Mortgage Agreement

If you have already made a decision concerning the type of mortgage you would like to obtain, you should find out if a mortgage provider will approve of your application. To achieve this, you need to apply for an Agreement in Principle, a special document that confirms the lender's willingness to give you a mortgage.

As a rule, if you can’t show the vendor an AIP, then if other potential buyers for the same house do have such a document, you have little chances of getting the property.

An Agreement in Principle gives you confidence to search for a house and know the exact amount of money you can offer. Furthermore, it makes the vendors regard you as a reliable and committed customer who can afford buying the property.

To make an application for an AIP, you will be asked to provide the lender with the information about of your current job, income and financial obligations. After a credit check run by the lender, you will be informed how much you can be lended in principle. Getting an AIP doesn’t entail any costs and does not place any obligations on you.

However, if you have an Agreement in Principle, it doesn’t mean that the lender will actually give you the mortgage. The lender’s decision will also be based on a number of other factors, such as the characteristics of the property. In addition, you shouldn’t forget that the agreement in principle is valid for a limited period of time, normally up to three months.



The cultural transformations that have made people accept life in debt have had a direct impact on the approach youngsters take to money matters, which could lead to negative consequences in the long run as many of the next generation would resort to IVAs to cope with serious financial issues.

When we put efforts into our work and get paid for this, we get an amazing feeling of satisfaction. Our hard hard work seems to have been remunerated financially. We go shopping and buy the items we need and the items we simply want.