Post Office Mortgages: Any Good?

S_Swede

Dear All,

I'm interested in the current Post Office 5.85% as it appears to be the best product on the market for myself as a FTB, 90%LTV with the option of a 5-Year Fix at what is historically a reasonable rate.

As this deal has to be applied for directly, I'd like people to share their recent experiences concerning applying for PO Mortgages.

• Whether there are actually any people out there who have successfully gained a 90% mortgage in the past few weeks, or is this product just a phantom not worth our time in being rejected, resulting in a needless dent in the good old credit score. (Had an AIP from C&G before their rates went up, so I'm keen to keep further applications to a minimum.
• How long it's taken to complete key milestones after offer acceptance, e.g. survey/valuation timing, mortgage acceptance etc.?
• Whether customer service for checking progress is acceptable (unlike Abbey!)?

The only similar thread I could find is a year old and I imagine the details may have changed , given recent events.


Thanks in advance

S_Swede

jimbugalee

Hi,
My boyfriend and I have just applied for a 3 year fixed mortgage at 5.85% through the Post Office. The only condition is that application forms have to be back with them by midnight on 3rd March as after that they cannot guarantee the rate although they said if it went down you would get that (don't quite understand how that works).

They said once they get the form back it takes 10-15 days.

We have the mortgage agreed 'in principle' but they haven't done a credit check yet and won't until you send application off (no dent in history).

The arrangement fee is quite low also (compared to other 90% mortgages) at £599. Valuation fee is £240, you can opt for other more expensive options if you are worried about the structural state of your house. There is another £199 fee .... sorry can't remember what this is, oh might be application fee. Then £30 for the CHAPS fee.

Just to share that my boyfriend and I both have a perfect credit score and this mortgage is way under what we can afford so I can't comment on whether they would give it to everyone. They also did a check initially on the house as apparently not all houses are eligiable (maybe that's the case for all mortgages?!)

My boyfriend and I went to 2 other brokers and they couldn't find anything near what the PO were offering and both said that as long as that all goes through then go for that.

One other thing. The solicitor you have has to be on the Bristol and West panel otherwise you have to pay another £150 to get their work checked. I think most solicitors are.

Last note - I have phoned them back 3 times since yesterday to check a few details and each time they have answered the phone promptly and been able to help with my query.

Hope that's helpful! Happy to keep updating you as we go through the process.

Gema

S_Swede

Many thanks Gema,

I look forward to hearing about your progress: all the best with it too!