As the property market continues to thrive, Estate Agents and Builders are conducting viewings and consultations online. One of the requirements they are asking for, is to ensure that buyers have got the finance agreed to enable them to put in a offer on the property they want to buy.
As a lot of lender have restricted their borrowing to 85% mortgages due to the ongoing Covid-19 pandemic with stricter lending criteria, choosing the right lender to obtain a mortgage from is vitally important.
Lenders are able to offer agreement in principles and different lenders carry out two types of searches against your name(s).
- A Soft Search – is an initial look at certain information on your credit file. Crucially, soft searches aren’t visible to other companies therefore the impact it has on you credit rating is minimal irrespective how many searches you may have had.
- A Hard Search – This is when a lender takes a full look at your credit file and credit score. This hard credit search will leave a mark on your credit file and is visible to other lenders. A hard credit search will also indicate to other lenders whether or not you have been accepted.
So how are you expected to know which lenders offer a soft or hard credit check ?
Obtaining to many credit searches against your name can potentially have a negative effect on your credit rating so speaking with a independent mortgage broker can assist you obtaining the correct mortgage.
To assist the mortgage broker you will need to have the following information available.
- Full Name (including middle names)
- Full Address
- Financial History for the last three years
- Income details, details of any credit commitments you currently have outstanding
- Size of your deposit and details of any credit problems you may have had in the last six years.
By contacting Manchester Mortgages one of the industry experienced advisers will be able to assist you obtaining the right mortgage for your circumstances, obtaining an agreement in principle so when you find the right property the estate agent or builder knows that you are in a position to buy the property.
You can contact Manchester Mortgages on 0161 706 0242 or use the contact form to discuss your situation and find out what options are open to you.