direct to lender or through a broker

jamjam3

I'm applying for a mortgage and I'm not sure if I should go directly to the lender or through a broker..

I'm looking to capital raise on my property which is 100% equity no mortgage, capital raise of about 30% LTV.

My situation is such that:

my salary is 35k, credit card debt of £700, overdraft of £1,500 missed my first and only payment 7 months ago. But the sting in the tail is that I have only been employed for 3 months, will this reduce my chances of a mortgage???

koexelek

You should be OK at that loan to value.

If you feel confident enough, do your own research and go straight to a lender... as a lot of lenders now offer better deals direct to the customer now than via a broker.

jamjam3

Even though I've been employed for 3 months???

mortgage-adviser-now

Sounds to me like you have a few curve balls here.

1. missed credit payment on your record
2. are you in a probationery period at your new job
3. what do you want the money for (it matters to most lenders)
4. some lenders wont remortgage unencumbered properties

If you have time to try various Lender direct and blind please do so, and prepare to damage your credit further but having multiple scores on your record.

Otherwise get some advice and save yourself time, money, and worry.

jamjam3

mortgage-adviser-now wrote: »

Sounds to me like you have a few curve balls here.

1. missed credit payment on your record
2. are you in a probationery period at your new job
3. what do you want the money for (it matters to most lenders)
4. some lenders wont remortgage unencumbered properties

If you have time to try various Lender direct and blind please do so, and prepare to damage your credit further but having multiple scores on your record.

Otherwise get some advice and save yourself time, money, and worry.

Of course I don't want to damage my credit record, hence why I am seeking advice.

1. It's one missed payment out of an excellent credit history but times have changed I guess.

2. I'm not on a probationary period - a letter from the firm can confirm this.

3. To renovate the property top to bottom

4. Looks like I have to give each provider a call and find out but surely with 100% equity I am less of a risk??

mortgage-adviser-now

Looks like you have chosen to give each provider a call

jamjam3

It's what I'll do.... will let you know how I get on.

herbiesjp

You should be ok

Just make sure the lenders do not credit check you every time as that could harm your score with the lenders own scoring systems

Going via broker would mean not having to do all those phone calls

You do not say what the 30% equates to in figures, but the lower the mortgage amount the more fee sensitive you become, and less rate sensitive.

If that is the case, then be careful not to just look at headline rates

jamjam3

herbiesjp wrote: »

You should be ok

Just make sure the lenders do not credit check you every time as that could harm your score with the lenders own scoring systems

Going via broker would mean not having to do all those phone calls

You do not say what the 30% equates to in figures, but the lower the mortgage amount the more fee sensitive you become, and less rate sensitive.

If that is the case, then be careful not to just look at headline rates

Hi,

Sorry I should have stated the figures... £110k mortgage and value of £370k. £370k is the fair value I place on the property.

herbiesjp

At that level it will need more number crunching to work out rates vs fees

But definitely do-able, at that LTV

jamjam3

Thanks for your response.

I have found out that as I've had the property for less than 6 months I can't remortgage. Is this correct?