Support truly
independent journalism
Our mission is to deliver unbiased, fact-based reporting that holds power to account and exposes the truth.
Whether $5 or $50, every contribution counts.
Support us to deliver journalism without an agenda.
![Louise Thomas](https://static.independent.co.uk/static-assets/support-us/louise-thomas.png)
Louise Thomas
Editor
Are banks and building societies still lending?
According to the Council of Mortgage Lenders (CML), gross mortgage lending fell 14 per cent in January to £10.5bn (from £12.2bn in December). The good news is it is higher than the £9.5bn lent in January last year. The bad news is it's a far cry from the £30.6bn lent in the pre-crunch days of January 2007.
Will I definitely be accepted for a loan?
No. A lender could turn you down for multitude of reasons, none of which it has to explain. You are less likely to be accepted if you have a small deposit, are recently self-employed or your credit score is under-par.
What is a Mortgage Agreement in Principal?
Its a document from a lender that states you will be agreed a mortgage on the basis of the information you have given, such as credit score and salary. But don't count your chickens as a lender can change its mind. For example, if your payslips don't match your stated income or something arises in the lender's valuation.
How much could I borrow?
Most lenders (around 70 per cent) loan up to 90 per cent of the property value. A few cap borrowing at 95 per cent.
How can I improve my chances of being accepted?
First apply for a copy of your credit file. A simple way to do that is via MoneySupermarket's credit monitoring channel. If you find any errors, apply to the credit reference agency for a Notice of Correction. Register on the electoral role and keep mortgage applications to a minimum as each leaves a footprint on your file.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments