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  • FIRST POST
    • User1312
    • By User1312 30th May 17, 11:17 AM
    • 86Posts
    • 18Thanks
    User1312
    Should I be getting a second opinion on what my broker advises?
    • #1
    • 30th May 17, 11:17 AM
    Should I be getting a second opinion on what my broker advises? 30th May 17 at 11:17 AM
    We're about to apply for our first mortgage. It's a joint application, where one of us is self employed and counts as a 'sole trader'.

    Our 'whole of market' broker has recommended Halifax, a 2 year fixed rate at 2.69%, 35 year term. He says Halifax are flexible, and are a preferred lender for self employed people. We already have our DIP from Halifax for this property.

    I sent the mortgage illustration across to a family friend who works in finance (but not mortgages specifically) and she seems to think we can get a much better fixed rate (1.69%ish) and to ask the opinion of another broker.

    My concerns with this are:
    - It could delay the purchase (although it is chain-free)
    - Another DIP would affect our credit score
    - We've already paid £150 to this broker, and would not really like to pay much more for a second opinion
    - Another lender may not be so flexible with our accounts / situation

    Are there better rates out there for an application where someone is self-employed? Or is Halifax our best and easiest option?

    Thank you
Page 2
    • User1312
    • By User1312 13th Jun 17, 1:02 PM
    • 86 Posts
    • 18 Thanks
    User1312
    I just wanted to update this thread in case anyone comes across it later on.

    We ended up going with Broker no2 who could offer the better rate; it wasn't as low as he initially suggested (he initially thought we could get a 1.69% rate, we ended up on a 2.19%) but it was still lower than the best broker no1 could do, and came with cashback.

    When I asked Broker no1 why we weren't offered that product with that lender; he said he wouldn't advise changing now as it could affect our credit score and that lender won't be as lenient, but also said "we can go for it if you want, let me know".

    We decided to take the 'risk' with the new broker + lender, and have just been told we've passed credit and affordability checks - just waiting for the valuation now before the offer.

    Quite disappointed that Broker no1 (whom we paid!) ultimately didn't 'advise' us either way - just said if you want to go with a better rate/product then fine we will, without giving us strong reasons why. I feel much more comfortable with my fee-free Broker no2, and wish I'd found him earlier!!
    • ACG
    • By ACG 13th Jun 17, 1:32 PM
    • 15,779 Posts
    • 8,072 Thanks
    ACG
    Nice one.
    It does read like broker one was negative and lazy. Nobody needs that in their life.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
    • Edi81
    • By Edi81 13th Jun 17, 6:21 PM
    • 312 Posts
    • 190 Thanks
    Edi81
    Ties in with why acg and the other brokers on here always say that payment to brokers should be on getting an offer.
    • User1312
    • By User1312 14th Jun 17, 10:36 AM
    • 86 Posts
    • 18 Thanks
    User1312
    Hi Edi, I agree although this particular company was recommended to us and we paid half at the beginning and were due to pay remainder upon offer - which obviously did not happen!
    • note3
    • By note3 14th Jun 17, 11:15 AM
    • 288 Posts
    • 411 Thanks
    note3
    I've found this an interesting (and worrying read). We checked with our broker that they were whole of market before going with them, however I now see this still doesn't necessarily mean whole of market. How on earth would you know for sure???
    • kingstreet
    • By kingstreet 14th Jun 17, 11:34 AM
    • 32,219 Posts
    • 17,254 Thanks
    kingstreet
    We issue a list of lenders with our terms of business.

    Don't know what others do...
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
    • ACG
    • By ACG 14th Jun 17, 12:45 PM
    • 15,779 Posts
    • 8,072 Thanks
    ACG
    We issue a list of lenders with our terms of business.

    Don't know what others do...
    Originally posted by kingstreet
    Our terms of business is probably more or less identical to yours. On there it says a list can be provided on request, I have only had one person request it.

    Whole of Market can be a little vague, I believe you can get away with being whole of market with around 10-15 lenders where as we are whole of market with over 40 lenders, maybe 50.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
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