How to get a mortgage

Quick answer: There’s a lot to think about when getting a mortgage. You need to work out your budget, save a deposit, check your credit report, compare mortgages, gather your documents and apply. Getting a mortgage in principle first can help you understand what you may be able to borrow before house hunting.

Getting a mortgage is one of the biggest financial steps you’re likely to take, so it helps to know what to expect before you apply. Lenders will look at your finances in detail to decide whether they think you can afford the repayments and whether you’re likely to be a reliable borrower.

This guide explains how to get a mortgage. From preparing your finances and comparing deals, to applying for a mortgage and understanding how your credit score could affect the outcome. It also covers the steps to getting a mortgage, what documents you could need, how long an application can take, and what lenders might look at before making a decision.

What’s the process for buying a house?

The process to buy a house usually starts before you find a property. It’s worth preparing your finances early so you understand what could afford and can move quickly when you find a home you want to buy.

The process usually goes like this:

1. Work out your budget. Look at your income, outgoings, deposit and other costs involved in buying a home — like stamp duty and solicitor fees. Use our mortgage calculator to find out what you’ll pay each month and how much interest you’ll pay in total.
2. Check your credit report. Make sure the information on your report is accurate and up to date before you apply.
3. Save your deposit and other upfront costs. As well as your deposit, you might need to save for the legal fees and costs like paying a company to help with removals.
4. Consider getting a mortgage in principle. This can give you an idea of how much a lender may be willing to offer before you start viewing properties.
5. Search for a property and make an offer. Estate agents and sellers might take you more seriously if you already have a mortgage in principle.
6. Apply for a mortgage. When your offer on a property is accepted, you can make a full mortgage application.
7. Go through checks, valuation and conveyancing. The lender will assess your finances and the property, and your solicitor handles the legal work.
8. Exchange and complete. Once everything is approved and contracts are exchanged, you can complete the purchase and move in.

How to prepare for a mortgage application

Preparing before applying for a mortgage can improve your chances of finding a deal that suits you.

Lenders will usually consider information from your credit report, your application form, information they already hold about you, and their own lending criteria. They’ll also look at affordability, including your income, spending, debts and regular commitments.

1. Work out what you can afford. Think about what monthly repayments would be realistic, both now and if your circumstances changed. For example, could you still afford the mortgage if interest rates went up or your income changed?
2. Build the largest deposit you reasonably can. A larger deposit can reduce the loan-to-value ratio, or LTV, which is the percentage of the property’s value you need to borrow. A lower LTV may give you access to more mortgage options.
3. Check your credit report early. Look for incorrect information, missed payments or old addresses that could cause issues. Checking early gives you time to correct mistakes before submitting a mortgage application.
4. Avoid unnecessary credit applications. Try not to apply for lots of new credit in the months before your mortgage application, as multiple hard searches can make lenders more cautious.
5. Keep up with repayments. Pay credit cards, loans, mobile contracts and other commitments on time. Missed or late payments can affect how lenders view you.
6. Review your spending. Lenders may look at your bank statements to understand your regular outgoings, so it’s sensible to check your own spending first.
7. Get your paperwork ready. Having documents prepared can help the process move more smoothly once you apply.

What do you need for a mortgage?

To get a mortgage, you’ll usually need:

• A deposit
• Proof of identity
• Proof of income
• Bank statements
• Details of your regular spending and debts
• A strong credit history
• Information about the property you want to buy
• When you’re further along the process, details of your solicitor, estate agent and the seller

You don’t need to have perfect finances, but you do need to show the lender that the mortgage is affordable and that you’re likely to keep up with repayments.

How much can I borrow for a mortgage?

How much you can borrow for a mortgage depends on your personal circumstances. Lenders will usually look at your income, outgoings, deposit, debts, credit history and the property you want to buy. They may also consider whether you could still afford the repayments if interest rates went up or your circumstances changed.

