What to expect from your mortgage journey
Your mortgage may be the biggest financial commitment you have, so it’s important to know how the process works. Whether you’re looking for a Residential, Retirement or Expat mortgage, we’ve covered some steps below, so you know what to expect.
We’re working exclusively with SPF Private Clients, providing Guernsey residents access to a full range of products from the Marsden. SPF’s team of experienced advisers will guide you through the mortgage process, ensuring they meet your individual needs to find the product that’s right for you. You can get in touch directly with SPF via phone or email. Their contact details can be found at the bottom of this page.
Agreement in Principle (AIP)
After contacting SPF, they will conduct an AIP. This will give you an indication of how much you can borrow for your mortgage. An AIP will be based off a soft credit search, which does not affect your credit rating. This is not binding and could change later on, following a more detailed assessment of your finances. The AIP will help to determine how much you can afford to borrow based on the size of your deposit and whether there are any other costs involved.
If you’re happy with the AIP and you’ve found a property you’d like to buy, you can go back to SPF and request a full application. During this process, a valuation of the property will take place, which ensures the property is worth what you’re asking to borrow. A thorough credit check will also be conducted, taking your financial history into account. You will also be expected to provide proof of identity, details of your employment, bank statements and information about your outgoings.
SPF will submit your application to us, and if it meets our criteria and affordability requirements, you’ll receive a formal mortgage offer. This is usually valid for a limited amount of time, depending on the product. If you’re still happy to purchase the property and accept the terms of your mortgage deal, you’ll have the opportunity to accept and legally bind the agreement with the seller. Entering the final stage of your mortgage journey, a date will be established to exchange contracts and complete the sale. This will be done through your conveyancer.
On the day of completion, mortgage funds will be transferred to the person you are buying the property from. Please ensure your savings are easily accessible to prevent delays. After completion, the ownership of the property will be passed to you, and you can move in.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE