Remortgaging/moving - talk me through it...
Discussion
I'd appreciate the help of the PH collective... I'm at the point where I can now remortgage or possibly move home and it's the first time I've done this so I'd like to make sure I don't do anything dumb!
I've had a few local estate agents round to value my current place and they all want to push the services of their in-house or affiliated mortgage advisor/broker; clearly they have a vested interested (which isn't a problem in and of itself) but I also have a couple of recommendations from friends but I'm not sure how to decide with whom to proceed. What criteria should I be considering? Am I over-thinking this part entirely and they're all much of a muchness?
I don't want to a) waste peoples' time or b) have hard searches appearing on my credit file too early on. I know I'm in a pretty good position from this respect (my Experian score is 999, no financial commitments such as loans/car finance etc) but as this is all new territory for me I'd really value some guidance from those who know more than I do.
Option one is to remortgage and stay where I am (1-bed flat). Based on the valuations I've had so far my existing LTV is around 69% and remortaging should be pretty straightforward. Whilst staying where I am isn't really my preferred option, it is the cheapest and most sensible. I'd probably fix for 2 years at least to come out the other side of the Brexit point in 2019 and continue paying down capital over that period. It's possible I would continue to have the desire to move up so I wouldn't want to fix for too long though.
Option two is to move and initial indications are that I could borrow up to ~£200-210k which added to the equity in my place (assuming it sells for the approx estimated value) and modest savings would mean I could look at moving out of my flat and into a 2/3-bed house. It would mean being able to have things I don't at the moment - garden, driveway, garage, shed, patio for BBQs etc and whilst it would be a big financial commitment but it's do-able. If I were to move I'd probably fix for 5 years so I'd know exactly where I was at for the next few years.
Will getting an agreement in principle via a mortgage broker involve hard searches on credit files? If so I'd want to minimise this as loads of searches in short period of time will hammer the file. If it involves a soft search then this would allow me to shop around a bit, and only follow up with a 'hard' search once I'd found a property I wanted to put in an offer on?
One of the EAs fed me spiel about being able to "get the cheapest deals which aren't available anywhere else" - it may be true but it may also be sales b
ks...
Advice gratefully received!
I've had a few local estate agents round to value my current place and they all want to push the services of their in-house or affiliated mortgage advisor/broker; clearly they have a vested interested (which isn't a problem in and of itself) but I also have a couple of recommendations from friends but I'm not sure how to decide with whom to proceed. What criteria should I be considering? Am I over-thinking this part entirely and they're all much of a muchness?
I don't want to a) waste peoples' time or b) have hard searches appearing on my credit file too early on. I know I'm in a pretty good position from this respect (my Experian score is 999, no financial commitments such as loans/car finance etc) but as this is all new territory for me I'd really value some guidance from those who know more than I do.
Option one is to remortgage and stay where I am (1-bed flat). Based on the valuations I've had so far my existing LTV is around 69% and remortaging should be pretty straightforward. Whilst staying where I am isn't really my preferred option, it is the cheapest and most sensible. I'd probably fix for 2 years at least to come out the other side of the Brexit point in 2019 and continue paying down capital over that period. It's possible I would continue to have the desire to move up so I wouldn't want to fix for too long though.
Option two is to move and initial indications are that I could borrow up to ~£200-210k which added to the equity in my place (assuming it sells for the approx estimated value) and modest savings would mean I could look at moving out of my flat and into a 2/3-bed house. It would mean being able to have things I don't at the moment - garden, driveway, garage, shed, patio for BBQs etc and whilst it would be a big financial commitment but it's do-able. If I were to move I'd probably fix for 5 years so I'd know exactly where I was at for the next few years.
Will getting an agreement in principle via a mortgage broker involve hard searches on credit files? If so I'd want to minimise this as loads of searches in short period of time will hammer the file. If it involves a soft search then this would allow me to shop around a bit, and only follow up with a 'hard' search once I'd found a property I wanted to put in an offer on?
One of the EAs fed me spiel about being able to "get the cheapest deals which aren't available anywhere else" - it may be true but it may also be sales b
ks...Advice gratefully received!
If you can afford it and those are all things you want, then I'd move to a house. But then I've never lived in a flat and have never seen the appeal.
I'd suggest a friend's recommendation is best when it comes to the Mortgage Broker. As you've realised, the EA is targeted to get you in to see their mortgage bod so it's not an unbiased recommendation.
On the flipside, Mrs PB and I met as EAs and used the in-house guy for our first 3 purchases and Countrywide's for our 4th. So, I'm not saying they're bad, I'd just go with a friend's unbiased recommendation if I had the choice.
I'd suggest a friend's recommendation is best when it comes to the Mortgage Broker. As you've realised, the EA is targeted to get you in to see their mortgage bod so it's not an unbiased recommendation.
On the flipside, Mrs PB and I met as EAs and used the in-house guy for our first 3 purchases and Countrywide's for our 4th. So, I'm not saying they're bad, I'd just go with a friend's unbiased recommendation if I had the choice.
The flat was my first property, I was fortunate to get on the ladder. It has its pros and cons and I'm quite lucky in that I have no adjoining flats on any side and no-one above me either. As it's only a 1-bed I'd like somewhere I can have mum or friends to stay which doesn't involve putting an airbed in the front room...
Funk said:
I'd appreciate the help of the PH collective... I'm at the point where I can now remortgage or possibly move home and it's the first time I've done this so I'd like to make sure I don't do anything dumb!
I've had a few local estate agents round to value my current place and they all want to push the services of their in-house or affiliated mortgage advisor/broker; clearly they have a vested interested (which isn't a problem in and of itself) but I also have a couple of recommendations from friends but I'm not sure how to decide with whom to proceed. What criteria should I be considering? Am I over-thinking this part entirely and they're all much of a muchness?
I don't want to a) waste peoples' time or b) have hard searches appearing on my credit file too early on. I know I'm in a pretty good position from this respect (my Experian score is 999, no financial commitments such as loans/car finance etc) but as this is all new territory for me I'd really value some guidance from those who know more than I do.
Option one is to remortgage and stay where I am (1-bed flat). Based on the valuations I've had so far my existing LTV is around 69% and remortaging should be pretty straightforward. Whilst staying where I am isn't really my preferred option, it is the cheapest and most sensible. I'd probably fix for 2 years at least to come out the other side of the Brexit point in 2019 and continue paying down capital over that period. It's possible I would continue to have the desire to move up so I wouldn't want to fix for too long though.
Option two is to move and initial indications are that I could borrow up to ~£200-210k which added to the equity in my place (assuming it sells for the approx estimated value) and modest savings would mean I could look at moving out of my flat and into a 2/3-bed house. It would mean being able to have things I don't at the moment - garden, driveway, garage, shed, patio for BBQs etc and whilst it would be a big financial commitment but it's do-able. If I were to move I'd probably fix for 5 years so I'd know exactly where I was at for the next few years.
Will getting an agreement in principle via a mortgage broker involve hard searches on credit files? If so I'd want to minimise this as loads of searches in short period of time will hammer the file. If it involves a soft search then this would allow me to shop around a bit, and only follow up with a 'hard' search once I'd found a property I wanted to put in an offer on?
One of the EAs fed me spiel about being able to "get the cheapest deals which aren't available anywhere else" - it may be true but it may also be sales bks...
Advice gratefully received!
I'm a Broker I've had a few local estate agents round to value my current place and they all want to push the services of their in-house or affiliated mortgage advisor/broker; clearly they have a vested interested (which isn't a problem in and of itself) but I also have a couple of recommendations from friends but I'm not sure how to decide with whom to proceed. What criteria should I be considering? Am I over-thinking this part entirely and they're all much of a muchness?
I don't want to a) waste peoples' time or b) have hard searches appearing on my credit file too early on. I know I'm in a pretty good position from this respect (my Experian score is 999, no financial commitments such as loans/car finance etc) but as this is all new territory for me I'd really value some guidance from those who know more than I do.
Option one is to remortgage and stay where I am (1-bed flat). Based on the valuations I've had so far my existing LTV is around 69% and remortaging should be pretty straightforward. Whilst staying where I am isn't really my preferred option, it is the cheapest and most sensible. I'd probably fix for 2 years at least to come out the other side of the Brexit point in 2019 and continue paying down capital over that period. It's possible I would continue to have the desire to move up so I wouldn't want to fix for too long though.
Option two is to move and initial indications are that I could borrow up to ~£200-210k which added to the equity in my place (assuming it sells for the approx estimated value) and modest savings would mean I could look at moving out of my flat and into a 2/3-bed house. It would mean being able to have things I don't at the moment - garden, driveway, garage, shed, patio for BBQs etc and whilst it would be a big financial commitment but it's do-able. If I were to move I'd probably fix for 5 years so I'd know exactly where I was at for the next few years.
Will getting an agreement in principle via a mortgage broker involve hard searches on credit files? If so I'd want to minimise this as loads of searches in short period of time will hammer the file. If it involves a soft search then this would allow me to shop around a bit, and only follow up with a 'hard' search once I'd found a property I wanted to put in an offer on?
One of the EAs fed me spiel about being able to "get the cheapest deals which aren't available anywhere else" - it may be true but it may also be sales b
ks...Advice gratefully received!
To answer your questions in order;
- Use any mortgage person other than the one "recommended" by the Estate Agent. They will be in league with each other.....it's a huge transactions, therefore make sure anyone providing you with advice (Solicitors especially) are impartial to the transaction. Remember, the Estate Agent is working for the vendor, not you.
- Speak to friends and others for a recommendation. However, as with all Professional's and trades etc......their services, ability, knowledge and experience will vary hugely. A cheap one doesn't mean they are good and vice versa. Also, depending on their status, they will have varying products available to them, we have access to HSBC and Atom Bank's products, but lots of brokers don't.
- Anyone telling you to get an AIP that will leave a hard footprint on your file, is giving you poor advice. Anyone telling you to do it as its only a soft search, is also giving you poor advice. With a 999 score, you do not need to be concerned about passing a credit score, so an AIP is a waste of everybody's time at this point.
- Naturally, no one cal tell you if it's better for you to remortgage or move house, thats a decision you need to come to.
- Lastly, assume everything the Estate Agent is a lie or has an agenda attached to it
Good luck!
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