Applying for a mortgage can feel overwhelming, but the process follows a clear sequence of steps. Whether you are a first-time buyer or remortgaging, this guide walks you through every stage — from choosing a lender to receiving your formal mortgage offer.

Understanding the process in advance means fewer surprises, fewer delays, and a better chance of approval. Most mortgage applications take between 2 and 6 weeks from submission to offer, though complex cases (self-employment, non-standard properties) may take longer.

1 Decide: Broker or Direct?

Your first decision is whether to use a mortgage broker or apply directly to a lender. Both routes can lead to a great deal, but they work differently.

Mortgage brokers search across dozens (sometimes hundreds) of lenders to find the best product for your circumstances. They handle the paperwork, chase the lender on your behalf, and often have access to exclusive deals not available to the public. A whole-of-market broker is typically the better choice, especially if your situation is not straightforward. Brokers may charge a fee (usually £300–£500), though some earn their income entirely from lender commissions.

Going direct means approaching a bank or building society yourself. This can work well if you already have a relationship with the lender, if you have a simple financial profile, or if you have identified a specific product you want. However, you will only see that lender's range, not the whole market.

Recommendation: For most people — especially first-time buyers and the self-employed — a whole-of-market mortgage broker offers the best combination of access, expertise, and time savings.

2 Get an Agreement in Principle

Before you formally apply, most buyers obtain an Agreement in Principle (AIP), also called a Decision in Principle or Mortgage in Principle. This is a preliminary indication from a lender that they would be willing to lend you a certain amount based on basic information about your income, outgoings, and credit history.

An AIP is not a guarantee of a mortgage — it is subject to a full application, valuation, and underwriting. However, it serves two important purposes: it tells you your realistic budget, and it shows estate agents and sellers that you are a serious buyer who can secure funding.

Most AIPs involve a soft credit check (which does not affect your credit score) and can be issued within 24 hours. They typically remain valid for 60 to 90 days.

3 Gather Your Documents

A mortgage application requires substantial documentation. Having everything ready before you apply avoids the most common cause of delays. Here is what you will need:

DocumentDetails
Photo IDPassport or driving licence (current, not expired)
Proof of addressUtility bill, council tax bill, or bank statement dated within 3 months
PayslipsLast 3 months (employed applicants)
P60Most recent tax year (employed applicants)
SA302 + Tax Year OverviewLast 2–3 years (self-employed applicants, from HMRC)
Bank statementsLast 3–6 months showing salary credits, regular outgoings, and deposit funds
Proof of depositSavings statements, gift letter (if gifted), LISA statement
Employer detailsCompany name, address, employment start date, contract type
Existing credit commitmentsLoan agreements, credit card statements, child maintenance orders
Proof of bonuses/overtimeLetter from employer confirming regular additional income (if applicable)
Common pitfall: If any of your deposit is a gift from family, lenders require a formal gift letter confirming the money is a gift (not a loan) and that the giver has no claim on the property. Your solicitor can provide a template.

4 Submit Your Full Application

With your documents ready, your broker or lender will help you complete the full mortgage application form. This is a detailed document that covers your personal details, employment history, income, outgoings, the property you are buying, and the mortgage product you have chosen.

The form will ask about:

Accuracy is critical. Any discrepancies between your application and supporting documents will trigger queries and delays. If you are unsure about something, ask your broker rather than guessing.

5 Credit Check and Affordability Assessment

Once you submit, the lender performs a hard credit check. Unlike the soft check used for your AIP, this leaves a visible footprint on your credit file. This is why it is important not to submit multiple full applications to different lenders — too many hard searches in a short period can damage your credit score.

The lender also conducts an affordability assessment, stress-testing whether you could afford repayments if interest rates rose. They will look at your income relative to the mortgage amount, your existing debts, your regular outgoings, and any dependents.

6 Property Valuation

The lender instructs a surveyor to value the property. This is not for your benefit — it is to protect the lender by confirming that the property is worth at least the amount they are lending against it.

The valuation may be a physical visit or, increasingly, a desktop or automated valuation using data and algorithms. You may be charged between £150 and £400 for this, although many mortgage products include a free valuation.

If the valuation comes in lower than the purchase price, you have several options: renegotiate the price with the seller, increase your deposit to cover the shortfall, or withdraw from the purchase.

Important: A lender's valuation is not a survey. It does not check for structural problems, damp, or other defects. We strongly recommend commissioning your own HomeBuyer Report or Building Survey in addition to the lender's valuation.

7 Underwriting

Underwriting is the lender's detailed review of your application. An underwriter examines your documents, credit report, valuation, and overall risk profile to make a lending decision. This is the stage where applications can stall if information is missing or inconsistent.

The underwriter may request additional documents — an explanation for large or unusual transactions on your bank statements, further proof of income, or clarification on your employment status. Respond to these requests quickly and thoroughly.

Conditional vs Unconditional Offer

Some lenders issue a conditional offer first, meaning the mortgage is approved subject to certain conditions being met (such as providing a specific document or the solicitor confirming legal title). Once all conditions are satisfied, this becomes an unconditional offer.

Other lenders skip straight to an unconditional offer if everything is in order. Either way, the formal mortgage offer is the document your solicitor needs to proceed towards exchange of contracts.

8 Receive Your Mortgage Offer

The formal mortgage offer is a legal document that sets out the terms of your mortgage: the amount, interest rate, monthly payment, term, any early repayment charges, and special conditions. It is typically valid for 3 to 6 months.

Read it carefully. Your solicitor will also review it and explain any terms you are unsure about. Once issued, the mortgage offer is sent to both you and your solicitor, who will use it as part of the conveyancing process.

Typical Application Timeline

Tips for a Smooth Application

Related Guides