Martins View On Using Mortgage Brokers...

shum55

dunstonh wrote: »

How you have written it, the £495 the mortgage adviser was getting was from Halifax. So, how are you paying it? If you were to go direct to Halifax, they keep it. They dont give it to you.

Had you gone independent and not whole of market, then I suspect that the Santander deal would have been beaten. Not saying it would be right for you but perhaps a whole of market adviser wasnt right for you either.



For many people, they dont have the time or inclination to do that and indeed, the cost of them doing that would be more than the cost of using an adviser. it depend on how you cost your time. For something that takes hours and hours, I would rather pay someone than DIY. For something that takes 10 minutes and I can do DIY well, I will DIY.

Sorry for the miss writing ...The £495 fee would have come from my own pocket (i am pretty sure Halifax would have given him a finders fee too...) also to add the £225 end of Mortgage fee's and because i would have been leaving santander a £100 admin fee..Pretty steep for my pocket... I just did not buy into the whole of the savings he just flowered it by using our original term time and made the savings look Brill...But the reality of it was to me he was like a Double glazing salesman, Sign Today Or Deal Is Gone Tomorrow. The savings in comparison of the deal he offered to the deal i got in the end was ...-£825 in fee's. My Deal i found over 2yrs i saved £504 compared to his whole of market..My thought on this guy is he was going to cost me a total of £1329 the sums did not add up


As for searching i agree some people would rather play farmville than save money but this is what MSE is all about saving money. Using a Laptop/PC to earn money not waste money as for time taking 15mins out now and again to search doesnt hurt

dunstonh

But the reality of it was to me he was like a Double glazing salesman, Sign Today Or Deal Is Gone Tomorrow.

To some extent a whole of market mortgage adviser is a sales rep as they will only consider commission options. However, they also have a duty of care to make sure that your existing lender is not best (or is). Mortgage deals can be a bit like here today, gone tomorrow. Deals are frequently pulled early. Some are pulled after only a week or two. I think the quickest was a few days.

As for searching i agree some people would rather play farmville than save money but this is what MSE is all about saving money.

MSE is about value for money. If someone wants to play farmville and pay someone else then that is a lifestyle choice. If someone's business time is costed at say £100 an hour and they work long hours are they really going to want to spend hours of what free time they have doing all that searching and learning. DIY is all about knowing if you can do a job well enough or can be bothered to do a DIY job.

Personally, I think MSE gets it wrong on mortgage advisers. It promotes fees free whole of market advisers yet it is independent mortgage advisers that are likely to give you the best deal.

shum55

To put a fine point on this. I belive i did better. I save a small fortune by doing it myself (Big Pat On Back) This Chap never mentioned Santander until we asked his reply was "No deals were close". Unfortunatley for him there was. Even if i kept my original deal and went onto SVR 4.24% vs 4.19% (his deal) was he worth £495 for it..Not for me. After doing the sums and offsetting the fee's against savings it just was not worth it. I am sure you will appreciate spending a pound to save a penny just doesnt make financial sense. Thats how this deal was running from my mortgage advisor.
The figures just didnt add up.

Jowen123_2

Apologies if this question has been answered earlier in the thread, but short of a personal recommendation, how can I find a good independent mortgage broker? My partner and I will be first time buyers and really want help guiding us through the whole thing and securing us the best deal. We're based in South West London.
Thanks!

Valli

Jowen123 wrote: »

Apologies if this question has been answered earlier in the thread, but short of a personal recommendation, how can I find a good independent mortgage broker? My partner and I will be first time buyers and really want help guiding us through the whole thing and securing us the best deal. We're based in South West London.
Thanks!

Michael_jackson wrote: »

Has anyone used a mortgage broker at Right Move before? What have your experiences been? Looking for a good broker but not sure where to start.

You might get a better response if you start your own thread if you have a specific query.

kingstreet

Has anyone used a mortgage broker at Right Move before? What have your experiences been? Looking for a good broker but not sure where to start.

I can't talk about Rightmove in particular, but a typical national estate agency chain has a mortgage service which;-

- has a small panel of lenders and isn't whole market
- charges clients a fee and receives commission from lenders
- uses lenders who supply survey work to their survey arm
- pushes an expensive in-house conveyancing service
- has a single tie for life and health insurance products
- has a single tie for "general" insurances.

I can't imagine what attraction there could be for a potential customer...

Look for independent mortgage advice. Agree a fee with the broker. If the best deal pays a commission, the broker pays it to you to rebate your fee. You get advice on direct to lender offers which don't pay commission and if one of these is best, the fee you've paid will be less than the money you'll save in lower mortgage payments.

At the least, a whole market broker who does not charge you a fee will be paid a commission by the lender would be the next best option. The national estate chain offers YOU the worst of both worlds!

dunstonh

General rule of thumb is to avoid estate agent advisers apart from the small local independent agents. Very poor reputation within the industry. Try local firms that are not based in the estate agent.

himalayas

I have read your article and I am agree with you, but I have question for you I am little confuse about this where you have written "generate business from here", is it possible can we generate business from here...???

dunstonh

himalayas wrote: »

I have read your article and I am agree with you, but I have question for you I am little confuse about this where you have written "generate business from here", is it possible can we generate business from here...???

If that is your reason for signing up then forget it. You cannot generate business here. You may get the odd message from someone every now and then but they will only contact those that are regulars, helpful and in many cases, they will contact you for "free" advice to use locally with someone else.

You should not be contributing here if your purpose is to get business.

Crashandburn

Although you would have to question those with high post counts as for their motivation. With such a hard market and increased compliance workloads, how do they find the time for the Pro Bono work or is it a guise to generate business indirectly.

Not having a go at anyone but I wonder why people hover over the boards most of the day offering advice when they should be servicing their own clients unless there is another motive.