mortgage broker v DIY

jkerr86

My question is, are you more likely to secure a mortgage if you use a broker?

I have approached an advisor but I am unsure whether to proceed with their service and have to pay £450 or contact the banks myself.

I am putting an offer on a house tomorrow and have already (myself) got a MIP from a high street bank. I am slightly worried because I have outstanding credit but I've never missed a payment or defaulted so hoping this will go in my favour, but if I am more likely to get the mortgage going via the broker I would do that.

dunstonh

The broker will have more deals available then you walking up and down the highstreet. An experienced broker will also know the lenders that you are able to push limits with or have issues with.

If £450 is the fee for an independent mortgage adviser then that is pretty good (£500 is typical). If its for a whole of market adviser who is getting commission as well then its at the higher end.

One of the main benefits of a mortgage adviser is the processing and handholding as well as the advice. Most of the banks have moved to non-advice.

smcqis

The broker will do all the running after the bank for you...well mine did anyway

Ste.._2

I tried DIY first and it was a spectacular failure.

A good broker is essential, as well as dealing directly with mortgage managers and underwriters on your behalf, they can take all of your paperwork and history and build a case for you for submission as a full application, and then argue for it on your behalf directly with the bank especially when it comes to the inevitable to-and-fro process of underwriting the mortgage, they can present your application in the best possible light whilst being honest as they have a good idea of what it will take to get the mortgage approved.

A broker is easily worth the fees if you have a non-standard or non-premium application.

jkerr86

thanks for this.

I can't help thinking that the facts and figures should speak for themselves, can a broker really work out a better deal than you could for yourself?

I've already got an Agreement in Principal, is that not me half way there or should I re approach the broker and proceed with her?

GMS

If you are confident in what you are doing then proceed yourself.

Are you sure you are getting the best deal for yourself? As people have said a broker will do all the work for you and answer/argue with the lender.

jkerr86

Ive decided to go with the broker. The experience and knowledge is obviously invaluable and I could do with all the help I can get.

Thank you all

ruggedtoast

jkerr86 wrote: »

thanks for this.

I can't help thinking that the facts and figures should speak for themselves, can a broker really work out a better deal than you could for yourself?

I've already got an Agreement in Principal, is that not me half way there or should I re approach the broker and proceed with her?

The AIP shows you passed the credit initial check and affordability calculations. But the fat lady doesnt sing until the underwriters agree your application.

I used a broker (London and Country) who recommended ING, ING wont liaise with brokers so I had to do everything myself, but all they wanted was 1 payslip and a credit check so that was no real hassle.

You hear of people being mucked about by lenders who dont want to lend so presumably a broker would steer you away from that.

The other benefit of using a broker is that they will hold your hand through the application process, and steer you in the right direction if your application is a bit iffy.

If you dont feel you need that then forge ahead.

Joe_Bloggs

The bottom line is the mortgage deal that you get. This deal is going to depend upon the actual property rather than any mortgage in principle.

Some lenders like all sorts, others are anti, others are pro some construction technique or other. This can be researched.
A great deal of intelligence can be gathered.

Arrange things if possible to part with no money until there is a mortgage in writing.

I could be wrong.
J_B.

stressed_out_dad

Im in a similair position although i was able to get myself a better deal than my broker could get me im now with the underwriters due to random checks on applications seemingly and wandering if im able to pass my application over to my broker to work on my behalf as the builders pay for this service anyway its just i saved myself 60-70 quid a month without him,so is it possible to hand over to a broker at this stage ?

originalmiscellany

I've done both, used a broker (brilliant, really easy and effort free) and myself with First Direct - again really easy and effort free. For what it's worth, I'd use a broker if I had the choice, ours is great (Based in Solihill if you need a recommendation) and made the process so straightforward, a joy even!