Excellent mortgage advice - from Sarnie
Discussion
Just had the pleasure of appointing Liam (Sarnie on here) as mortgage broker for sorting out our remortgage. Excellent service from start to finish. Communication could not have been better.
Thoroughly recommended! If you are looking to take out a mortgage or remortgage - then contact him first!
Thoroughly recommended! If you are looking to take out a mortgage or remortgage - then contact him first!
NewNameNeeded said:
Genuine question as someone who has never used a mortgage broker. What benefit do they bring besides saving me talking to a few banks to discuss available rates?
I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Mine always gets me better rates than the banks offer, often gets me rebates in the form of cash deposited into my current account and negotiates things like break rates and terms that the banks flat out refused me.I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Plus I just make one phone call and they do the rest.
cheddar said:
NewNameNeeded said:
Genuine question as someone who has never used a mortgage broker. What benefit do they bring besides saving me talking to a few banks to discuss available rates?
I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Mine always gets me better rates than the banks offer, often gets me rebates in the form of cash deposited into my current account and negotiates things like break rates and terms that the banks flat out refused me.I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Plus I just make one phone call and they do the rest.
That's interesting. About 5 years ago I was buying my first BTL and as I'm a LTD company contractor, I was led to believe by other contractors that it would be easier to use a firm.of brokers who understood my situation and specialised in my situation.
And they did make out that it would be difficult but they could sort it.
Due to reasons difficult to explain, I had not drawn anywhere near what I could from my LTD company, so previous 3 years self assessment was a fiver less than £25k, and I was intending on upping this in future initial during the extra to pay the deposit.
And I'd had also had chosen to take 8 weeks off the previous Christmas, as i coukd afford to and was waiting for SC clearance to come through to start next contract.
They used smoke and mirrors and convinced me that it woukd make it really difficult. I got off the phone, and rang Virgin Money. After 5 mins on the phone it was clear none of this was an issue at all. They could write to accountant and ask him to confirm the maximum I could have taken in the previous 3 years if I'd wanted to.
The broker was quoting an interest rate that was slightly higher, but with extra fees, so over the next 5 years it would cost me £2k more.
When I bought a second home, I just went direct.
NewNameNeeded said:
Genuine question as someone who has never used a mortgage broker. What benefit do they bring besides saving me talking to a few banks to discuss available rates?
I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Why do people use any professional/trades person? I can understand if you needed something quirky, but with a good credit rating and a standard product ... any benefits?
Why use an Estate Agent when they could sell their own themselves? Why use a painter and decorator when you could wallpaper your own house? Etc etc...........
Experience, knowledge but one of the most important things that people lack these days...............is time.
I can paint my own house but I lack time, patience and I have a huge lack of ability. Some people are good at this stuff and will happily paint their own house at the weekend which is great!
Some people have simple circumstances and have the time, confidence, experience to sort their own mortgage. but the mortgage market is getting more and more complex each year, especially in 2020!!
What I would say is that not everyone is a powerfully built PH Company Director........ they need help
It might be country specific.
I don't quite know how the banks can offer say 2.99% yet a broker can negotiate with the same bank and get 2.68% and the bank has to pay them too.
It costs me nothing and during my last fix the broker got me $1500 paid by the bank into my current account.
I've just requested a five year fix due to current worldwide financial volatility, banks quoted 3.49%, the broker got me 2.89%.
I don't quite know how the banks can offer say 2.99% yet a broker can negotiate with the same bank and get 2.68% and the bank has to pay them too.
It costs me nothing and during my last fix the broker got me $1500 paid by the bank into my current account.
I've just requested a five year fix due to current worldwide financial volatility, banks quoted 3.49%, the broker got me 2.89%.
cheddar said:
Mine always gets me better rates than the banks offer, often gets me rebates in the form of cash deposited into my current account and negotiates things like break rates and terms that the banks flat out refused me.
Plus I just make one phone call and they do the rest.
I can only assume you aren't in the UK? Plus I just make one phone call and they do the rest.
Pit Pony said:
That's interesting. About 5 years ago I was buying my first BTL and as I'm a LTD company contractor, I was led to believe by other contractors that it would be easier to use a firm.of brokers who understood my situation and specialised in my situation.
And they did make out that it would be difficult but they could sort it.
Due to reasons difficult to explain, I had not drawn anywhere near what I could from my LTD company, so previous 3 years self assessment was a fiver less than £25k, and I was intending on upping this in future initial during the extra to pay the deposit.
And I'd had also had chosen to take 8 weeks off the previous Christmas, as i coukd afford to and was waiting for SC clearance to come through to start next contract.
They used smoke and mirrors and convinced me that it woukd make it really difficult. I got off the phone, and rang Virgin Money. After 5 mins on the phone it was clear none of this was an issue at all. They could write to accountant and ask him to confirm the maximum I could have taken in the previous 3 years if I'd wanted to.
The broker was quoting an interest rate that was slightly higher, but with extra fees, so over the next 5 years it would cost me £2k more.
When I bought a second home, I just went direct.
All they know is what lenders will lend against a Day Rate Contract which ANY mortgage broker worth their salt would know. It's not complex you just need to know what you are doing and what parts of the market will accept this application. They just give you the doom and gloom at the start to be able to try and justify their extortionate fees.....I saw one this week charging £1,495!!
I have dozens and dozens of PH Day Rate Contractor clients.....their mortgages are treated no different to any other mortgage
NewNameNeeded said:
Thanks. It feels like I've touched a raw nerve with your reply but it was asked with genuine interest as opposed to dismissing your profession.
Absolutely no raw nerve touched at all, honestly not..........it is what it is........some people prefer to do stuff themselves, other people prefer pass it onto other.......no right or wrong 
In my case, I got in touch with Sarnie, because my current lender (Scottish Widows) refused to deal with me direct. Despite being a customer of 25 odd years, never having missed a payment etc etc. This is their policy (having to go through a broker), and it is becoming more and more common with traditional lenders.
In the end I got a better rate through Sarnie than sticking with Scottish Widows, and he did all the work for a very reasonable fee.
I have never used a broker before, but I'm converted.
In the end I got a better rate through Sarnie than sticking with Scottish Widows, and he did all the work for a very reasonable fee.
I have never used a broker before, but I'm converted.
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