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Mortgage broker fees
par1975
Posts: 1 Newbie
Hi,
Ive just started shopping for a remortgage and for the first time ever I have tried a broker, LWF mortgages, anyone heard of them? They are charging a broker fee of 2.95% which for the mortgage amount I am after is £2628!! according to the illustration he gave me a fee of £322 is also paid by Barclays to Pink Direct, who ever they are, which I am guessing is their commission. Am I being taken for a complete ride here or is this now the going rate? What with the brokers fee, arrangement fee and the mortgage amount it would come to £92999. He's now gone away and is putting in the paper work for an offer,
Cheers.
Ive just started shopping for a remortgage and for the first time ever I have tried a broker, LWF mortgages, anyone heard of them? They are charging a broker fee of 2.95% which for the mortgage amount I am after is £2628!! according to the illustration he gave me a fee of £322 is also paid by Barclays to Pink Direct, who ever they are, which I am guessing is their commission. Am I being taken for a complete ride here or is this now the going rate? What with the brokers fee, arrangement fee and the mortgage amount it would come to £92999. He's now gone away and is putting in the paper work for an offer,
Cheers.
0
Comments
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If you are not happy with the fee do not allow them to put the paperwork in for an offer. Tell them you do not wish to proceedI am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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What a rip, wouldn't pay that, couple hundred max0
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Am I being taken for a complete ride here
Yes.
Most brokers will charge nothing and keep the commission or small amount (typically in areas of low value mortgages). To charge nearly £3k is quite frankly disgraceful.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0 -
You are being taken for a complete and utter ride. Tell them where to go and don't look back.0
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IMHO fees of this size bring the industry into disrepute.
Absolutely no way that fee could be justified based on the work required.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0 -
Sounds like the OP has the information he came on here for. Out of interest how much should you be charged? We will shortly be looking for advice on remortgage and would also like someone to take a look at our life policies. We would be prepared to pay for good advice but obviously the cost is an issue. How much shoudl we expect to pay for impartial advice?:j Trytryagain FLYLADY - SAYE £700 each month Premium Bonds £713 Mortgage Was £100,000@20/6/08 now zilch 21/4/15:beer: WTL - 52 (I'll do it 4 MUM)0
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Out of interest how much should you be charged?
Depends on the area and the type of adviser really. I would say around £500 for a prime mortgage (with commission rebated) and another £500 for insurance review and replacement policies set up commission free then that should be a good fee based option. The problem with mortgage advice is that there are not many fee only based mortgage advisers. You may need to use an IFA instead on fee basis. Although if you put the proposal to a mortgage adviser of your fee option of £1000 for both, then many will go for it.I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.0
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