commission amount to broker?

ellives

Out of interest, what would my broker be receiving for a £370k mortgage via Nationwide?

I could have got the same rate directly, so interested to know.....

Senior_Paper_Monitor

It will be declared down to the last penny on your KFI and confirmed/corrected on the offer (section 13)

or just ask him - we don't know the product (rates vary), network or distribution route (rates vary) etc etc

handytips

Approx £1,200, as said above this will be on the KFI the suitablilty letter, and the offer. There is no cost to you whether or not you went direct. I detect a certain amount of why should they get paid for this kind of attitude here. Maybe i am wrong, however i have never ever ever have a client ask me how much procuration fee i earn, although i do point it out to my clients when explaining the KFI.

dunstonh

Maybe i am wrong, however i have never ever ever have a client ask me how much procuration fee i earn, although i do point it out to my clients when explaining the KFI.

Can you imagine someone going into Nationwide and asking the clerk there how much they earn?

shahgee

As per FSA rules, the adviser must point it out to the client the fee he will be charging him upfront & also what he will getting from the lender. But I think its worth it!

TrickyDicky101

Since the cost to you is the same regardless, I wouldn't worry too much about it.

I have taken out two mortgages in my life, both of them from Nationwide.

With the first I used an independent broker (think he got approx £650 from it - mortgage wasn't as big as yours) and was pain-free from my perspective with the mortgage broker dealing with all the admin.

With the second (taken out recently) I went direct to NW. Never again! Despite me thinking it was relatively simple (affordability wasn't an issue) NW managed to screw it up and caused delays in getting my survey completed. Their in-house mortgage 'consultant' was responsive and seemed knowledgeable whilst I was applying, but as soon as I had signed the papers and handed over the booking fee he blatantly wasn't remotely interested in sorting out the issues and was practically uncontactable, never returning calls. I resolved my difficulties in the end, but the added stress I could have done without.

kingstreet

as soon as I had signed the papers and handed over the booking fee he blatantly wasn't remotely interested in sorting out the issues

That's one reason you can always trust an external advisor's self-interest. When I submit an application I always know I have to get it through as quickly as I can so I get paid faster, and make it as painless as I can so I can count on the client referring others to me and coming back himself.

handytips

What does he OP think ?
I really do not understand some peoples hangups with what we can earn, some advisors i know earn less than 12k a year, however such is life. By the way i earn more than that, however many of us have had to go part time etc. But i have always found the public seems to think that a big hand comes out of the sky and pays us huge amounts of money for nothing. Very often i give advice to people totally free of charge. Does a plumber come and fix your dishwasher free of charge.

Wh05apk

£1200 for one mortgage sounds very nice, and in fairness will probably represent about 2 days work in total? if we all could do 2-3 of these a week we would do very nicely thank you, having said that, we could also spend 2 days chasing this application then the property falls through and we get nothing, reality is that we spend a lot of time seeing potential clients/prepping etc and doing work which may go nowhere, for that we don't get paid.

TrickyDicky101

kingstreet wrote: »

That's one reason you can always trust an external advisor's self-interest.

Yep :-) You, me and Adam Smith agree on this one!

ellives

Seems a lot of money for being a data inputter.....that's a cynical, ill-informed response for those that got all defensive!

....and assumed my motives for asking were ill-conceived.

FYI - he has been fantastic so far and seeing he is costing me nothing, I'm very impressed.