A mortgage calculator can help you estimate potential monthly repayments, but it won’t guarantee what a lender will offer. A lender or mortgage broker can give you a more detailed view based on your full situation.

How to get ready for a mortgage?

To get ready for a mortgage, focus on showing lenders that you can manage money responsibly. This means checking your credit report, paying bills and credit commitments on time, staying within credit limits, saving for your deposit and reducing unnecessary spending where possible.

It’s also worth registering to vote at your current address, as this can help lenders confirm your identity and address. Before applying, make sure your payslips, bank statements and ID are easy to access.

How many months bank statements might I need for a mortgage application?

Mortgage lenders usually ask for bank statements covering the last three to six months, although this can vary by lender and by application. They use bank statements to help understand your income, spending, debts and regular commitments.

How to compare mortgages

When comparing mortgages, don’t just look at the headline interest rate. The right mortgage for you will depend on the total cost, monthly repayments, fees, flexibility and how long you plan to keep the deal.

For more detail on this, read our guide to finding the right mortgage.

What to compare	What it means	Why it matters
Mortgage term	How long you’ll take to repay the mortgage	A longer term can reduce monthly repayments, but you may pay more interest overall. A shorter term may cost more each month but clear the debt faster.
Repayment type	Repayment or interest-only	With a repayment mortgage, you repay the loan and interest each month. With interest-only, you only pay the interest during the term and need a plan to repay the loan at the end.
Rate type	Fixed, tracker, discount or standard variable rate	A fixed rate gives certainty for a set period. Variable rates can move up or down, which means repayments can change.
Initial rate and APRC	The introductory rate versus the overall annual cost	A low initial rate can look attractive, but fees and the rate after the deal ends can affect the total cost.
Fees and charges	Arrangement fees, valuation fees and early repayment charges	Fees can make a deal more expensive, even if the interest rate looks low.
Loan-to-value ratio	The percentage of the property price you’re borrowing	A lower LTV can sometimes help you access better deals because the lender is taking less risk.
Flexibility	Overpayments, payment holidays, portability and exit fees	Flexible features can be useful if your circumstances change or you want to repay faster.
Advice route	Direct lender, bank adviser, broker or online broker	A broker can help you compare more options, but check whether they charge a fee for this, and whether they cover the whole market.

We’re a credit broker, not a lender.

What documents do I need for a mortgage?

The documents you need for a mortgage can vary, but lenders usually ask for evidence of your identity, income, spending and deposit. Getting these ready early can help avoid wasting time further down the line.

You may need to provide:

• Current passport or driving licence
• Proof of address
• Your most recent P60
• Your last three months of payslips
• Current account bank statements, often covering three to six months
• Evidence of your deposit
• Details of regular outgoings, including credit repayments and bills
• Details of your solicitor, estate agent and the seller
• If you’re self-employed, two to three years’ accounts from a professional accountant and tax form SA302

Lenders may ask for extra documents depending on your employment, income, credit history or the property you’re buying.

How to apply for a mortgage

When you’ve prepared your finances and compared your options, the mortgage application process usually works like this:

1. Choose how you want to apply. You can apply directly with a lender or through a mortgage broker, or an online mortgage service.
2. Get a mortgage in principle. This can give you an estimate of what a lender may be willing to lend, although it isn’t a formal mortgage offer.
3. Choose the mortgage deal. Compare the rate, term, repayment type, fees, flexibility and total cost.
4. Complete the full application. You’ll need to provide personal, financial, employment and property details.
5. Submit your documents. The lender will usually ask for proof of identity, income, bank statements and details of your spending.
6. Wait for lender checks. The lender will assess affordability, review your credit history and arrange a valuation of the property.
7. Receive the mortgage offer. If the lender is satisfied, they’ll issue a formal mortgage offer.
8. Complete the legal process. Your solicitor or conveyancer will handle the legal checks, exchange and completion.

