In this brief blog, we are going to answer the question “ how long does a mortgage application take with a broker “ and what you can do to reduce that time.

How long does a mortgage application take with a broker?

A mortgage application with a mortgage broker could take as little as 4 weeks.

How long a mortgage application will take with a broker depends on the experience of the mortgage broker, the speed at which the mortgage broker works, the mortgage brokers relationship with the lender and the mortgage lender you are applying to.

A mortgage broker can do their very best to reduce how long a mortgage application could take with them but there are also a lot of external factors which could affect the time it takes to get a mortgage with a broker.

A mortgage lender could take much longer in processing your mortgage application and hence the speed of your mortgage application will be out of the hands of the mortgage broker.

You may also have a conveyancer who takes a much longer time in carrying out property searches and hence your mortgage application takes much longer than expected.

Some of the factors which affect how long a mortgage application takes with a mortgage broker include:

  • Relationships with mortgage underwriters
  • Mortgage brokers experience
  • Mortgage brokers use of technology
  • The type of mortgage
  • Your personal circumstances
  • Third parties

Relationships with mortgage underwriters

If you are applying to a mortgage lender which your mortgage broker has an existing relationship with then you could potentially benefit from this relationship.

A mortgage broker with existing relationships with the mortgage underwriters could resolve any issues which may pop up during your mortgage application and hence ensure you are able to get your mortgage application done in an efficient time.

Mortgage brokers experience

How long a mortgage application with a mortgage broker will take also depends on the mortgage brokers experience.  

If you are looking to get a self-employed mortgage then having a mortgage broker who has a lot of experience with self-employed mortgages may be very beneficial.

A self-employed mortgage broker will know how to present your mortgage application to the lender and improve your chances of getting your mortgage application done in an efficient manner.

Mortgage brokers use of technology

A mortgage broker who uses a lot of technology could be much faster than one who doesn’t.

If you are looking to get your mortgage processed faster then you should ensure the mortgage broker you want to hire has sufficient technology which will hopefully aid in ensuring your mortgage application is processed quickly.

A mortgage broker who uses technology could save you as much as 2 weeks in regards to how long a mortgage application takes.

The type of mortgage

Although choosing the right mortgage broker could go a long way to ensuring your mortgage application takes as short as possible to be processed, the type of mortgage you are after may very much affect how long a mortgage application with a mortgage broker takes.

If you are looking to get a bad credit mortgage then you can expect your mortgage application to take much longer as the mortgage lender will likely have a lot of questions and you may need to provide several follow up remarks to any concerns or questions the mortgage lender has.

Whilst a mortgage broker could who is experienced with bad credit mortgages could help you ensure you get a bad credit mortgage in as little time as possible 

Your personal circumstances

Your personal circumstances as a borrower could also significantly affect how long a mortgage application with a mortgage broker could take.

If you have:

Bad credit or no credit history

No or a low mortgage deposit

A complex income

No employment 

Unstable employment

A good mortgage broker who is experienced enough may be able to help you get a mortgage in a reasonable time even with these issues but your personal circumstances could still affect how long your mortgage application takes.

Third parties

If you are using any third party schemes then a mortgage application could take much longer as it will no longer be all down to just your mortgage broker.

If you are applying for a government scheme then the agency involved in providing you with an authority to exchange letter or authority to proceed letter which enables you to complete your mortgage application may take much longer than you expect and this may cause your mortgage application to be delayed at no fault of the mortgage lender.

How long does a mortgage application take at Halifax

How to reduce how long a mortgage application takes with a broker

  • Get your documents ready
  • Get any third party letters such as government scheme letters, employer letters, gifted deposit letters or reference letters ready
  • Print out your credit score and get this ready
  • Choose a mortgage broker who fits your circumstances. If you are self-employed then a self-employed mortgage broker may be the best for you.  If you have bad credit then a bad credit mortgage broker may be the best for you.
  • Choose a mortgage broker who has experience
  • Choose a mortgage broker with good reviews
  • Choose a mortgage broker who uses technology.

Using a mortgage broker

You may want to consider using an independent mortgage broker to get a mortgage.

Mortgage brokers are important as they can access mortgage products from across the whole of the market in some cases.

This could be over 11,000 mortgage products. This may have some advantages rather than going directly to a mortgage lender.

A mortgage broker will look to understand your financial circumstances and then provide recommendations on which mortgage products may be suitable for you based on your mortgage affordability.

After giving you these mortgage recommendations, most mortgage brokers will seek your consent to apply for a mortgage in principle. 

This will allow you to shop for your home easier as more estate agents and sellers may take you seriously or it will give you confidence that your mortgage is indeed a possibility before you make a full mortgage application. 

Once you have found a home you want to buy and are satisfied with the mortgage offer for your mortgage then the mortgage broker will then look to get you a mortgage offer.

This will come with a key facts illustration document which details out the features of your mortgage including how much you will pay per month.

It will also contain information on if there are any limits such as early repayment fees, or annual overpayment limits.

If you are happy with everything you can then go on to secure your mortgage with the help of a conveyancer.

Your conveyancer will manage the legal searches on the property to ensure there aren’t any issues with it.

They will oversee the sales agreement to ensure it is in your best interest, they will manage the transfer of mortgage funds, exchange contracts with the seller or their conveyancer and set a completion date with the seller or their conveyancer.

In this brief guide, we answered the question “How long does a mortgage application take with a broker “. If you have any questions or comments please let us know below.

John Bate

John has 22 years of experience in financial services. This spans across financial research, financial services (As a qualified mortgage broker and underwriter), financial trading and sales at global investment banks. While working as a publishing research analyst, he covered European bank credit and advised institutional clients on investment strategies at both JP Morgan and Societe Generale. John has passed all three levels of the CFA (Chartered Financial Analyst) programme.