What is a Mortgage in Principle – and Why It Matters?
- Brian Swint
- Jan 9
- 5 min read
If you’re starting to think seriously about buying a home, you’ve probably come across the term Mortgage in Principle.
Sometimes it’s called an Agreement in Principle or a Decision in Principle – but don’t worry, they all mean the same thing.
So, what actually is it, how does it work, and why does it matter when you’re buying your first home or moving to your next one?
What Is a Mortgage in Principle?
A Mortgage in Principle is a statement from a lender confirming, based on what they know about you so far, “we’d be happy to lend you up to £X.”
It’s not a full mortgage offer or a guaranteed rate – that part comes later – but it’s one of the most useful early steps in the home-buying process.
Your Mortgage in Principle is based on:
Your income and outgoings
The size of your deposit
Your credit record and any financial commitments
It’s a quick way to understand what you can afford. And if you speak to an independent mortgage broker like Delta Mortgages, we’ll check your details, search the whole market (over 100 lenders and 14,000+ products), and help you secure a Mortgage in Principle quickly and confidently.
Why You Should Get a Mortgage in Principle Before You Start House Hunting
Before you fall in love with that dream home on Rightmove, it’s worth taking a moment to get your finances lined up.
A Mortgage in Principle doesn’t just tell you what you might be able to borrow — it gives you a clear, confident starting point. It helps you focus your search, puts you in a stronger position with estate agents, and takes a lot of the uncertainty out of what can otherwise feel like a guessing game.
Here’s why it’s well worth getting one sorted before you start booking viewings.
1. It Helps You Set a Realistic Budget
Getting your Mortgage in Principle helps you work out what kind of homes are within reach.
Your total buying budget will usually include:
Your deposit
Your potential mortgage amount
Additional costs such as surveys, solicitors, removals, and Stamp Duty (if applicable)
Knowing your borrowing limit keeps things focused – whether you’re searching in Poole, Bournemouth, or anywhere across Dorset and Hampshire.
It’s not about dampening excitement; it’s about saving time, energy, and the heartbreak of falling for a home that’s outside your realistic price range.
2. It Proves You’re a Serious Buyer
Having a Decision in Principle shows estate agents and sellers that you’re not just casually browsing Rightmove for fun (we’ve all been there).
It says, “I’m mortgage-ready.” That confidence can make a big difference when offers start flying, especially if you’re a first-time buyer or buying in a competitive area.
You can still view homes without one, of course, but a Mortgage in Principle helps you stand out as a prepared and trustworthy buyer.
3. It Speeds Up the Mortgage Application Process
Once you’ve found the property, your lender already has most of the key details from your Agreement in Principle. That means less admin, fewer surprises, and a quicker turnaround from offer to full approval.
Does Getting a Mortgage in Principle Affect Your Credit Score?
In most cases, no. Most lenders use a soft credit check, which won’t affect your credit score or leave a visible mark on your report.
A few lenders may run a hard credit check, which can appear on your record for a short time – but don’t worry, we’ll always let you know before that happens.
💡Pro Tip: Too many checks in a short space of time can look like multiple applications for credit, so it’s always best to go through a mortgage broker who knows which lenders use which method.
How Long Does a Mortgage in Principle Last?
Most Mortgages in Principle last for 60 to 90 days (around three months).
If it expires before you find your new home, renewing it is quick and easy – we’ll handle that for you.
And if your circumstances change (for example, your income, credit, or deposit amount), we’ll update your details and recheck your borrowing limit.
Are You Tied to That Lender Once You Get a Mortgage in Principle?
Not at all. Think of a Mortgage in Principle as a friendly “thumbs-up” rather than a handshake deal.
You’re not tied to the lender, the product, or the rate. You’re completely free to shop around – and that’s exactly what an independent, whole-of-market mortgage broker like Delta Mortgages does best.
We’ll compare all your options, check for exclusive broker-only deals, and make sure you get the most competitive rate for your circumstances.
Should You Get Your Mortgage in Principle from a Bank or a Broker?
You can go straight to your bank, but remember – they can only show you their own products.
A mortgage broker searches the entire market to find what’s genuinely right for you.
At Delta Mortgages, we:
Compare over 100 lenders and 14,000 products
Secure your Mortgage in Principle fast (often within 24 hours)
Handle the paperwork and back-and-forth with lenders
Make sure your application fits your financial situation perfectly
So you can focus on the fun part – planning your move, rather than panicking over paperwork.
Looking for More Guidance from a Mortgage Broker?
If you’re taking your very first step onto the property ladder, our First-Time Buyer Mortgages guide breaks everything down – from deposits and rates to government schemes that could make buying your first home easier.
Or, if you’re already a homeowner and planning your next move, our Moving Home Mortgages page covers everything you need to know about porting, switching lenders, and keeping your mortgage journey smooth.
Speak to a Mortgage Broker About Getting a Mortgage in Principle
If you’re ready to take the next step, give me a call on 0303 0033 606 or drop me an email at brian.swint@deltamortgages.co.uk for a free, no-obligation chat.
Whether you’re a first-time buyer in Dorset, a family moving home in Hampshire, or working with a mortgage broker in Brighton, I’d love to hear about your plans and help you get everything moving smoothly.
Getting a Mortgage in Principle is quick, simple, and one of the most powerful ways to start your home-buying journey with confidence — and I’ll make sure you’ve got everything you need to get it sorted.
Quick Recap: Common Questions About Mortgages in Principle
Do I need a Mortgage in Principle to view properties?
Not always, but it definitely helps. Agents take you more seriously, and it can speed things up when you find “the one.”
Does it guarantee I’ll get that mortgage amount?
Not quite – it’s a strong indication, but your full mortgage offer depends on property details and final checks.
How much does it cost to get a Mortgage in Principle?
Nothing. It’s free, and part of our initial, no-obligation advice.
Can I get one if I’m self-employed or have bad credit?
Yes – we work with lenders who specialise in self-employed and complex income cases. We’ll help find the right fit for you.
Author:
Your property may be repossessed if you do not keep up repayments on your mortgage.
