I’m Charles Calvert, a mortgage broker at Easy Mortgages. This is general information, not personal advice. Always check the figures against your own situation before you decide anything.
Estate agents in Fareham, Portsmouth and across Hampshire often ask for a mortgage in principle before they take an offer seriously. If you are starting to view homes, it helps to know what that document is — and what it is not.
Bank Rate has been rising through 2022 and new fixed deals have been adjusting with it, so it pays to sense-check affordability carefully before you offer.
MIP, DIP or AIP?
You will hear mortgage in principle (MIP), decision in principle (DIP) and agreement in principle (AIP). Brokers and lenders use the labels slightly differently, but they mean broadly the same thing: someone has looked at key facts about your income, outgoings and deposit and indicated you may borrow up to a stated amount, subject to full underwriting and a satisfactory property. It is not a full mortgage offer and it does not guarantee the purchase will complete.
Soft search vs hard search
Many principles start with a soft credit search that does not leave the same visible footprint for other lenders as a full application. A full mortgage application usually involves a hard search. Ask which type is being run so you are not surprised later, especially if you are comparing more than one route.
Why Hampshire agents ask for one
Sellers want buyers who can proceed. A MIP shows you have spoken to a lender or broker about affordability and that your plans are grounded in numbers, not wishful thinking. In busier Fareham or Portsmouth streets — or when a well-priced home appears in Gosport or Whiteley — being ready with a principle can help your offer be taken seriously alongside other buyers.
What a MIP does not guarantee
A principle is based on the information you provide at the time. Full underwriting still checks payslips or accounts, bank statements, credit detail, the property valuation and sometimes employer references. Income changes, new debts, an undisclosed commitment or a valuation shortfall can change the outcome. Treat the MIP as a planning tool and a signal to agents, not a promise.
How long it lasts — and why that matters when rates move
Most principles are valid for a limited period — often around 30 to 90 days depending on the lender. If your property search takes longer, you may need a fresh one. When Bank Rate and swap markets are moving, the rate attached to a principle can also change or products can be withdrawn. An old principle should not be treated as a locked personal quote forever.
How to prepare for a cleaner MIP
- Gather recent payslips or self-employed tax documents.
- List loans, cards, car finance and other monthly commitments honestly.
- Know your deposit amount and where it is held.
- Avoid new credit applications in the weeks before you apply.
- Be ready to explain any credit blips calmly and with dates.
Fees and next steps
Requesting a mortgage in principle through Easy Mortgages starts with a conversation. There is no fee for that initial chat. If you later proceed to a full purchase application that we arrange, my fee is £495 once you receive a full mortgage offer.
If you are ready to start viewing in Hampshire and need a mortgage in principle, use the contact form and we can put one together based on your income, deposit and outgoings.
If you would like to talk this through for your own numbers, you can get in touch here or email contact@easy-mortgages.co.uk. I am based in Fareham and help clients across Hampshire.
MIP versus a full mortgage offer
A full mortgage offer only appears after the lender has underwritten your income and credit in detail and valued the property. Until then, anything can still change. That is why solicitors will not usually exchange contracts on the strength of a principle alone. Use the MIP to view and negotiate with confidence, then move promptly to a full application once an offer is accepted so the valuation and paperwork can begin.
If your circumstances change between the principle and the full application — a new car on finance, a job switch, or a large unexplained bank deposit — tell your broker early. Surprises found by underwriters delay offers more than honest updates do.
Joint applications and guarantors
Joint MIPs need both incomes and both credit pictures. If one applicant has thinner credit history, the lender still sees both files. Guarantor or family-assist products are a different structure again and are not something you should assume from a standard principle. Ask if your case needs a specialist route before you rely on a headline borrowing figure with an agent.