How long does morgage approval last?

S

swallow

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My partner and I applied for morgage approval from AIB in January . We filled out all the relevant forms and were approved for 150K.
We now have an opportunity to bid on a house for 400K which we may get if we can close the sale quickly - without contacting the bank does anyone know if we have to go through the approval process again?
 
I've just recently received mortgage approval from AIB and it is for 3 months. I'm not sure how long the reapproval process takes.
 
Can you clarify, will the mortgage amount still be the same, ie 150k?
 
swallow said:
My partner and I applied for morgage approval from AIB in January . We filled out all the relevant forms and were approved for 150K.
We now have an opportunity to bid on a house for 400K which we may get if we can close the sale quickly - without contacting the bank does anyone know if we have to go through the approval process again?
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You will have to be sanctioned by the lending department again for the increased amount, should be less than a week (but keep onto them).

If you were approved for 150,000 in Jan how do you think they will offer you 400k now? Did I miss something?
 
No , we always planned to borrow less than 50% of house price we have the rest in savings / investments so still looking for 150K . iI contacted the bank (AIB) and yes as i was told on AAM we had to reapply . Forms / Salary Certs and bank statements sent off today.
Anecdotal evidence ( coffee break gossip) suggests that AIB are much more reluctant to loan at the moment Anyone have any thoughts on this?
 
Yeah, I have recently gone through the approval process with AIB and from the time I first consulted with my broker (beginning of March) until I had an offer accepted (last week) my broker's expectations/predictions of the amount I could ultimately borrow had reduced by about 10%. He put this down to the fact that the banks are getting the spooks over the recent write-downs and the fact that the banks are being forced to take responsiblity for lending too much to their customers in the past. They are determined not to let this happen again.
Having said that, I was still happy with the amount they approved. I have a realistic view of what I can afford and anything over and above the amount I was a approved for would have left me leading a very frugal life, especially in a situation where interest rates increased.
 
We are dealing directly with bank and have been told there's a two week back log. Last Jan the turn around was less than a week.Good to hear that they are still loaning .
 
Just fyi swallow, when the application went into the bank, I was told the average turnaround time was 6 to 11 days. The actual turnaround was 14 days. And the broker was of the opinion that it was a 'straightforward' application as applications go.
 
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