NatWest Mortgage In Principle Guide

Buying your first home is exciting , but it can also feel overwhelming—especially when it comes to understanding mortgage affordability and  not knowing  budget. Without clarity about borrowing  finding the right property can quickly become stressful.

But having a Mortgage in Principle (MIP),also known as Agreement in Principle (AIP) or Decision in Principle (DIP)  makes things a lot easier. In this guide, we’ll take you through a step-by-step on how to get an NatWest Mortgage Agreement in Principle.

What Is A Mortgage In Principle?

An Agreement in Principle  or Mortgage in Principle  is preapproval from your bank. Which indicates about how much  you could borrow towards your first property purchase or remortgaging  of existing property.

It involves you mortgage lender check income affordability and credit scoring. Knowing how much you can borrow it can help to secure property viewings as estate agents consider you as serious buyer.

Who Can Apply For NatWest Mortgage In Principle

Mortgage in principle can be first step for those who are looking to get mortgage for purchase a property or remortgage a property. To apply NatWest mortgage in principle applicants needs to meet following basic requirements.

• UK resident
• Should have GBP income
• At least 18 years old
• Good credit history

Benefits of A NatWest Agreement In Principle

NatWest Agreement in Principle offers several advantages to homebuyers especially first time buyers.

• It helps to make buyers position stronger while doing property search. Estate agents seen buyers as serious about property purchase as they taken the first steps towards securing a mortgage.
• AIP shows how much you can borrow plus your deposit which helps to set realistic purchase price range.
•  NatWest AIP does not impact your credit scoring as it does not run hard credit search.
• Having Agreement in Principle from NatWest does not mean you will have to apply mortgage from same bank or same NatWest mortgage rates. This can be change at the time of mortgage application.

Documents Required For A NatWest Agreement In Principle

Agreement in principle is halfway of your mortgage application and required  similar documents as mortgage applications. Following basic documents are needed to get agreement in principle.

• ID proof which can be passport or full driving license
• 3 Month payslips or tax returns for self-employed
• Proof of address like utility bill
• 3 months bank statements

In case of remortgage then  documents required to remortgage  can be similar as mention above plus current mortgage statement.

How To Get A NatWest Agreement In Principle 

Agreement in principle process can be straight forward. By approaching NatWest bank direct via in branch, online or over the phone. Some time this can be confusing and take longer time. Instead, if you work with Fee Free Mortgage Broker then it can be a lot quicker.

Your bank or mortgage adviser will collect all necessary information and run some checks and prepare your application which will run a soft credit check. If your application is successful, then your bank or mortgage broker will issue an agreement in principle certificate. Always remember this does not mean you definitely get a mortgage.

Some Key Factors About Agreement in Principle

Some of the key factors about mortgage in principle needs to be aware of which can cause confusion and delays in mortgage application.

• Your Agreement in Principle is not guarantee that your mortgage will be approved.
• Your credit score won’t be impacted as lender runs only soft credit check.
• Any wrong information may lead to delay the mortgage approval or even decline.
• Amount mention on AIP can change after full mortgage underwriting.

What If NatWest Decline Agreement in Principle?

On some occasions your NatWest Agreement in Principle may be decline. If that happens to you then following steps should be taken.

Work with mortgage brokers:

Mortgage brokers know lender requirements which can help to secure mortgage with minimising refusals.

Find out more about decline:

Knowing reason for decline can help to take preventive action in right directions for approval of your next AIP

Increase deposit:

Having higher deposit can lower the mortgage amount which can increase the chances of approval of your AIP.

How MariannaFS Can Help With A NatWest Agreement In Principle

Mariannafs  can help to secure your NatWest agreement in principle a lot quicker than going direct to bank. Working with Mariannafs can benefit clients as whole of market mortgage brokers they can offer more choices and find best mortgage deals by comparing all the banks including NatWest.

We  can act extremely quickly on your mortgage needs and secure the DIP to make you ready on property hunt. Best of all it is completely free (Terms apply)

Get in touch with us to  start on your Agreement in Principle.

Contact Us

Some of FAQS:

Having AIP Will Affect My Credit Score?

No, AIP does only soft credit check which wont affect your credit score. But we advise do not make too many attempts.

Is My Mortgage Rate is Secure If I Have AIP?

No, having AIP does not secure your mortgage rates from NatWest because mortgage rates subject to change and may not be available at the time of application.

AIP & Mortgage Calculator Are Same or Different?

No, mortgage calculator and AIP are not same. Mortgage calculator can give rough indications with out running a credit check.  AIP does runs soft credit check and provides results which is personalised to you.

Can I Borrow More Money Than Agreement In Principle?

Yes, if income has gone up or outgoing being reduce since you apply for AIP then it is possible to borrow more than AIP.

Get in touch with us to  start on your Agreement in Principle.

Contact Us

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Mortgage application through mortgage broker.