Broker v Yourself

Leon_W

No need to take umbrage.

You are right " you certainly do not get half the story", that's because we didn't get any story at all.

All I am saying is that without all the facts how can anyone say taking a fixed rate over a tracker is bad advice ? IF rates had gone the other way then it would have been the best decision ever.

VIGILANT22

missk_ensington wrote: »

I take exception to that comment, you certainly do not get half a story. It was the same advisor I had used 2 years previous so I trusted his judgement ahead of my own gien that he was the expert and I wasnt. I am certainly not a particularly cautious person - I started a clothing brand/manufacturing company in a recession! So certainly not one to be risk averse.

I wasnt a first time buyer, my LTV was 60%. I mooted that I would prefer a variable and he said that he didnt think that was a good idea, that rates could rise, I said I didnt think that was what would happen, he said he would strongly advise taking the fixed rate to be safe and thus, I did.

:rotfl:With the way you express yourself, you don't strike me as someone who does what they're told!.....:)

dunstonh

All I am saying is that without all the facts how can anyone say taking a fixed rate over a tracker is bad advice ? IF rates had gone the other way then it would have been the best decision ever.

Exactly. Fixed rates give payment certainty. They are not there to be the cheapest option. They are there to be the secure option.

Most financial advice is based on potential scenarios which may or may not occur. To say advice is bad just because a different scenario occurred is silly and totally misses the point.

I wasnt a first time buyer, my LTV was 60%. I mooted that I would prefer a variable and he said that he didnt think that was a good idea, that rates could rise, I said I didnt think that was what would happen, he said he would strongly advise taking the fixed rate to be safe and thus, I did.

So, his advice was spot on. He said it was the safe option and it is. You could have overruled but you didn't. Probably as at the time you, like everyone else, didn't see rates dropping like they did.

missk_ensington

Obviously I didnt know rates would drop with any certainty, but at the time I think they had just dropped to about 3% and I thought they were going to stay low, I could have been wrong, taken the tracker and now rates could be 12% and Id be cursing but overall I wish I had been more insistent on the tracker, as my predictions were correct. Still, whats done is done so no point regretting it

shootermcgavin

Conrad wrote: »

Use the broker. Jusr one caveat, I've been around a long time and I certainly know of instances where the broker goes cold on progressing the case once he realises the client doesn't want his insurance. I'm not suggesting all 'free' brokers are like this though.

Certainly at higher loan to values the lenders DIRECT deals are better than broker ones.

Also note brokers cannot deal with ING, First Direct, COOP, HSBC and others.

can brokers not deal with co-operative? i like the look of their 2 year fixed rate 4.49% @85%LTV but the london and country guy didnt seem keen when i asked him about it? he mentioned that because i want to borrow 4.5x my salary they wouldnt look at me, do you think its worth calling them direct?

thanks

blueberrypie

nomnomnom wrote: »

In my experience using a Broker wasn't a good idea. When you discuss a mortgage with a broker face to face, and assume you go ahead with one, you have no cooling off period.

There's always the "cooling off period" produced when you say "Thank you very much for all the information and advice. We'll go home and talk it over and let you know our decision within the next few days."

dunstonh

shootermcgavin wrote: »

can brokers not deal with co-operative? i like the look of their 2 year fixed rate 4.49% @85%LTV but the london and country guy didnt seem keen when i asked him about it? he mentioned that because i want to borrow 4.5x my salary they wouldnt look at me, do you think its worth calling them direct?

thanks

The remuneration method of L&C means they only consider commission paying providers. If you go independent, then those brokers can include non commission paying deals as you are paying them, not the lender. The mortgage sourcing software allows brokers to include direct deals for those that are fully whole of market and not just commission only whole of market.

Hence the comments earlier that fee basis can be cheaper than commission basis.

Jonesy_McJones

shootermcgavin wrote: »

can brokers not deal with co-operative?

I was given details of a co-operative mortgage through a broker...

VIGILANT22

Jonesy_McJones wrote: »

I was given details of a co-operative mortgage through a broker...

Did they help arrange this for you and did they charge you?

andrewmp

missk_ensington wrote: »

Obviously I didnt know rates would drop with any certainty, but at the time I think they had just dropped to about 3% and I thought they were going to stay low, I could have been wrong, taken the tracker and now rates could be 12% and Id be cursing but overall I wish I had been more insistent on the tracker, as my predictions were correct. Still, whats done is done so no point regretting it

Two years ago, rates were not at 3%.