best tracker with a 25% deposit

thewinkshow

Hi all,

I am looking for a tracker mortgage, I have a 25% deposit, any idea who if offering the best deal for this?

Is applying on the internet and getting the mortgage in principal just the same as letting a broker do it for you?

I have had a few informal meetings with mortgage brokers based on the above tracker with 25%, but they dont seem to be able to match the deals I can see online.

Are there any catches with getting the mortgage in principal on your own, when it comes to placing bids, does it carry the same weight as a MIP done through a broker?

anyone got any tips on doing it alone? is it as simply as applying online getting a the MIP through then bidding on houses.
are the chances of getting accepted better with a broker

betmunch

An AIP carries the same weight whether it is done personnally or by a broker. However a broker can often save time by ignoring lenders who would say no to you due to some hidden criteria. Once you have an accepted AIP it doesnt matter who applied for it.

Now to open the can of worms:-

Depending on the Estate Agent you buy from your offer will be seen in a better light when its arranged through their in house broker as it will earn more money for the branch. This is of course completely illegal, but it happens!

Hopefully your house will be marketted by one of the good ones, but if you think you are being played about come back on here and ask for help them the Agent.

Cheers

thewinkshow

thank you.

I have found that the best tracker with 25% deposit is with lloyds tsb at 2.29%

Can anyone better this tracker??

VIGILANT22

No such thing as "a best tracker "........it's like recommending the best car............

new_home_owner_3

thewinkshow wrote: »

thank you.

I have found that the best tracker with 25% deposit is with lloyds tsb at 2.29%

Can anyone better this tracker??

I can not find that deal have you got a link?

Its a good deal, is that 2.29% percent above the base rate?

beecher2

http://www.lloydstsb.com/mortgages/special_offers/low_rate_mortgages.asp

1.79% above base rate

Product fee of 2.5% which could be prohibitive depending on size of mortgage

new_home_owner_3

Its a good rate, but the fees quite big and its only for two years, take a look at the post office they have got some good deals, not as low as lloyds but the fees are a lot lower.


I used the post office and they do it all online, they gave the aip more or less the same day i applied.

http://www.postoffice.co.uk/portal/po/content2?catId=86700737&mediaId=102800763

http://www.postoffice.co.uk/portal/po/content2?catId=86700737&mediaId=102800764

cj25_2

beecher2 wrote: »

1.79% above base rate

Product fee of 2.5% which could be prohibitive depending on size of mortgage

That seems like a pretty bad deal actually! It's only for a 2yr term, so having a fee of 2.5% of the value of your mortage is basically adding another 1.25% or so to the yearly interest rate on it! (More if you consider the fact that it's charged at the very start it will compound over those two years)

new_home_owner_3

cj25 wrote: »

That seems like a pretty bad deal actually! It's only for a 2yr term, so having a fee of 2.5% of the value of your mortage is basically adding another 1.25% or so to the yearly interest rate on it! (More if you consider the fact that it's charged at the very start it will compound over those two years)

I suppose it would be okay if your mortgage is small, what i mean by small is less than 50,000 pounds.

thewinkshow

Hi All

The mortgage amount is 65k. So it seems I have not picked the best deal.
I basically just researched the cheapest rate and found 2.29% to be about the best.

How does the 2.5% thing work? is that 2.5% of 65k just for getting the product?

Why are people pointing out that its not such a good deal because it is only 2 years? of course I am aware of this, but but is the point being made that I would be better getting a 3 or 5 year tracker instead? I dont see the logic in this, I think the base rate will rise of course (it cant go down) but I think you will still get a good 18months to 2 years out of a tracker, becauase to ensure the recovery the government wont simply double or treble the base rate within 18months - and by the time I come to near the end of the tracker I imagine the rates will be higher or due to go higher, but I will have to factor in the savings made over the fist 18 months when it does hike up. I will then look to get a fixed rate if the signs are it will keep rising.

OR are people saying I should get a fixed rate now, I have looked at the post office, doesnt seem anywere near as good a rate as lloyds.

thewinkshow

That seems like a pretty bad deal actually! It's only for a 2yr term, so having a fee of 2.5% of the value of your mortage is basically adding another 1.25% or so to the yearly interest rate on it! (More if you consider the fact that it's charged at the very start it will compound over those two years)

Point taken..............but even adding 1.25% to the lloyds deal still comes out similar to many other trackers around the 3.5% mark