AWD Anyone

lindz_3

Hey there everyone. This is my first post on here so please be gentle.

I am now in a position to remortgage my house. We currently owe 70,000 and the house is valued between £100-120,000. I have been approached by AWD Home finance and they are currently looking into the best morgage for me. But they charge up to 1.95% of the morgage amount as fee's. (I think this is too high!)Then ontop of this I will have other fees such as solicitors etc......

Has anyone heard of this company? Are they any good?

Lindz
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herbiesjp

Firstly have you been cold called by this company? There are now strict rules about companies calling like this.

Secondly you can probably save yourself all these fees by going via brokers/advisers who do not charge fees.

lindz_3

yes.......I was cold called.......what are the rules?????????

Ian_W

Don't know what the rules are, mate, but don't touch em with a bargepole!!

On top of what they're proposing to charge you [up to £1365 for your current £70k] they will receive a fee from the lender. Many brokers will do the same work and arrange a remortgage for you just for the lenders fee. Better still, do your own research first and find out what you can get for yourself then approach a no fees broker and see if they can come up with a better deal [some deals are exclusive to brokers but there again some lenders only deal direct, not through brokers].

You can start by reading Martin's remortgage guide HERE. Then put your own figures through the moneynet, moneyfacts, moneysupermarket links on the mortgage section of the site. Then contact a no fee broker like L&C [also linked to this site], or PM herbies, Fairdo, mortgagegenie or one of the other very helpful brokers who post on these forums.

If you have debt problems, insufficient earnings, are self-employed or have other problematical circumstances using a broker is best and may involve paying a fee to them for the work and their expertise, if none of these apply they should do it for the fee they earn from the lender IMHO.

Using a firm who will charge you over a grand for a simple remortgage isn't money saving, it's money down the drain!!

BoL.

lindz_3

Thank you for your advice. We are in an excellent position financially and even the broker said we had got a very high credit rating and that I could choose the cream of mortgages...I found that ontop of this absurd brokers fee, the price quoted for the insurance was ridiculous despite us having more than adequate policies already! Having looked into this some more I can now see how ridiculous this option is and I plan to phone the broker tomorow to say thanx but no thanx.

I have to say a massive thank you to this site and the users of the chat room for allowing good and honest advice to be available for "normal!" folk like us!

My next question is where do I go now! £100 k mortgage house valued £120 and £70 balance outstanding........( extra money for home repairs/renovation)

I keep running into the issue of fees. When you remortgage is a solicitor a normal part of this process or is this just for certain types of loans??.....and do you HAVE to pay set up fees?????

Thanx in anticipation....

Lindz
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lindz_3

BTW have now read martins helpful guide.................thank you again for making thia available

Lindz
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Ian_W

To get the best rates there are almost always fees charged by the lenders as the interest rates are very keen and don't provide too much profit for the admin & marketing of these schemes.

Solicitors [or licensed conveyencers] have to be used on a remortgage as you're replacing one legal charge on your property with another, and lenders insist they do the paperwork and protect their [and your] interest. A lot of schemes include free legals and basic valuation for remortgages - another reason for fees.

What you need to do is decide, depending on your attitude to risk and affordability, whether you want fixed or variable. Then depending on your circs how long you want a deal to last, most have penalties during the fixed/discount period, so if you're likely to move house or have kids etc take that into account. Once you've decided those factors you can start looking for the best deals that suit you.

bingo_2

There is absolutely no need to pay a fee for mortgage advice when there are hundreds of brokers out there who will work on the procuartion fee alone.
Herbiesjp (above) is bang on.
Google is a wonderful tool, and you will have lots of free mortgage brokers to choose from who will offer free mortgage advice, simply by entering a few search terms to narrow the field down a bit.
Some mortgage brokers are still getting away with charging fees - totally unwarranted, unless there is a lot of extra "time consuming" work to do.
The internet will eventually put them out of business as borrowers become more savvy.

There is no such thing as "the best mortgage for me" (when proposed by someone else)
Only you can decide which is the best, after being presentd with several options from lenders willing to lend to you.
A fee free mortgage broker will be able to narrow down your choices (from High St or reputable lenders) and then let you pick them to bits to sort out the one you feel most comfortable with.
The best advice I can give you is to use the internet and not your wallet.