The devil is in the packaging detail

Buying a house and applying for a mortgage is one of the biggest and most stressful financial commitments many people will ever make, which is why brokers play such an important role in the mortgage application process.

This has never been more pertinent than in the current economic climate, where escalating living costs and affordability constraints are squeezing the household budgets of many consumers, prompting them to reassess their spending capacity and reset their expectations when it comes to their borrowing needs.

As a result, a growing number of brokers are finding their services increasingly in demand with many reporting a heightened sense of urgency when it comes to securing the best deal for their clients. This is especially true in the current market where continued volatility has significantly reduced the shelf life of many available mortgage products.

More than ever, brokers and their clients need the mortgage application process to go as smoothly as possible if they’re to lock in a suitable rate. This means that in situations where there may be some complexities around the client’s situation, it’s often best to communicate this with the lender at the outset when submitting an application as this will help to prevent any delays when it comes to servicing the mortgage.

Perhaps the client has more than one business or job, rents out a room in their house or receives an income from a buy-to-let property and therefore has multiple income streams. In each of these situations, it would be beneficial to bring this to the lender’s attention even if they don’t need to use that income for affordability purposes, as it’s likely to prevent delays during the underwriting process.

In instances where there is a blip on the client’s credit search, a history of sick pay or a missed direct debit payment, it’s also worth including a note on the application which explains the reason for this. Maybe your client moved house and forgot to update their banking details, or perhaps they changed bank accounts and there was an oversight during the switching process? Including some background where possible will help the lender when assessing the mortgage application and can really help move the case along more quickly.

All of our mortgage applications are manually underwritten, so any queries related to a case can be dealt with by a member of the underwriting team who can answer questions and quickly provide clarity around any additional information that may be required. In the majority of cases, most of the supporting information needed can be collected during the advice process, which places brokers in an advantageous position as they already deal with the client directly.

As a lender, we’re always happy to answer questions and provide guidance and support in cases where a query may arise, as this will help brokers with their processes while simultaneously helping us to build a bigger picture of the client. This will enable us to streamline the application process and ultimately achieve quicker final outcomes for both you and your client.