Fee-Free Mortgage Brokers in Sheffield

Simon_G_2

I've had a couple of meetings with Mortgage advisors and found that if I were to go with these brokers that I'd be paying either £299 or £399 in broker fees. So I just wondered if anyone knew of any fee-free Mortgage brokers in or around the Sheffield area?

Thanks for any help, it's much appreciated.

GMS

How much are you looking to borrow?

Simon_G_2

Well, I have a deposit of £26K and I'm wanting to keep my deposit around the 20% mark, so I'd be looking to borrow £104K. I've mainly been looking at properties around £120 - £130K, but I've viewed a property today at £145K, with the hope I can use my position as a FTB in my favour...

GMS

Despite popular opinion the commission payable to a broker on that kind of mortgage is not very much, which may well be why a broker would be looking to charge a fee.

You need to weigh up the cost. Good advice can save you money over and above the broker fee.

Keep your LTV to 80% and below for better rates if you can do.

Do you require face to face advice? Many people are happy to deal over the phone. This can keep costs down possibly reducing fees.

Simon_G_2

Sorry if I sound a bit dumb, but what does LTV stand for? I could probably take a guess but might be wide of the mark! Face to face advice isn't essential, but as I'm taking on the mortgage alone, I think you can appreciate I'd like to save money wherever possible.

Do you also know how noticeable the monthly re-payments would be if I say lowered my deposit to perhaps 17% or 15% - would I notice a huge difference?

Thanks again.

GMS

Simon_G wrote: »

Sorry if I sound a bit dumb, but what does LTV stand for? I could probably take a guess but might be wide of the mark! Face to face advice isn't essential, but as I'm taking on the mortgage alone, I think you can appreciate I'd like to save money wherever possible.

Do you also know how noticeable the monthly re-payments would be if I say lowered my deposit to perhaps 17% or 15% - would I notice a huge difference?

Thanks again.

LTV is Loan to Value. So £80,000 loan against £100,000 value is 80%.

You tend to find LTV bandings of 95%, 90%, 85%, 80%, 75%, 70%, 65%, although 95% are scarce. Some offer 60%, few 50%.

Basically the rates will get higher as the LTV increases.

Without knowing your circumstances it would be unfair to give figures but the lower you can keep the LTV the better would be the general rule.

There really is no such thing as free advice. Often free advice would have insurance pushed alongside it.

There are some lenders who will only deal directly with customers, not through brokers. Would you be prepared to pay a fee to source these deals for you? Could save you time and effort.

Simon_G_2

I was guessing it was Loan to Value, or similar. Paying a fee for deals with lenders that only deal directly with customers is something I'd consider. I'm just trying to find the overall best deal for myself.

GMS

Speak to a 'Whole of Market' broker. Make sure you agree fees up front.

Obtain copies of your credit file from Experian and Equifax. Go for the £2 statutory report rather than the 30 day free trial which can be difficult to cancel.

Ask as many questions of the broker as you like regardless of how trivial you may think they are. It is the biggest financial transaction of your life so far so it is vital to get the correct product

Simon_G_2

Thanks for your advice on this, it's much appreciated. I've actually been dealing with two mortgage advisors that are whole of market. I have another number for a guy a friend of mine recommended, so I think I'll be giving him a call in the not too distant future. Also, how would I go about getting access to lenders that will only deal directly with me, and how much are the fees likely to cost?

Thanks again

GMS

Ask the broker if he recommends direct deals. Tell them you are happy to pay a fee for this if necessary.

It may be there is a broker deal which is best for you.

If you apply directly to lenders yourself you need to ensure that you meet criteria beforehand and check fees which are payable, especially if they are non refundable.