no pre approval from bank yet

[Property Pig]

Just made an offer on a house without a pre approval from bank.
It's subject to finance. Cost of property is $150k and i've been told on the phone I can borrow max $308k
10% deposit is due in 2 weeks.
Have I done a silly thing?

 

[Terry_w]

Just made an offer on a house without a pre approval from bank.
It's subject to finance. Cost of property is $150k and i've been told on the phone I can borrow max $308k
10% deposit is due in 2 weeks.
Have I done a silly thing?

Not silly because you have a subject to finance clause - just get your solicitor to check the contract quickly to make sure it is all tight.

 

[Peter_Tersteeg]

Any pre-approval you got over the phone isn't going to be worth much. I've had many people estimate their incomes to me over the phone only to find that their estimate is substantially different from the reality when you actually see their payslips.

I wouldn't be concerned regardless, as the finance clause should have you covered, but you do need to obtain "unconditional approval" in writing within the 2 weeks.

 

[Aaron_C]

Pre-approvals don't really mean that much in most cases.

 

[Shahin_Afarin]

It should take around 3 working days to get an unconditionally depending on a few things. Which bank is it?

 

[Rolf Latham]

It should take around 3 working days to get an unconditionally depending on a few things. Which bank is it?

3 days : )


our shortest record is 38 minutes, our longest around 2 weeks, with an average of 5 to7 days.

If you are getting an average 3 days to uncon from submission across a range of loans then that is sensational.

ta

rolf

 

[Shahin_Afarin]

I was referring to unconditionally from pre-approval stage. From the start of the application it should take around 5 working days depending on the valuation process of course. Then again I haven't had to deal with homeside in a while. Sometimes an applicant's requirement is to get faster approval and its just not worth the risk going with a lender that is 0.04% cheaper on the rate and more importantly one that is experiencing 'volume' issues.

 

[Rolf Latham]

I was referring to unconditionally from pre-approval stage. From the start of the application it should take around 5 working days depending on the valuation process of course. Then again I haven't had to deal with homeside in a while. Sometimes an applicant's requirement is to get faster approval and its just not worth the risk going with a lender that is 0.04% cheaper on the rate and more importantly one that is experiencing 'volume' issues.

then again, that depends : )

WBC, if we do a full app, without a pre approval, we get less than 24 hrs for many deals that dont need a val, indeed even less than a couple of hours.

pre approval to full conversions on average at 3 to 5 days : (


Homeside are ok, it does depend a LOT on what process team you are on.


Even CUA are taking weeks to do simple internal refis at the moment.

ta

rolf

 

[Peter_Tersteeg]

HomeSide are currently taking 3-4 days to pick up a file, thus from pre-approval to full approval can take up to 4 days even in optimal circumstances.

 

[Shahin_Afarin]

Yep its a bit disappoint re Homeside because they do have good products and some really excellent niches.

 

[Aaron_C]

Yep its a bit disappoint re Homeside because they do have good products and some really excellent niches.

Homeside and the majors are good for simple deals imo.