Any mortgage brokers online

koexelek

minimike2 wrote: »

The number of people who DIY thier mortgage who have an unsuitable product is alarming, purely because they have failed to consider the consequences of being a "rate chaser" and being sucked in by a lenders "headline" rate.

This is the main reasons a lot of lenders would like to see the likes of you and I go out of business.
We have the skills to cut through the red tape and see past the smoke and mirrors. The lenders want the public to believe their hype

arkie

Martin... BAD ADVICE..., remember people take your word as gospel you should be very careful what you say or if you want to say/advise it ... get authorised to do mortgages !!!.
Think of all the people who took your advice from numerous TV appearances and fixed their mortgage and now are paying over the odds and possibly putting their house at risk !!!! think about the people who fixed their gas and now they are over paying.... think all of the people who have chased the banks for refund of charges ( end of free banking) come on Martin get fully regulated so you can sput your money where your mouth is like all us brokers do everyday of the week !!!!

arkie

"In the how to find out section, my aim is to point people to brokers to get a calculation done if switching & saving is possible. I presume my phrasing on most reputable brokers do this for free is fair? "... no we wont do you work for nothing !!!!!,

dunstonh

I think there is a compliance risk here. Fixed rates may now cost a bit more but they give certainty. Whilst trackers are lower now, there is no guarantee they will be in 18months time, let alone 2-3-5 years.

So, you could find that its short term gain at the expense of long term pain. Now, we already know that consumers take what Martin says as advice and this has the potential to come back and bite you on the bum later.

Plus, the fees involved could wipe out gains. Potentially, it could be justifiable in some cases but in others it wont be.

The FSA will take a dim view of an adviser telling someone to come out of a deal, pay thousands in charges to go into a variable rate deal IF the rates then go back up again above the amount of the fix. If the rates stay below the fix and the fee is recouped plus more then you get away with it and people will think you are a good adviser. If the rates go above the fix and the person pays more then there will be sites, possibly even this one, telling people to complain against their advisers for getting the judgement call wrong and you will be called a bad adviser.

A correctly sold fixed rate is not sold because it is cheaper but because it gives certainty. In these uncertain times, you have to consider how a move out of a product with certainty into one without, on a transaction that will cost thousands of pounds in penalties, will look in the event of a complaint.

Joe_Bloggs

The 'Ditch Your Fix' title is too suggestive of one possible outcome of a balanced investigation in to the merits of switching or staying put to benefit from reduced SVR.
J_B. (Not a mortgage adviser)

Airwolf1

minimike2 wrote: »

Can you please tell me why you think a tracker may "be a better option" for him?



As I have said above, people should not be *current* rate driven as thier main priority.....the SUITABILITY of the product to the persons personal circumstances followed by the overall cost, should be the main priorities. There was a reason your friend took a fixed rate deal and I suggest they sit down and think about the reason they took a fixed rate before "jumping ship".



Why are people forever trying to use predicting the market as a basis for making a decision on a mortgage. So many people are playing a dangerous game here and things like this really emphisise the importance of seeking professional advice.....remember brokers are not just here to find the "cheapest" mortgage..........we are here to recommend *suitable* prodcuts based on circumstance, something which 90% of consumers fail to grasp or indeed do for themselves. The number of people who DIY thier mortgage who have an unsuitable product is alarming, purely because they have failed to consider the consequences of being a "rate chaser" and being sucked in by a lenders "headline" rate.



I still feel that the article is not approprite - it says "low rate" - I challenge anyone to find a fixed "low rate" that doesnt have a massive arrangement fee, that would actually save money for someone with an average £100k mortgage with 3/5 years left to run......hence why loads will swap to trackers, which for most will be innapropriate and could see them stung going forward.


As i previously said, once the prodcuts (or should I say IF) become available, THEN this article would hit the nail on the head, but in my professional opinion, now is not the time.

