What does it mean, and what happens next?
After weeks of submitting documents and waiting for approvals, receiving your mortgage offer is a major milestone in your homebuying journey. This means your lender has completed their checks and is officially prepared to lend you the money needed to buy your property.
However, your job isn’t finished yet! There are still key steps to take before completion. Here’s what you need to know.
What is a mortgage offer?
A mortgage offer is a formal loan agreement from your lender, confirming:
✔ The amount they will lend you
✔ The interest rate and repayment term
✔ Any conditions attached to the offer
✔ Expiry date of the offer (usually valid for 3 to 6 months)
💡 Fact: A mortgage offer is legally binding as long as your circumstances don’t change - so avoid taking out new credit, switching jobs, or making major financial decisions before completion.
What happens after receiving your mortgage offer?
📌 Your conveyancer reviews the offer – They check for any special conditions and ensure everything aligns with the purchase agreement.
📌 You sign and return the mortgage offer – Read the terms carefully before signing.
📌 Your conveyancer arranges exchange and completion dates – Once all legal work is complete, you’ll agree on a date to exchange contracts.
📌 Your lender prepares for funds release – Your solicitor will request the mortgage funds in time for completion.
💡 Tip: If your mortgage offer expires before completion, you may need to reapply, so ensure progress is made promptly.
What should you do next?
✔ Double-check the mortgage terms – Make sure you understand your repayment amount, interest rate, and early repayment charges.
✔ Provide any final documents – If your lender has set any conditions (e.g., proof of insurance), submit these quickly.
✔ Keep communication open – Stay in touch with your conveyancer and mortgage broker to ensure a smooth transition to completion.
💡 Fact: More than 10% of transactions fall through at this stage due to delays or financing issues - stay organised to avoid problems.
What Open Moove suggests next
• Review your mortgage offer carefully and ask questions if anything is unclear.
• Ensure your conveyancer has everything they need to progress to exchange.
• Prepare for completion by keeping your deposit funds and any outstanding paperwork ready.
• Download the Open Moove app to stay on top of your transaction and avoid last-minute delays.
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