Applying for a mortgage is quite a significant step in anyone’s life. So in order to prepare a mortgage application and to see if you’re even eligible. What do mortgage lenders look for when you apply in order to decide if you’re right for a mortgage?
Lenders assess a range of factors before deciding whether to approve your application and understanding what they’re looking for can make the process far smoother.
At HFA Mortgage & Protection, we help clients across the region prepare strong, well-documented applications that stand the best chance of success. Let’s break down exactly what’s involved, what checks are done and what you’ll need to provide.
What’s Included in a Mortgage Application?
When you apply for a mortgage, you’ll need to give lenders a clear picture of your financial situation. This typically includes:
- Personal details – Name, address history (usually for the last three years), and date of birth.
- Employment and income – Proof of your job, salary, and any other income sources.
- Outgoings – Regular monthly commitments such as loans, credit cards, childcare costs, and utilities.
- Deposit information – Where your deposit is coming from (savings, gift, sale of a property, etc.).
The more accurate and complete your application, the quicker the lender can make a decision.
What Checks Are Done?
Credit Check
Lenders will run a credit search to see how you’ve managed past borrowing. They’ll look for things like late payments, defaults, or County Court Judgements (CCJs). A strong credit history can help secure better rates.
Identity and Fraud Prevention Checks
You’ll need to provide photo ID and proof of address so the lender can verify your identity and protect against fraud.
Income Verification
Salaried applicants usually provide payslips (often the last three months) and P60 forms. Self-employed borrowers may need two or more years of tax returns or accounts.
Bank Statement Review
Lenders often ask for recent bank statements to assess your spending habits, regular commitments and how you manage your money.
Understanding Affordability Checks
An affordability check is where the lender works out how much you can borrow based on your income and outgoings. They don’t just look at your current situation, they also “stress test” your finances to see if you could still afford repayments if interest rates rose in the future.
Factors they consider include:
- Your total household income
- Your monthly spending and debts
- The size of your deposit
- Any dependants you support (such as children)
A good broker can help you prepare for this by reviewing your finances in advance, spotting any potential red flags before you apply.
Documents You’ll Usually Need
To keep your application moving smoothly, be ready to provide:
- Passport or driving licence
- Proof of address (utility bill, council tax statement)
- Payslips and/or tax returns
- Bank statements (usually three months)
- Proof of deposit
Having these ready early can save weeks in the process.
Client Story: How Preparation Made All the Difference
James and Laura from Bolton came to HFA worried about getting a mortgage after a lender declined them six months earlier. Their income was healthy, but their application lacked detail and some bank transactions had raised questions.
We carried out a full pre-application review, helping them organise all required documents and improve their bank account presentation by managing spending patterns and clearing an unused credit card.
Within two weeks of submitting their new application (with everything clearly presented), they were approved for the mortgage they needed to buy their family home.
Laura says:
“We felt much more confident the second time. The team at HFA explained exactly what lenders would look for, so nothing was left to chance. The difference in outcome was incredible.”
Why Expert Guidance Matters
While it’s possible to apply for a mortgage on your own, having an experienced broker means:
- You know exactly which documents to prepare
- Your application is presented in the best possible light
- You’re matched with lenders most likely to approve your case
- You save time by avoiding unsuitable applications
At HFA Mortgage & Protection, we deal with lenders daily, so we know what each one values most and what might cause them concern. That insight can be the deciding factor between approval and rejection.
Ready to Apply? Let’s Get You Mortgage-Ready
If you’re thinking of applying for a mortgage, preparation is key. We can help you gather the right documents, check your affordability, and match you to the lenders most suited to your circumstances.
Contact HFA Mortgage & Protection today to take the stress out of the process and give your application the best possible chance.
Important Notice:
There may be a fee for mortgage advice. The precise amount of the fee will depend upon your circumstances but will range from £195 to £1500.
Your home may be repossessed if you do not keep up repayments on your mortgage.
