How Long Does a Mortgage Offer Last For?

A mortgage offer officially lasts for 3-6 months depending on the mortgage lender or broker. This mortgage offer is a document in writing which is signed and confirmed by the bank lending to you and can be used to proceed with your onward, such as your first or next home.

The official start date of a mortgage offer varies, with some lenders stipulating that it is the date that the mortgage offer is approved and some when your mortgage offer is approved by the owner of your next house. Be sure to check the terms and conditions of your mortgage offer for this.

Do You Have To Pay To Get a Mortgage Offer?

Yes, if a mortgage broker has procured a mortgage offer for you, you will usually pay a one-off fee of around £2,000 (which varies) for the successful offer provided.

What Happens After My Mortgage Offer Expires?

Once your mortgage offer expires, you simply re-apply with your mortgage broker or provider. Of course the process will be a lot faster this time around because they will have key information about you, your income, your expenses and personal contact details.

However, you will be required to provide updated information including:

• Last 3 months bank statements
• Last 3 months income
• Last 3 months credit card bills
• Any updates in terms of credit, car finance etc
• New credit score report

Is It Bad If My Mortgage Offer Expires?

Your mortgage offer expiring is not necessarily a bad thing since interest rates can lower and your income can improve which could give you more favourable rates and terms. If you were initially given 5% from Halifax or Barclays and now rates have dropped and you are paying 3% or 4%, you are now paying quite a bit less on your monthly mortgage.

However, the pain is that if you are ready to proceed on your desired house and your mortgage offer is expiring or has expired, you will not be proceed-able until it is renewed and this could jeopardise the sale from going ahead.

In some cases, you may find that the original mortgage lender is now restricter or if your circumstances have changed in terms of credit score, lower income or unemployed, you may not be able to get a mortgage offer the second time round.

What Information Do You Need To Provide To Get a Mortgage Offer?

• Personal details – name, marital status, current address, date of birth
• Income – monthly statements and certain documents if you are self employed
• Expenses – monthly spend on house, entertainment, food, holidays
• Any existing debt – credit cards, personal loans
• Credit score
• ID such as passport or driver’s license

Can I Get a New Mortgage Offer Before It Expires?

Yes of course, you can pre-empt things and apply for a new mortgage offer before the next one expires. If this gives you a better position for your upward purchase, this might be worth doing, but you may incur another mortgage broker fee.

Can I Get a Mortgage Offer From More Than One Bank?

Yes of course, you can get a mortgage offer from more than one bank since some may be able to lend you more and give you more favourable rates. Some banks may give you longer dates before the offer expires which could be useful.