Mortgage Advisors/Brokers and their "Fee's"
Discussion
Advisor B ONLY gets paid if your mortgage completes.
If you change your mind, the vendor changes their mind, there are issues with the property or the lender unearths something they do not like within your details then there will be no mortgage completion and Advisor B gets paid nothing despite having probably spent a significant amount of time with you and your application.
As long as both are being fair, honest and upfront, go with who you feel knows what they are doing and will get the job done for you. Paying a fee doesn't guarantee you'll get the mortgage and conversely assuming that both will achieve the same end result therefore it's not worth paying Advisor A his fee, isn't correct either. Your goal is the end result, go with who you think will achieve this for you.
Personally, the last advisor I would use would be an Estate Agency advisor....all sorts of conflicts of interest there....
PS: hope this thread isn't about me
If you change your mind, the vendor changes their mind, there are issues with the property or the lender unearths something they do not like within your details then there will be no mortgage completion and Advisor B gets paid nothing despite having probably spent a significant amount of time with you and your application.
As long as both are being fair, honest and upfront, go with who you feel knows what they are doing and will get the job done for you. Paying a fee doesn't guarantee you'll get the mortgage and conversely assuming that both will achieve the same end result therefore it's not worth paying Advisor A his fee, isn't correct either. Your goal is the end result, go with who you think will achieve this for you.
Personally, the last advisor I would use would be an Estate Agency advisor....all sorts of conflicts of interest there....
PS: hope this thread isn't about me
I bought a bolt hole recently, and pondered the options. The vendors estate agent offered me a service (rubbish), so I did my own research. Although not the cheapest in terms of cost, there wasn't much in it so I went with my bank because it was simpler and I was able to do the deal for practically no fee. Cost is vital, but so too is service, effectiveness, quality and value for money.
Sarnie, I'm sure I'll be in touch for the next one!
Sarnie, I'm sure I'll be in touch for the next one!
Having had the pleasure of meeting and speaking to probably 5/6 brokers in the last year, the service level is night and day between a good broker and a bad one.
The worst experience i had was from the in house broker at reeds rains. Shocking. Was basically a 20 odd year old in a shiny suit armed with a piece of software. He lobbed in my info and then proceeded to give me a "computer says no" outlook. He seemed to have little to no knowledge about buy to let, specialist lenders, options for ltd companies, hmo financing etc etc.
However, there are good ones who will be extremely knowledgable and will have contacts who they can go to in specialist situations.
I have found a couple of good brokers, one i met through networking and i've also spoke with sarnie who has been extremely helpful and clearly knows his stuff!
I would be more than happy to pay the fees of a good broker who has done the legwork and spent time advising you on your own circumstances.
The worst experience i had was from the in house broker at reeds rains. Shocking. Was basically a 20 odd year old in a shiny suit armed with a piece of software. He lobbed in my info and then proceeded to give me a "computer says no" outlook. He seemed to have little to no knowledge about buy to let, specialist lenders, options for ltd companies, hmo financing etc etc.
However, there are good ones who will be extremely knowledgable and will have contacts who they can go to in specialist situations.
I have found a couple of good brokers, one i met through networking and i've also spoke with sarnie who has been extremely helpful and clearly knows his stuff!
I would be more than happy to pay the fees of a good broker who has done the legwork and spent time advising you on your own circumstances.
Given the length of time that Sarnie had to deal with my constant questions, indecision on properties, and then dealing with Natwest and all their shoddyness I was more than happy to pay him his fee in exchange for his excellent services.
Only 4 years until my fixed rate ends Liam, but I'm sure you've got that written down in a little book
Only 4 years until my fixed rate ends Liam, but I'm sure you've got that written down in a little book
Willeh85 said:
Given the length of time that Sarnie had to deal with my constant questions, indecision on properties, and then dealing with Natwest and all their shoddyness I was more than happy to pay him his fee in exchange for his excellent services.
Only 4 years until my fixed rate ends Liam, but I'm sure you've got that written down in a little book
It's in there, don't worry Only 4 years until my fixed rate ends Liam, but I'm sure you've got that written down in a little book
On a related matter - and I don't mean to ask an impertinent question here - but I actually winder to myself how mortgage brokers who DON'T charge a fee ever make money. They get a "proc fee" from the lender of about 0.3-0.4% so on a £200,000 mortgage they'll get no more than about £800. When you consider all the ball-ache that goes into some mortgages - many of which end up going nowhere - I don't see how they can do enough to pay the bills. Clearly they are but I'm just missing the business model. Is it in the ancillary sales of protection and the like?
I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
In any case, you clearly do make it work and fair play to you.
I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
In any case, you clearly do make it work and fair play to you.
Aquarius909 said:
On a related matter - and I don't mean to ask an impertinent question here - but I actually winder to myself how mortgage brokers who DON'T charge a fee ever make money. They get a "proc fee" from the lender of about 0.3-0.4% so on a £200,000 mortgage they'll get no more than about £800. When you consider all the ball-ache that goes into some mortgages - many of which end up going nowhere - I don't see how they can do enough to pay the bills. Clearly they are but I'm just missing the business model. Is it in the ancillary sales of protection and the like?
I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
Indeed. And the net figure is much closer to 0.3% these days, although I remember the 2% subprime self-cert days!!I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
Sarnie said:
Aquarius909 said:
On a related matter - and I don't mean to ask an impertinent question here - but I actually winder to myself how mortgage brokers who DON'T charge a fee ever make money. They get a "proc fee" from the lender of about 0.3-0.4% so on a £200,000 mortgage they'll get no more than about £800. When you consider all the ball-ache that goes into some mortgages - many of which end up going nowhere - I don't see how they can do enough to pay the bills. Clearly they are but I'm just missing the business model. Is it in the ancillary sales of protection and the like?
I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
Indeed. And the net figure is much closer to 0.3% these days, although I remember the 2% subprime self-cert days!!I don't mean to be impertinent but @Sarnie if you would like to comment I'd be curious to know.
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