Mortgage advisors and solicitors

ferguson_tom

Hi Everyone,

I am a FTB and will be applying for a mortgage over the coming weeks, is it worth going through a mortgage advisor? We have 10% deposit on a house up to 140k.

We have booked to see a couple to see who can give us the best rate at the lowest cost but was wondering whether i would be better off going direct. We have seen one who reckons can get a rate of about 4.7% fixed or 3.7% variable over 2-3 years which to me seemed pretty good rate.

Also is it worth possibly paying a bit extra to have both the mortgage advisor and the solicitors under 'one roof' as in all done through one company such as sequence or is it just as easy to arrange my own solicitors and go direct for the mortgage.

Cheers.....Tom.

betmunch

If you want to pay more than you have to go to sequence.

You can get any mortgage they can offer you through a broker that wont charge you a fee to put the application in.

The solicitors have a terrible reputation and are over priced. You would be much better off with a recommended local solictor in my humble opinion

SmlSave

Hi Tom

In my opinion its best to have your mortgage advisor and solicitor seperate.

Get at least three quotes from mortgage advisors and also look at direct deals with banks to see what's out there.

Also get at least three quotes from local solicitors to see what an average price is. Personally I wouldn't use a solicitor who is linked with an estate agent either but then that's just me

ferguson_tom

Hi,

Thanks for the quick responses I dont think I will use sequence then. I was half expecting that sort of response with regards to solicitors I will get onto a few local ones then and see what they can do. We have a meeting with an independent mortgage advisor tonight and will tell you how I get on.

Cheers

SimonMrGreenWard

Just remember that mortgage deals change quite frequently. Get quotes off three advisors, but expect to keep looking at things and then re-check with everyone when you think you're about to have an offer accepted, including direct deals!

Get an agreement in principle from any of the above now and then don't worry about any more credit scores.

Mortgage advisors are often worse than estate agents!!

PerfectPeaches

Personally, as an employee at a large law firm in the property department we always find it hard and irritating when working with companies who offer the whole package such as estate agencies who also have conveyancers and mortgage advisors all under one roof. They always seem to deal with everything at the very last minute or they don't bother at all unless they are pushed and nagged. Whereas sole solicitors practices are there for one thing and one thing only!

Local firms tend to be the best as they know the area and they are easy for you to get to. You may pay a little more but in the long run they tend to do a better job (and yes I do know the views of a lot of people on solicitors!!)

Fatenbread

ferguson_tom wrote: »

Hi Everyone,

I am a FTB and will be applying for a mortgage over the coming weeks, is it worth going through a mortgage advisor? We have 10% deposit on a house up to 140k.

We have booked to see a couple to see who can give us the best rate at the lowest cost but was wondering whether i would be better off going direct. We have seen one who reckons can get a rate of about 4.7% fixed or 3.7% variable over 2-3 years which to me seemed pretty good rate.

Also is it worth possibly paying a bit extra to have both the mortgage advisor and the solicitors under 'one roof' as in all done through one company such as sequence or is it just as easy to arrange my own solicitors and go direct for the mortgage.

Cheers.....Tom.

Separate is the way to go. The agent, your lawyer and your mortgage broker should be completely independent of each other - this way the fees are clear and there are no conflicts of interest at any stage.

Re the lawyer, the ideal option is a local firm familiar with the area in which you are buying. An alternative (especially if you are in a big city and the purchase is straightforward, ie a freehold house) may be to go to a nationwide legal firm specialising in high-volume, low-cost conveyancing, some of which do not charge their own fees unless the sale goes through.

In terms of the mortgage, research and understand the risks and costs of the various mortgage types available, choose which type you are most comfortable with, find the best deal for your mortgage size and LTV through the comparison sites (try them all), and then use a discount broker to set up the loan. Using an advisor or going direct means the bank is paying commission to someone or keeping the commission saved for themselves. A discount broker will set up the same loan but will rebate you a large portion of the commission earned.