Mortgage Broker Advice Please

payless

sounds like some thing's upset up.

From what I see the FSA don't seem that bad... and I'm sure a lot of the rules can and will be relaxed when it can be shown that advisers can act fairly ...

MortgageMamma

Nah payless, nothing specific has upset me - its just all this independent but not really independent nonesense, and whole of market but not whole of market - think nails on a blackboard and thats what it does to me. I don't know why, its just one of my bugbears, yet most other advisers I know are really chilled about it. Not seen you for a bit, or is it because I've not been here!

payless

Unfortunately I'm far from chilled on this point either.. but overall don't have an issue with the FSA

I'm been around, just don't post on as many mortgage posts as I did

MortgageMamma

The FSA are the cause of the issue, which is why I have issue with them (and other minor silly things) anyway I will stop hijacking this thread, cherry is the place for this discussion not mse!

Nice to see you anyway payless.

payless

cherry is the place for this discussion

Interesting bunch... the "main guy on the forums" runs a panel and charges over £3000 a case

Fat_Boy

Any thoughts on these offers from the Co Op bank?

markco_2

Hi, I am new to the forum so please bear with me. I hope this is the right place to pose my question as I am also currently serving in Her Majesties Forces and thought I'd join the thread.

I will be retiring from 22 years service in the next two years and I figure this is a good time to buy a house as we (me and my family) do not own one and will need somewhere to live. We are currently living in an Army married quarter (very nice too).

Our intention is to buy to let for the period up to my retirement, and then either sell to move to wherever I find employment or move in ourselves. The only problem with this is the interests rates for buy to rent mortgages are quite high, and with no tennant is a hefty monthly outgoing.

Has anyone any thoughts or advise?

Many thanks.

Mark.

herbiesjp

markco wrote:

Hi, I am new to the forum so please bear with me. I hope this is the right place to pose my question as I am also currently serving in Her Majesties Forces and thought I'd join the thread.

I will be retiring from 22 years service in the next two years and I figure this is a good time to buy a house as we (me and my family) do not own one and will need somewhere to live. We are currently living in an Army married quarter (very nice too).

Our intention is to buy to let for the period up to my retirement, and then either sell to move to wherever I find employment or move in ourselves. The only problem with this is the interests rates for buy to rent mortgages are quite high, and with no tennant is a hefty monthly outgoing.

Has anyone any thoughts or advise?

Many thanks.

Mark.

Welcome Markco


If you are looking at BTL there is no way getting around the fact interest rates are higher. YOu will also normally need a higher deposit to get access to the better deals also.

Having property voids - tenantless property - is one of the risks of a BTL

There are some lenders that will allow you to purchase the property on a normal residential basis however, and therefore take advanatge of residential rates (this was something offered to armed forces members)

Are you posted abroad?

markco_2

Hi herbiesjp, thanks for the reply.

I'm not posted abroad at the moment. Could you elaborate on these lenders that may offer residential rates for BTL.

Would you advise getting on the property ladder sooner rather than later and take the chance of not having a tennant for a while? Whats the housing market like at the moment, what are the future suspected trends?

Lots of questions I know but, HELP.

kebl0826

Fat_Boy wrote:

I've found a SO flat in London that I'd like to buy. The share of 40% will cost £75k which shouldn't cause any problems on my salary (£27k), however I don't have any money for a deposit

I have been offered a mortgage through Forces Housing of £93k + approx £60k home loan. Obviously I don't need that much and would like to use them but they require a 5% deposit, so now I need to think hard about using a broker. As I'm a FTB I have precisley no experience of Brokers and was wondering how I should go about choosing one and how much they charge for their services.

Any other advice would be welcome too

Thanks.

Mate, I'm in a similar position to you. I just arranged my mortgage to buy a place in East Croydon (60% of a £150k flat).

I used this company: https://www.clearadvice.co.uk. I have no complaints with them. Very honest and not pushy. They were suggested by my HA because they specialise in shared ownership and look at all deals that are out there and won't charge you any commission. I went to visit their offices and the advisor took me through all the best deals on his computer terminal.

There are definately some good deals for 100% mortgages for that sort of money. Yorkshire Bank, I think, did a deal at 100% with no Higher lending charge and no fees.

I evetually went with a 5-year fixed 95% LTV with Abbey.

Since you mention you have no deposit, as a guide (from what I am paying) you will need approximately:

*Mortage arrangement fees etc- anything from £0 to £1000
*Stamp duty - 1% of your proportion if full value is £125k+ (ie £750 for your 40%)
*Solicitors - set aside at least £1250 and get at least 3 quotes!