DIP) or Mortgage in Principle (MIP), is a document issued by a mortgage lender or broker to indicate their willingness to lend a specific amount of money to a borrower. It is based on an initial assessment of the borrower’s financial situation and creditworthiness. This document is not a guarantee of a mortgage deal, but it provides an indication of how much you could potentially borrow.

How Can I Get an Agreement in Principle?

Obtaining a Mortgage Agreement in Principle is a relatively straightforward process. Here’s how it typically works:

  1. Research Lenders: Start by researching different mortgage lenders and brokers and their offerings. Consider factors such as interest rates, fees, and customer reviews to find a lender that suits your needs.
  2. Gather Necessary Documents: Before applying, gather essential documents such as proof of identity, proof of address, and financial information like income proof, bank statements, and details of any existing debts.
  3. Complete an Application: You can apply for a Mortgage Agreement in Principle either online or by visiting a lender’s branch or broker. Online applications are convenient and often provide quick results.
  1. Provide Accurate Information: Ensure that you provide accurate and honest information in your application. Inaccurate or misleading information can affect the lender’s decision.
  2. Credit Check: The lender will perform a credit check to assess your credit history and determine your creditworthiness. A good credit score increases your chances of receiving a positive approval outcome.
  3. Assessment and Decision: The lender will assess your application, considering your income, expenses, credit history, and the property’s value. Based on this assessment, they will decide whether to grant you a Mortgage Agreement in Principle.

When Should I Get a Mortgage Agreement in Principle?

Obtaining a Mortgage Agreement in Principle early in the home-buying process can be beneficial. Here are a few reasons why you might want to get one:

  1. Determine Your Budget: A Mortgage Agreement in Principle provides an estimate of how much you can borrow, helping you determine your budget for property hunting. This ensures that you focus on properties within your affordability range.
  2. Demonstrate Seriousness: When you make an offer on a property, having a Mortgage Agreement in Principle can show sellers that you are a serious buyer and more likely to secure a deal. It gives them confidence that you are more likely to secure a mortgage and complete the purchase.
  3. Save Time: Having a Mortgage Agreement in Principle helps streamline the mortgage application process. Once you find a property and make an offer, having an existing agreement can speed up the subsequent mortgage approval process.

Mortgage Repayment Calculator

Mortgage Agreement in Principle Process

The Mortgage Agreement in Principle process involves several steps:

  1. Application: Complete the application form provided by the lender or broker, either online or in person. Provide accurate and detailed information about your financial situation, income, and expenses.
  2. Credit Check: The lender will conduct a credit check to evaluate your credit history. They will assess your credit score, outstanding debts, and any missed payments. A good credit score increases your chances of approval.
  3. Assessment: The lender will assess your application, taking into account your income, employment status, credit history, and the property’s value. They will evaluate whether you meet their lending criteria.
  4. Decision: Based on their assessment, the lender will make a decision on whether to grant you a Mortgage Agreement in Principle. If approved, they will provide you with a document specifying the amount they are willing to lend.

What's the Difference Between a Mortgage in Principle and a Mortgage Offer?

It’s important to understand the distinction between a Mortgage Agreement in Principle and a Mortgage Offer:

– Mortgage Agreement in Principle (MIP): This is an initial indication from a lender of how much they may be willing to lend you based on an assessment of your financial situation. It is not a binding deal and is subject to further checks.

 

– Mortgage Offer: A Mortgage Offer is a formal document issued by a lender once you have found a property and completed a full mortgage application. It confirms that the lender is willing to lend you the specified amount for that particular property.

Alison Gibson

Ascot Mortgage Expert

Remortgage

Remortgaging is applied when you keep

living in your present property while applying for another mortgage deal with a new lender. Before finding out how to remortgage and get the best offers from experts like Ascot Mortgages, you have to check meeting what parameters of the deal that can help you succeed the most. The range of background factors varies a lot — from the recently changed loan-to-value ratio or your existing agreement coming to an end.

Whether you are trying to get a more beneficial deal or searching for funding to improve your home conditions, remortgaging is one of the most advantageous scenarios to consider.

What Are the Benefits of Having a Mortgage in Principle?

Having a Mortgage Agreement in Principle offers several advantages:

  1. Determine Affordability: A Mortgage Agreement in Principle helps you determine the price range of properties you can afford, making your property search more focused and efficient.
  2. Increased Negotiating Power: With a Mortgage Agreement in Principle, sellers are more likely to consider your offer seriously. It demonstrates that you have taken steps towards securing a mortgage, giving you an advantage in negotiations.
  3. Streamlined Application Process: Once you have a Mortgage Agreement in Principle, the subsequent mortgage application process can be faster and smoother. It reduces the time between making an offer and completing the purchase.

Mortgage Agreement in Principle Eligibility Criteria

The eligibility criteria for a Mortgage Agreement in Principle vary between lenders, but some common factors include:

  1. Income and Affordability: Lenders will assess your income to ensure you can afford the mortgage repayments. They typically require you to have a stable income source.
  2. Credit History: A good credit history improves your chances of obtaining a Mortgage Agreement in Principle. Lenders will review your credit score, outstanding debts, and any missed payments.
  3. Deposit: The amount of deposit you can provide will affect your eligibility for a Mortgage Agreement in Principle. Generally, a larger deposit indicates a lower risk for the lender.
  4. Employment Status: Lenders prefer borrowers with a stable employment history. Being in permanent employment or having a long-term contract increases your chances of approval.

At Ascot Mortgages, we are dedicated to helping you navigate the mortgage process and find the best option tailored to your needs. Contact us today, and our experienced mortgage brokers will be delighted to assist you.

Apply for a Mortgage

Get things moving, apply for a mortgage.

Call Now - 01925 711 558

Free unbiased mortgage advice is just a phone call away.

FAQ

A Mortgage in Principle, also known as a Decision in Principle or Agreement in Principle, gives you an indication of how much a lender might be prepared to lend you based on your income and credit history. It’s not a guarantee that the lender will offer you a mortgage, as this will depend on a more detailed assessment of your circumstances and a valuation of the property when you make a full mortgage application. However, having a Mortgage in Principle can make you a more attractive buyer to sellers as it shows that you’re serious and have the potential means to complete the purchase.

The process of obtaining a Mortgage in Principle is relatively quick and can often be done within 24 hours. Some online lenders may even be able to provide a Decision in Principle instantly. The speed can depend on the complexity of your financial situation and the lender’s process. You’ll usually need to provide some basic information about your income, outgoings, and credit history.

Whether or not a Mortgage in Principle affects your credit score will depend on whether the lender performs a ‘hard’ or ‘soft’ credit check. A ‘soft’ check won’t affect your credit rating, whereas a ‘hard’ check will leave a footprint on your credit file and may slightly lower your credit score. If you’re unsure, it’s worth asking the lender about their process before applying. Too many ‘hard’ checks in a short period of time can negatively impact your credit score.

No, a Mortgage in Principle is not legally binding for you or the lender. It’s simply a statement from a lender saying that in principle, they would lend a certain amount to the prospective borrower based on the information provided. The final mortgage offer is subject to a full application, credit check, and property valuation. It’s only at the point of mortgage offer that the lender is committed to the loan, and even then, it’s not binding until contracts are exchanged during the conveyancing process.

Meet Our Team

Video

Contact Us

*Privacy Notice - Any information provided will be treated with confidentiality and will only be accessible within Ascot Mortgages