Hi Mike,

It is on the assumption that if he went for a 2 or even 3 yr tracker, his interest rate would drop nearly 2%. There is hype about another possible drop in the BOE base rate too, which means his interest may again drop. Meanwhile, he continues to pay what he was doing on the fixed rate, or pay even more. It works out he is paying less interest as he is bringing the balance down.

I realise we don't know what will happen in a few years time, but I am talking short term(ish) here, and think this will happen.

I keep on getting emails from a mortgage broker suggesting base rate will drop to 1%, although I'm a tad aware of the company and would play on the side of caution here.

minimike2

Out of interest, Martin, do you have professional indemnity insurance?

Im not being obtuse, (if thats the right word) but to be hoest if you publish this and people who followed your advice to finx in the summer pay thousands in ERCs and they subsequently end up losing again by going onto something inappropriate, you could potentially be sued.

Whilst it is not likely anything would be upheld due to you not having authorisation, the qualifications, or adviser status to be able to advise on mortgages, that is still how people view your articles, so at the very least it would be damage to your credability and this site in general.


Im not being rude (trying not to be anyway, sorry if I come across as being so) and I did point out that the re-written mortgage guide contained many good points a few months back, so I am not just pointing out the negatives or doing any bashing, but to publish this update to the article is really, really, really not a good idea.

grogdog

Airwolf1 wrote: »

Hi Mike,

It is on the assumption that if he went for a 2 or even 3 yr tracker, his interest rate would drop nearly 2%. There is hype about another possible drop in the BOE base rate too, which means his interest may again drop. Meanwhile, he continues to pay what he was doing on the fixed rate, or pay even more. It works out he is paying less interest as he is bringing the balance down.

I realise we don't know what will happen in a few years time, but I am talking short term(ish) here, and think this will happen.

I keep on getting emails from a mortgage broker suggesting base rate will drop to 1%, although I'm a tad aware of the company and would play on the side of caution here.

the only people on a fixed rate who would notice a drop of 2% would need to be on a pay rate of around 7% and i dont think there are to many of them.

_Andy_

MSE_Martin wrote: »

Just a quicky...

This is going in the tip..

______________

Fixed mortgage? Ditch & switch to a low rate deal

After a political kick, most mortgage lenders' variable rates have followed the UK 1.5% interest rate CUT, leaving some on tracker or discounted deals paying historic lows. Pundits predict more rate cuts, though lenders won't necessarily pass them on.

Ditch your fix checklist! By definition, those on fixed-rates haven’t gained, so you need to examine whether ditching & switching, even with a penalty, will save you cash. Here's the checklist:

• Loan-to-values (LTV). Only those borrowing LESS than 75% of a home’s current value are likely to get competitive deals. Otherwise, saving by switching's unlikely.
• Interest rate. Those who fixed at 5% or less are unlikely to gain; nearer 6% and savings are possible.
• Fix length. Those on short-term deals are most likely to gain. With longer, five or 10 year fixes, it's a balance of rate security vs short term savings.
• The penalty. Most fixed-rate deals have big penalties if you leave early. Yet the sheer rate cut size means even a £1,000+ penalty may be worth paying.
• When it ends. If your deal ends within a few months, it's unlikely to be worth paying the penalty. Yet longer to go, and ditching & switching's more attractive.

How to find out: If the checklist makes a ditch, switch & save possible, contact a whole of market broker to do some detailed comparison numbers, incl. switching fees. Most reputable brokers do this free (though some charge if you actually switch). More info: Mortgage Broker Guide, Remortgage Guide. Discuss: Ditch your fix
[/b]_____________


In the how to find out section, my aim is to point people to brokers to get a calculation done if switching & saving is possible. I presume my phrasing on most reputable brokers do this for free is fair?

Martin

Hi Martin

The above seems to miss out the issue that the loan size would be increased straight away, i.e. with the ERCs, exit fees and new set-up fees.

payless

of course these comments are not included in the thread http://forums.moneysavingexpert.com/showthread.html?t=1312349 that I assume was put in email - which has had over 2000 hits already