How to get a mortgage in principle

A mortgage in principle is an estimate from a lender of how much they may be willing to lend you. It’s also known as an agreement in principle, decision in principle, approval in principle or mortgage promise.

To get one, you’ll usually need to provide basic financial information such as your income, expenses and address history. Some lenders also ask for ID. Many online applications can be completed quickly, and a decision may be instant or come within 24 hours. A mortgage in principle is not the same as a formal mortgage offer, and the lender will still need to carry out more detailed checks before approving a full application.

Most lenders use a soft credit check for a mortgage in principle, which means it won’t affect your credit score. However, some may use a hard credit check, so it’s worth checking before you apply.

How long does it take to get approved for a mortgage?

A mortgage application often takes between three and six weeks, although the exact time can vary. During this period, the lender will review your information, carry out a mortgage credit check, assess affordability and complete a property valuation before deciding whether to offer you a mortgage.

You may be able to help things move faster by having your documents ready, responding quickly to questions and staying in close contact with your solicitor or conveyancer. Delays can happen if the lender needs more information, the valuation raises concerns, or there are legal issues with the property.

Mortgage offers usually last between three and six months, so it’s important to keep your purchase moving once you receive one.

How your credit score can affect your mortgage application

Your credit score can affect your mortgage application because it helps lenders understand how you’ve managed credit in the past. A better credit score can improve your chances of getting the mortgage deals you want, but it isn’t the only thing lenders consider.

There isn’t one specific credit score you need for a mortgage. Different lenders use different criteria, and they may create their own score based on your credit report, application details, existing customer information and lending policy. They’ll also look at affordability, including your income, debts and regular spending.

How much does your credit score affect your mortgage?

Your credit score can affect whether you’re accepted, the number of mortgage options available to you, and the interest rates you may be offered. Generally, a stronger credit history can make you look lower risk to lenders.

But your credit score is only one part of the decision. A lender may still have concerns if your income is unstable, your deposit is small, your spending is high or the mortgage doesn’t look affordable. Equally, if your credit score is lower, a strong deposit and clear evidence that you can afford repayments may help.

If you have a poor credit history, getting a mortgage may still be possible, but it can be harder. You may face higher interest rates or need a larger deposit. Specialist bad credit mortgages may be available, but it’s important to check affordability carefully.

How far back do mortgage lenders look?

Mortgage lenders will usually assess the last six years of your credit history. Your credit report contains information about your financial behaviour over this period, including missed payments, defaults and public record information such as CCJs.

Lenders won’t only look at your credit report. They may also review your bank statements to understand your income, spending and debts. If you’re repaying debts that no longer appear on your credit report, these payments could still show in your bank statements.

In general, lenders are likely to give more weight to how you’ve managed money in recent years, but older issues may still be relevant depending on the lender and your situation.

FAQs

Can I get a mortgage?

You may be able to get a mortgage if a lender believes you can afford the repayments and meet their criteria. They’ll usually look at your income, deposit, spending, credit history, debts and the property you want to buy.

How long does a mortgage application take?

A mortgage application often takes around three to six weeks, but it can be quicker or slower depending on the lender, your documents, the valuation and the legal process.

How far back do mortgage lenders look at bank statements?

Mortgage lenders commonly ask for three to six months of bank statements. Some may ask for more if your income is complex, you’re self-employed, or they need extra evidence of affordability.

How many months’ payslip for mortgage?

Lenders often ask for your last three months of payslips. They might also ask for your most recent P60 or extra evidence if your income includes bonuses, commission or overtime.

What credit score do you need for a mortgage?

There isn’t a single minimum credit score for a mortgage in the UK. Lenders use their own criteria and look at affordability as well as your credit history. Learn more in our guide to credit score for a mortgage.

Can you get a mortgage if you’re self-employed?

Yes, getting a mortgage if you’re self-employed is possible, but you’re likely to need to provide more evidence of your income. Lenders may ask for two to three years’ accounts from a professional accountant, tax form SA302 and bank statements.