Lender has taken Valuation fee?

NASA_2

Checked my bank account this morning and my potential lender (Alliance and Leicester) has taken the £250 valuation fee. They will refund this after house sale is (Hopefully) completed.

Can I assume then that they are happy with my application thus far?

I have a pretty safe job and am getting a lump sum payment which I intend to use the vast majority of as a deposit. £12,500 on a £62,500 property.

Thrugelmir

Early days in the process. You'll here news soon enough.

Steviek_2

2 early to say. The Woolwich took ours right from the word go then declined the application after a further credit check and now refuse to refund!

NASA_2

I was given the impression by the mortgage broker that A&L wouldnt authorise a valuation unless they were prepared to make an offer (Subject to valuation). Just wondering if I have been a bit naive in believing that?

Senior_Paper_Monitor

If your mortgage broker has advised that, presumably he has confirmed those instructions to the lender (and I have always found A&L good on this issue) and you are 'well on the way'.

Buts as other posters have made clear, if no instructions (preferably written) are given then a premature valuation fee can be incurred and effectively wasted.

QTPie

I think that many lenders are all to quick to take fees.... Ours did and did the valuation within a week of applying. The mortgage advisor (Britannia) had said that our application was straightforward and would be all done I a couple of weeks.... Of course 5/6 weeks on we are still battling with ridiculous questions from their HO. I wouldbe shocked if it didn't go through (grounds would have tobe "suspected money laundering" - which we are not guilty if!), but....

QT

Senior_Paper_Monitor

QTPie - what you had was a Brittania sales person NOT an 'advisor'. NASA has apparently used a mortage broker (who will be an Advisor in the legal meaning of the term).

Unfortunately the system as it is, hides the difference and you (and thousands of others) go through the process believing you are being advised.

In my past I was a fairly 'high flying' business type (director of fairly large pan european business and a handful of subsidiaries - later owned/ran an international consultancy - about 25 years between them) and still thought the bank were 'advising me' when it came arranging finance (be it my mortagage or company finance) and my 'friends' (I dealt at corporate head office level with a real 'bank manager' even with my personal stuff) - it was only when I semi-retired, came to work in my partner's business in 'financial services' that the truth dawned!

NASA_2

Its been more than a month since the application went in with A&L so I guess I should feel a bit more content that some who have had the money taken very early on.

Time will tell.

Does anyone know will A&L (Mortgages) formally change to Santander at some point along the line?

QTPie

Sorry, yes, you are completely correct: I just couldn't find the right word when I posted (and didn't want to use "mortgage person"...).

I have given up using Independent Mortgage Advisors some time ago: they seem to just get in the way.... In this day and age - assuming you understand whAt you are doing - it is best to do your own (very thorough!) research and apply direct.

Senior_Paper_Monitor wrote: »

QTPie - what you had was a Brittania sales person NOT an 'advisor'. NASA has apparently used a mortage broker (who will be an Advisor in the legal meaning of the term).

Unfortunately the system as it is, hides the difference and you (and thousands of others) go through the process believing you are being advised.

In my past I was a fairly 'high flying' business type (director of fairly large pan european business and a handful of subsidiaries - later owned/ran an international consultancy - about 25 years between them) and still thought the bank were 'advising me' when it came arranging finance (be it my mortagage or company finance) and my 'friends' (I dealt at corporate head office level with a real 'bank manager' even with my personal stuff) - it was only when I semi-retired, came to work in my partner's business in 'financial services' that the truth dawned!

Senior_Paper_Monitor

"I have given up using Independent Mortgage Advisors some time ago: they seem to just get in the way"

"In this day and age - assuming you understand whAt you are doing - it is best to do your own "

"I think that many lenders are all to quick to take fees.... Ours did and did the valuation within a week of applying. The mortgage advisor (Britannia) had said that our application was straightforward and would be all done I a couple of weeks.... Of course 5/6 weeks on we are still battling with ridiculous questions from their HO. I wouldbe shocked if it didn't go through"

...... ineresting point of view really ! Good job there was no-one 'in the way' to 1) ensure your financial background was not interpreted as money laundering 2) ensure you weren't charged for the valuation before an offer was likely 3) manage the systm to make sure your application was processed in the minum possible time then !!!

QTPie

Yes, right.... From previous experiences of Mortgage Advisors, they would just add another layer - and therefore extra time - of complication to the whole process....


Britannia would still work their slow, inefficient way through their flowchart - passing the buck between underwriters who cannot deal with anything vaguely unusual - and we would just be chasing the mortgage advisor to chase Britannia. Yes the Valuation would not have been done yet - that might be done at the end, adding even more time to the whole thing....

I expect that there are some excellent mortgage advisors out there, but most are a waste of time (assuming you yourself are intelligent and proactive).

QT

Senior_Paper_Monitor wrote: »

"I have given up using Independent Mortgage Advisors some time ago: they seem to just get in the way"

"In this day and age - assuming you understand whAt you are doing - it is best to do your own "

"I think that many lenders are all to quick to take fees.... Ours did and did the valuation within a week of applying. The mortgage advisor (Britannia) had said that our application was straightforward and would be all done I a couple of weeks.... Of course 5/6 weeks on we are still battling with ridiculous questions from their HO. I wouldbe shocked if it didn't go through"

...... ineresting point of view really ! Good job there was no-one 'in the way' to 1) ensure your finacial background was not interpreted as mony laundering 2) ensure you weren't charged for the valuation before an offer was likely 3) manage the systm to make sure your application was processed in the minum possible time then !!!