First Direct mortgage rates cut and cheaper fees

AdamBrunt

Anyone know what other fees apply if you are simply remortgaging your current property ?

I am think of switching to their 2.49% tracker rate. I am currently on Halifax's SVR of 3.5% on a £122400 outstanding balance (paying £700pm). By my reckoning, the £99 fee would pay for itself in less than 2 months. I can't see BoE rates going up 1% within the next 2 months so it looks like a no-brainer.

There don't appear to be any ERC but there is a 'closing fee' ... isn't this the same thing ?

georgehere

I went for their variable tracker currently at base + 1.79% ... £99 arrangement (added to mortgage) ... £99 valuation (which they do as a drive-by, no need to enter property if visible from road!)

and as its a tracker, no exit fees

they did go through my bank statements with a fine tooth comb though and asked me a lot of questions (mind you if you look at anyone's statement as the info is pretty scant, you are probably going to have questions)

AIP (subject to the 'survey') arrived 4 days after my paperwork got to them

I gave them my mobile number ... and got a text telling me abou the AIP!

sebtomato

georgehere wrote: »

and as its a tracker, no exit fees

I believe all their tracker mortgages have an exit fee of £149, if the mortgage is moved out of FD (mortgage moved to different bank). There are no early redemption fees (mortgage fully repaid before its term).
Fixed mortgages have different conditions and penalties.

sebtomato

georgehere wrote: »

they did go through my bank statements with a fine tooth comb though and asked me a lot of questions (mind you if you look at anyone's statement as the info is pretty scant, you are probably going to have questions)

They did the same to me: asked many questions about payments from my bank statements, and deductions/allowances on my payslip, despite the fact that the actual mortgage requested (if we deduct the large deposit and savings left) is only about twice my annual wage. I think they are just doing their job and being thorough, but I can imagine the very hard discussions for someone asking for 3 or 4 times their salary, or with a deposit lower than 35%!

georgehere

Sebtomato

you are absolutely correct ... there is a charge when you close the mortgage of £149, either because you reach the end of the term or you decide to move the mortgage becuase you want to

I should have said 'no early repayment charges' ... which you mention

I also should have said no legal fees/charges (for mine which is a remortgage)

and I should have mentioned that I had an existing FD current account, I expect that speeded things up

ray123

georgehere wrote: »

Sebtomato
I also should have said no legal fees/charges (for mine which is a remortgage)

Am i right to assume that there are no legal fees/charges if I remortgage to First Direct?

sebtomato

ray123 wrote: »

Am i right to assume that there are no legal fees/charges if I remortgage to First Direct?

Quote from their website:

===========================================
Remortgages in England and Wales

If you are re-mortgaging a property in England or Wales in addition to the arrangement fee and/or any booking fee you will need to pay for a valuation for both offset and Repayment Mortgages. However first direct will pay for any enquiry fees to your previous lender, money transmission fees and Land Registry fees. If you are changing the owner(s) of the property you will need to pay for the additional legal costs to effect any change in the ownership of the property you are re-mortgaging. Where the mortgage and property will both continue to be in the same names and the property will be your main residence, we will prepare the legal documentation. This means that there will be no basic solicitors costs for you to pay. However you will not have your legal representation unless you arrange and pay for it yourself. If you are transferring your mortgage to first direct from another mortgage provider, they may charge an early repayment charge if you are moving during a fixed rate or "tied-in" period.

mantamark

Got my callback today, was expecting to get AIP there & then, but got to fill in application & send it back first. But we are past stage one now, got approval.

Also, no exit fee's for the 5yr fixed deal, not sure about others.

Also, what hasnt been mentioned (i dont think) is that you have to open a current account with them, and have to, at least pay the mortgage from this account.

So its ok to set up current account, then set up a direct debit from existing current account into FD current account to pay the monthly payment.

Paperwork should be here in a few days, phone up to say we accept it, post it back when filled in, then they will either accept or decline it after going through more questions (need to supply 3mth bank statements, 3mth payslips & last P60), expect to be done in 5 weeks max according to the lady on the phone.

sebtomato

From: http://www.mortgage.org.uk/lower-first-direct-mortgages-fee-leads-to-emphatic-response-19877764.html

There has been a significant increase in the number of enquiries for first direct mortgages since the firm announced a fixed £99 fee for all its home finance products.
Richard Tolchard, senior product manager at the financial services provider, suggested that the emphatic response of customers suggests that they like the clarity achieved as a result of the change.
According to first direct mortgages, it experienced its busiest weekend of the year after bringing in the flat fee structure as part of its summer sale.
Mr Tolchard remarked that he is very happy with the scale of the response by homeowners calling in to enquire about applying for a new home finance deal.

kent_money_saver

im with woolwich(barclays) i wonder if they will match the deal?
my deal is up for discussion in the next couple of weeks.
hmm interesting.cany wait.:cool: