Help with FTB Mortgage

Chin

Hello

Hope somebody can help us please.
We are in the process of arranging a mortgage after having our offer accepted.
Our broker has got us an agreement in principle with Accord for a 5 year fixed at 5.49% however I have since found YBS are offering a 5 yr fixed at 5.09%

We are after a mortgage of £226k with a £50k deposit and our concerns are;
- would already having an agreement in principle hinder an application with a new lender?
- if ybs do reject us for any reason would that put our agreement in principle with Accord in jeopardy?
- ybs only deal direct, so we are concerned about the work we'd have to do (as opposed to a mortgage broker filling in papers etc. On our behalf). Is it a lot of work?

Finally, based on the above would YBS lend to us based on 2 x salaries of £28k?
I have a monthly car loan of £450 which will be repaid upon completion.

We both have good credit so no probs there.

Any help would be greatly appreciated!

Simon

BlueC

Chin wrote: »

Hello
- would already having an agreement in principle hinder an application with a new lender?

No. An AIP is fairly meaningless anyway. You're quite entitled to make an application to another lender if you wish.

Chin wrote: »

- if ybs do reject us for any reason would that put our agreement in principle with Accord in jeopardy?

No.

Chin wrote: »

- ybs only deal direct, so we are concerned about the work we'd have to do (as opposed to a mortgage broker filling in papers etc. On our behalf). Is it a lot of work?

No its really not. Can often be done entirely over the phone too. Don't let your broker kid you into thinking he's doing some hard work!

Chin wrote: »

Finally, based on the above would YBS lend to us based on 2 x salaries of £28k?

Only YBS will know that once they have all the relevant info.

Good luck!

Chin

Thank you
I'll give ybs a call in the morning.
Does anyone know from experience if ybs are strict on their criteria and set lending brackets as the likes of first direct are(which I've been reading on here)

S

GMS

Try their website for an affordability calculator first.

kingstreet

If you are declined by Yorkshire Building Society, you may find you can't return to Accord. They share some common underwriting, as Accord is the broker-arm of YBS.

Are you buying for £276k with a £226k mortgage, or did you mean to say a £226k property with a £176k mortgage in your opening post?

Did your broker pick Accord for any particular reason?

Based on the two possible figures, you are borrowing either 77% or 81%.

For the former, there are a number of sub 5% offers, all with lower arrangement fees than YBS's £1,495. Coventry, Vernon, Newcastle, Monmouthshire, Furness, Nottingham and ING all feature, with ING having no arrangement fee to pay.

For 81% loan to value, the YBS deal does have the best rate, however it's a toss-up between that and Barnsley's 5.29% as the Barnsley fee is only £405 compared with Yorkshire's £1,495.

Some lenders have geographical and other restrictions you'll need to check before considering an application.

Chin

Their affordability calc says they'll lend what we need when we put in that we have no monthly outgoings but when I put them in it lowers the amount. The calc asks for the monthly outgoings even if they will be settled by completion. Odd?

Chin

The house is £276k, we are putting in £50k so a mortgage of £226. Sorry should have been clearer.
Broker suggested Accord as we were well within their lending criteria and they also were the cheapest.

The flat is in London.

Appreciate everyone's input greatly.

Chin

Bumped to see if any other feedback before I make a call on it today

Cheers