London & Country Mortgage Broker

Deano4174

Hi, im in the process of getting my first mortgage. i read in the money diet book that london and country mortgage (https://www.lcplc.co.uk) brokers offer a fee free whole of market quote. if its fee free does that mean that i dont have to pay them anything or is there a catch and i will end up paying them if they find me a mortgage?

Any help will be appreciated.

Thanks.
Dean.

mummytofour

No you dont have to pay them a penny! the morgage lender pays them a commision

nearlyrich

They always came up with a good deal for us when we remortgaged and we have wholeheartedly recommended them to lots of people over many years.

bylromarha

And if you take a mortgage with them and pm me, or nearlyrich, or another person who has used them and quote us as referring you, a tree will be planted as a thank you!

L + C are excellent. Highly recommended.

Deano4174

mummytofour wrote:

No you dont have to pay them a penny! the morgage lender pays them a commision

so if i take them up on a mortgage qoute what fees would i be looking at paying?

AndrewSmith

As with all non-fee charging brokers you will only pay the fees required by the mortgage company that you apply to.

These may consist of :

Valuation (basic survey)
Lender's Booking or Arrangement Fee
Mortgage Indemnity Guarantee Premium

Once you complete on the purchase (get your keys) the lender will pay the broker a commission for introducing the case.

It costs nothing to get quotes and information.

It's quite standard and is nothing unique to any company.

From personal experience L+C are one of the few companies I hear generally good reports about.

Andy

Deano4174

AndrewSmith wrote:

As with all non-fee charging brokers you will only pay the fees required by the mortgage company that you apply to.

These may consist of :

Valuation (basic survey)
Lender's Booking or Arrangement Fee
Mortgage Indemnity Guarantee Premium

Once you complete on the purchase (get your keys) the lender will pay the broker a commission for introducing the case.

It costs nothing to get quotes and information.

It's quite standard and is nothing unique to any company.

From personal experience L+C are one of the few companies I hear generally good reports about.

Andy

so if i take L+C up on thier mortgage qoute what fees would i be looking at paying? im new to the mortgage game and i havnt got a clue where to start. if you cant advise me then could you please tell me what questions i should ask L+C regarding getting a mortgage and all the fees accoiated.

Thanks.
Dean.

AndrewSmith

The fees payable will depend on which lender you choose to go with. Each has it's own fee structure and they do vary.

My advice is to tell to L+C that you need them to explain all the associated fees and charges involved, when and how they are payable, and why they recommend the product they have chosen for you.

Ask them to explain the different types of mortgage to you giving you the opportunity to decide which one you would like. Ask them for the pro's and con's of each.

Mortgage advice and brokers are a bit like a computer. We are only as good as the quality of information we are given. Make sure you tell them everything (I dont doubt your honesty, it's just easy to forget that 'other' credit card etc) and take on board the advice they give you.

Only commit to going ahead if you are 100% comfortable with the recommendation and the reasons for it. If you are not, ask them to explain it in more detail so you can be fully comfortable with what you are doing.

Without actually giving you advice myself that's about all the advice I can give, as it were.

They are a good company with a good reputation, you should be fine.

Andy

sainthalo

misleading saying they are fee free

i got a quote and the arrangement fee was £1250 and it says in the small print that their commission is £875

i got a direct quote as well from abbey on the same deal and the fees were £250

no fee? think again.

dunstonh

sainthalo wrote:

misleading saying they are fee free

i got a quote and the arrangement fee was £1250 and it says in the small print that their commission is £875

i got a direct quote as well from abbey on the same deal and the fees were £250

no fee? think again.

Thats not misleading.

If you go direct to provider, they dont have to tell you how much commission there is. You aren't paying the commission so its not a fee. You only pay the fees.

So, if the fee with abbey going direct is £250 and the fee using abbey through a broker is £250 then its identical. The fact it will say the broker earned a commission of £xyz is irrelevant.

Rick62

He's saying that through L&C the fee was £1250 but through Abbey directly was only £250.

However I have never know Abbey to offer dual fees, sorry sainthalo but I am sure you are mistaken.

To clarify, lenders will pay brokers a introductory commission, usually 0.30% to 0.35% on mainstream mortgages, this cost is not passed on, the lenders are happy to meet the cost themselves as it saves on marketing and branch staff costs.

A handfull of lenders do not use brokers, or at least don't pay a commission. However there are other lenders who only use brokers. Also sometimes lenders give special good rates only through brokers, such as the recent Cheltenham & Gloucester 5 yr Fixed at 5.09% was only through brokers.

Also the advice and understanding of a good broker (and the vast majority are good in my experience) will save you money by understanding all the different products and your particular circumstances and getting the most apprpriate mortgage for your needs. We are now very regulated by the FSA, and while not perfect this can generally give you a good level of confidence