Foxtons and alleged mortgage rule changes

wessexw

Just had a very weird phone call from Foxtons estate agents in London who I'm registered with in my efforts to buy a flat, they told me that due to some changes in mortgage regulations lately, or else the way that lenders who are assessing application or something like that - that lots of mortgage offers are falling through specifically 'in my price range'. They went on to ask me all about my own mortgage AIP, if I'd looked elsewhere and would I consider using this amazing company called Alexander Hall and would I consider talking to them and giving them my details.

Now I know full well that Alexander Hall is the company that Foxtons use and this phone call was nothing but a scam to try to get me to go to them but I was wondering if there's any truth at all behind this 'change in mortgage criteria/regs lark' - has anybody heard anything like this? I suspect that them mentioning problems 'in my price range' means that they want Alexander Hall to get my financial details so they can find out exactly how much I can afford and if my price range could actually be expanded to their benefit.

clutton_2

just say no thanks

honey9

sounds like a load of bull to me!

poppysarah

You should record your next conversation with them

RAS

And tell them you are doing it.

jonewer

Dont deal with foxtons. They are scum. Avoid.

Eric1

wessexw wrote: »

Now I know full well that Alexander Hall is the company that Foxtons use and this phone call was nothing but a scam to try to get me to go to them but I was wondering if there's any truth at all behind this 'change in mortgage criteria/regs lark'

New mortgage affordability rules: Q&A
http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/7889057/New-mortgage-affordability-rules-QandA.html
...
"When will these changes happen?
At present these are proposals, and subject to consultation. But most mortgage experts agree they are unlikely to be significantly changed and should come into effect next year."

timmyt

Don't use Foxtons, spread the word.

ILW

Foxtons make a big deal that they will sell your house at a higher price than any other agent. Not so clever if you are a buyer. I would go elsewhere.

colli

I was told something similar by Connells a few months ago and that my AIP was worthless as HSBC (who issued it) were declining 80% of mortgages even where an AIP was in place.

The guy from Connells was so rude and patronising, I'm a buyer for work and I'm pretty good at spotting a BS sales pitch but it did put the wind up me a bit. I checked with HSBC and they confirmed it was rubbish.

It was a really horrible experience, standing outside a house being told that there is a good chance you won't get a mortgage and you must see their mortgage advisor if you want any offer to be taken seriously.

Needless to say I didn't offer on that house, I went for something else and the mortgage went through with no trouble at all!

I just feel sorry for the people trying to sell the house, it was lovely but I can't imagine anyone not being put off by that nasty hard sell.

betmunch

Its actually true that more and more applications are being turned down after being given the go ahead on an AIP.

However, whichever broker or bank you choose to use you will still have the same chance of this happening to you. Using Alexander Hall or AN Other broker will make no difference. If its going to happen then its going to happen.

The criteria has been tightening for the last 3 years now so its nothing new, and I feel the EA was right to point this out. However I feel they are wrong and misleading to make you think that you would be better off with Alexander Hall. As you say it is just BS to get a referal fee from you.

With regards to HSBC, to my knowledge HSBC are actually one of the worst culprits for passing an AIP and they declining the full application. I dont like agreeing with connells as I agree with what Colli says, however on this occassion I wouldnt be surprised it the stat is true!

Hope this helps