Post office mortgage and first time buyer

powersellerirl

Hello,
I've been to see a mortgage advisor and seen the deals that they can offer. The cheapest being a 6.99% on 90% mortgage over 25 years.
As the post office dont deal with IFA's I am unable to take up their deal of 5.45% fixed for two years.

The IFA has said that after looking at my credit report and past history, I am likely to get accepted for a mortgage with Halifax but I dont want to jump the gun if I can get it with the post office cheaper.
Im looking to borrow £77650 with a deposit of £10,000?

Any advice? Should I apply for the post office, as I meet there lending criteria of earning enough, have not past missed payments and have very little debt.? Or should I just take up the offer with the broker.

Is there any way of seeing if I'll be accepted roughly before applying?

CloudCuckooLand

Having a quick look at the PO website, it seems pretty good breaking the process into stages. Eligibility Check, Getting a Quote, Approval in Principle, before you go for a Full Application, so not committed too early.

Do you want to pay £555 a month or £480 a month ? No brainer to at least do Eligibility and Getting a Quote for the PO deal.

You don't have to go through an IFA. Its the IFA's problem if he cannot source a deal to match the PO.

Or, save another £3k and you'll be able to look at 85% deals, and get 5.45% Fixed for 5 years...which would be my choice, if in your position.

lossofbargain

try the post office first, if it fails go back to your adviser. a lot of deals are now out there is you go direct, the role of mortgage adviser is dying on striaghtforward cases.

dwsjarcmcd

Why has your IFA commented on your credit report and past history when you have said they are fine (although you should check your credit report to see if there is anything). Sounds to me like the IFA is just desperate to hold onto your case. Try the Post Office and if that doesn't work, find another Adviser.

jockosjungle

You apply online for a mortgage with the PO, not sure what you need an IFA for in this case. Also it tells you on the website what their criteria are for rejecting you, so have a look and take a gamble without a mortgage adviser?

It is a tactic of MA's to try and get you to doubt your credit rating, if you think its good (check to make sure) then I'd be inclined to stick an offer in with the PO

R

powersellerirl

Thanks for all your comments!

The only reason I'm asking is because
I worry alot. If i can get accepte at a higher rate I'd rather take it than get declined and then have try another lender.

My experian credit score is currently
937 with no late payments or anything else.

Should I just try the post office first?

dwsjarcmcd

powersellerirl wrote: »

Thanks for all your comments!

The only reason I'm asking is because
I worry alot. If i can get accepte at a higher rate I'd rather take it than get declined and then have try another lender.

My experian credit score is currently
937 with no late payments or anything else.

Should I just try the post office first?

Yes, as has been mentioned you would get an Agreement in Principle first which wouldn't have an negative impact if they say no. Should take about 15 minutes to do online

Wh05apk

I assume income etc is rerasonable, as there are a lot better deals than 6.99%I think that is the halifax 5 year fixed rate, with rates as they are currently, and the massive margins lenders are charging over base, I would probably be looking at a 2 year tracker, depending where you are they are available from 4.79%.

dwsjarcmcd your comment about the IFA seems unfair, had they said the op may not get approved I could understand, but given the IFA would only earn about £200 from this case, I can't see them being over eager to hold onto it...............

Your credit score of 937 is irrelevent, lenders use their own criteria, until there is a set way of calculating the "credit score" and we know what criteria lenders use and their cut off points do not waste your maney getting a score, just get the basic credit file, if all clean and you are on the voters roll you should be ok to get a mortgage subject to income/affordability, if any missed payments you will be marginal, any missed payments on secured loans/mortgages and /or CCJ's within last 12 months forget it basically.