Two loan application at same time

I am a bit confused and Need some advice here !!

so i want to go with a certain financial institute (not a bank) they also source the funds from conventional banks but with them i am not sure if they will evaluate my property upto the price or not ...
the conventional bank they have evaluated my property to correct price ...but i want to give first institute a chance

so i am not sure if i launch/apply my loan application to both at same time, would that be a problem of any sort like my credit history etc coz i will not be accepting one of them !!

 

do you mean 'value'. Why not get the valuation done before applying?

 

Why?

so, why?

again, why?

Once more, why?

What does your mortgage broker say?

 

Have you engaged a mortgage broker or you are applying the loans yourself ?
A good mortgage broker would evaluate your situation and clarify all your doubts, at the same time work out your serviceability and advise on your success rate with the various lenders.
The lenders are constantly coming up with new competitive tools to attract clients. Layman borrowers would be overwhelmed, thus do let the professional sort these out and shortlist for you.

 

Yes sorry valuation is correct word and the first institute will only valuate property after loan application is submitted...

 

The reason to go with first financial institute is religious obligation , so i prefer to go with them.. and the problem is they will valuate my property only after loan application is submitted ...
and i dont have a broker yet

 

I dont have a broker but i have spoken to few and the first institute (religious one) no broker deals with them ... so i am kinda stuck with doing everything on my own

 

I can understand your predicament about considering the first institute. However, mortgage is a big financial commitment , and a long term one. Do not feel obliged unless you are getting an equally good or better deal.

 

Thats why i wanted to apply in 2 places at same time but not sure the impacts on my credit rating etc and if one of the application can impact other?

 

Anyone ? Who has been through similar situation where he have to apply loan from 2 different banks and then selected one ?

 

Why don't you just go with the first bank you want to go with, if the other bank has valued the property correctly it's highly likely that the first bank will as well.
Just apply with the bank you want to apply with, it's not worth having two applications in at the same time.
It can be done, but it's a waste of time in most cases.

 

No impact on the credit rating or history?
Also one of the reason i want to go with 2 banks at same time is one of the traditional bank has under valued like 40k$ less while the other traditional bank has valued it correctly. I am worried that if my first choice (religious institute) also under value the property i might not have enough time left (settlement period) to go with 2nd bank ... so just trying to play safe

 

what does religion have to do with it?

 

Yes there will be an impact, you'll have two credit inquiries on your file instead of one but unless you have a reallly low credit score already it's not going to stop you getting the loan (assuming borrowing capacity etc is all ok)
Stop wasting time and apply with the religious institute already! You're assuming the valuation will come in low, when it might not even be an issue. If you're seriously concerned, go with the lender that has already valued the place correctly (this is the safest option) - it's a choice YOU need to make.

 

Some of the religious institutes loans don't have 'interest' (the may call it something else) because it's against the specific religion, (think Islam?) that would be the benefit if I'm understanding correctly, if this is not the case then there would be no benefit going with them over a traditional lender IMO If it's for ethical reasons well there are a number of ethical lender options.

 

There are Islamic style loans without interest, but if the op has already applied with a lender that charges interest he can't be too concerned with that. It also be less of a conern if you are paying the interest rather than charging it.

 

I havent applied yet , i am tight on timelines and not sure about the valuation (as one of the traditional banks which i just had valuation with came back with 40000$ less , which is for me impossible to put in at this time) so i am concerned if same valuation comes from religious bank(gonna take approx 2-3 weeks to valuate and it will be only done as part of loan application (cannot be done before or separately) i am in trouble coz there will be no or little time left for me to go to traditional banks and get my loan approved unconditionally...

interest rates are not a problem for me...

 

the longer you leave it the less time you have!

 

Actually i think its funny coz its gets more complicated here , so the religious bank is asking for signed land and build contract (architect drawings as well) in single application to valuate , which is going to take possibly 2-3 weeks ... so thats y it gives me shorter time period... now my idea was (if it doesnt hurt my credit ratings etc) once my building plan and contract is ready i apply both banks , so the application can be processed in parallel and the decision of selecting either of them can be approx at same time not one after the other....

 

This whole thread is confusing now, you mentioned you already had valuations completed but you don't have land and build contract yet so how could that be possible?
I suggest you use the services of a mortgage broker asap, get some credit advice.