mortgage advice for first time buyer

geoff1057

my daughter is looking for a mortgage circa 58-60k ,she is a first time buyer with 10% deposit......she banks with Barclays,and saves with Natwest ,can anyone give advise on lenders and what rate she is likely to pay,she has done mortgage calculations on 5.5% rate . should she see an advisor to get best deal or go to the banks that she deals with. any info greatly appreciated

bobmoo79

To be honest with a 10% deposit, I'd be very surprised if she managed to get that rate.

It's definitely worth checking with an independant whole of market broker.
Some mortgages aren't available to brokers (such as HSBC) so it's worth finding out which ones they are and checking them too.

unite79

90% - That sounds like the post office to me - Brokers products at 90% are pants to say the least!

Robert_Sterling_3

bobmoo79 wrote: »

an independant whole of market broker.

Who first coined this deliberately misleading desciption of brokers who do not tell their clients about the deals available which would be better for them but do not pay the broker any commission.

geoff1057

seems a bigger deposit makes a big difference in mortgage rates, she needs to save harder , more probably apply to bank of dad...........any info Robert

herbiesjp

If bank of dad can help, you get a big jump in rates available at 75% LTV

Looking at mid 3% for some deals - that is just a rough guideline.

geoff1057

with a possible deposit of 25%, looking at a mortgage of 45-50k, no doubt gives a wider range of mortgage providers, are there any lenders better than others, or lenders you would or wouldnt recommend

herbiesjp

It will boil down to a few things (these are just a few):

1) Current service standard i.e. any delays in processing
2) Customer care - before and after
3) Options you want on the mortgage i.e fully flexible, offset, overpayments etc


There will always be something that will help whittle down the options and make the choice easier - that would have to be discussed with the broker though