In this brief guide, we are going to discuss how to get a fast track mortgage.
You may be in need of a fast track mortgage as you are in a property chain and getting a fast track mortgage could make things move a bit faster.
Or maybe you simply want to get the purchase done and not have to worry about what the seller may do.
Or maybe you need to meet an auction deadline. If you need a fast track mortgage the Huuti can help.
In this guide, we will look at how to get a fast track mortgage and get the best mortgage deal for you.
What is a fast track mortgage?
A fast track mortgage is a mortgage which is designed for those who have very good credit scores. It is designed to get you a mortgage by going through a much faster mortgage underwriting process.
With a fast track mortgage, you may be able to receive a mortgage offer in as little as 1- 2 weeks in comparison with regular mortgages which may take as long as 12 weeks to get a mortgage offer.
If you have other issues such as the below then the timeline to get a mortgage offer can vary and be significantly longer based on the complexity of your mortgage application.
- Bad credit
- Complex incomes
- Foreign national
However, even with these issues, you may still be able to find a mortgage lender who could approve you for a mortgage in a relatively short time. You will have to provide any extra supporting documents as quickly as possible but with a good mortgage broker, you should be able to get a suitable mortgage.
You should know that FastTrack mortgages are nothing like self-cert mortgages.
With a fast track mortgage, you will still have to pass the mortgage lenders mortgage affordability checks.
The only difference is that they are much faster.
Fat track mortgages are designed for those with good credit scores and those who meet the mortgage lenders mortgage affordability requirements.
If you need a mortgage offer as fast as possible then a fast track mortgage may be right for you but you can do yourself one better by improving your chances of getting a fast track mortgage or having any mortgage application receive a quick turn around.
Some of the things you can do to reduce how long a mortgage application takes include:
- Make sure your current address is the address you are registered to vote at; if your current address is different from the one on the electoral roll you may find it may delay your mortgage application.
- Ensure the name on your mortgage application is the same at every point in which you have written it and ensure it matches exactly to our passport.
- Ensure the bank documents you submit are no less than 3 months old and are genuine copies, not photocopies. You may also want to get them stamped for further validation.
- Ensure you have 3 months worth of payslips with you. Having your employment contract may also help reduce the time a mortgage application takes.
- Close all old inactive accounts
- Don’t apply for credit within 3 months of your mortgage application
- Avoid payday loans
- Ensure your income figures match your payslip figures.
- Ensure your mortgage application is filled out correctly. Any errors could delay you. Your mortgage broker will usually help you by crosschecking your mortgage application before submitting it. Some mortgage brokers will even fill in the application on your behalf.
- Have all your supporting documents ready and submit them with your mortgage application. Don’t wait for them to be requested.
- Always get a mortgage in principle when possible. This avoids you applying to a mortgage lender who will not lend to you.
- If you are using a government scheme then you should ensure you have your authority to proceed in hand and start your authority to exchange process well in advance.
- Ensure you have proof of your mortgage deposit ready
If you follow all the steps above and ensure you are actually meeting the mortgage lenders criteria then getting a fast track mortgage should be very possible.
If the mortgage lender is requesting a minimum 10% mortgage deposit then you should ensure you have this to hand.
For the best circumstances a borrower can geta decision as fast as a few minutes but with any complex issues such as bad credit, no credit history etc then it may take a bit longer.
If you have bad credit then there are a few things you can do before you seek a fast track mortgage.
- Get on the electoral roll at your current address
- Keep your credit utilization below 30% avoid closing any active credit accounts which have been open for a while
- Avoid making too many credit applications in a short space of time
How long does a mortgage application typically take?
A mortgage application may take as long as 12 weeks to complete but this all depends on the complexity of the mortgage case.
If you have bad credit, are self-employed or have a complex income then the mortgage application could take much longer.
The conveyancing process is also one of the biggest reasons a mortgage application could take significantly longer than usual to complete.
To increase the likelihood that you will get a mortgage offer from a particular mortgage lender you should have undertaken a mortgage in principle application.
This gives you some certainty that the mortgage lender you are applying to will be more likely to lend to you.
Getting A fast mortgage in principle
Getting a fast mortgage in principle is very possible. A mortgage in principle application could be put together in less than an hour and a decision received from the mortgage lender within the hour.
You will need to ensure you have all your mortgage documents to hand to ensure this process flows smoothly.
Getting a fast mortgage offer
You may be able to get a fast mortgage offer by having everything you need ready for a mortgage. A good mortgage broker with some experience of getting mortgage offers quickly will be able to assist you in preparing your mortgage application and avoiding the typical pitfalls which increase the time a mortgage application takes.
Use a fast track mortgage broker
You may want to consider using an independent fast track mortgage broker to get a mortgage.
Mortgage brokers are important as they can access mortgage products from across the whole of the market in some cases.
This could be over 11,000 mortgage products. This may have some advantages rather than going directly to a mortgage lender.
A mortgage broker will look to understand your financial circumstances and then provide recommendations on which mortgage products may be suitable for you based on your mortgage affordability.
After giving you these mortgage recommendations, most mortgage brokers will seek your consent to apply for a mortgage in principle.
This will allow you to shop for your home easier as more estate agents and sellers may take you seriously or it will give you confidence that your mortgage is indeed a possibility before you make a full mortgage application.
Once you have found a home you want to buy and are satisfied with the mortgage offer for your mortgage then the mortgage broker will then look to get you a mortgage offer.
This will come with a key facts illustration document which details out the features of your mortgage including how much you will pay per month.
It will also contain information on if there are any limits such as early repayment fees, or annual overpayment limits.
If you are happy with everything you can then go on to secure your mortgage with the help of a conveyancer.
Your conveyancer will manage the legal searches on the property to ensure there aren’t any issues with it.
They will oversee the sales agreement to ensure it is in your best interest, they will manage the transfer of mortgage funds, exchange contracts with the seller or their conveyancer and set a completion date with the seller or their conveyancer.
Fast track mortgage FAQs
How quickly can you get a mortgage approved?
You may be able to get a fast track mortgage which can provide a mortgage approval in less than 14 days but you will usually need to have good mortgage affordability and all your documents ready.
Can I get a non status mortgage?
There are very few mortgage lenders who offer non-status mortgages and hence getting one may be very difficult. The popularity of non-status mortgages has fallen significantly as most mortgage lenders perceive them as being extremely risky.
If you are able to get a non-status mortgage, expect to pay down a much higher mortgage deposit and be on a less competitive mortgage rate.
Can you put an offer in for a house without a mortgage?
Yes, you can put an offer on a house without a mortgage but most sellers or estate agents won’t take you seriously until you have a mortgage offer.
In this brief guide, we discussed how to get a fast track mortgage.
If you have any question or comments please let us know.
If you need financial advice and you live in the UK then you could contact the Money Advice service over the phone or via chat for impartial advice.
You can also contact the debt charity “Step Change” if you are in debt and need help.