Countrywide

ixxi

Hi all,

I am a first-time buyer and my OH booked us in with Countrywide to have a chat about mortgages. The person we talked to claimed they did check the whole of the market (even though they have their panel of preferred lenders). Is this true, or was she just lying to me?

Also I have searched Countrywide on these forums and found a few threads about the uselessness of their conveyancing team and surveyors. I assume by securing a mortgage through Countrywide Mortgage Brokers (if that's what we eventually do) we're not tying ourselves into using the whole Countrywide family, or are we? If so is it better to ditch and run now before they put a mark on our credit records (they're just checking with HBOS atm which I am informed only leaves a "soft" record) or is it OK to go with them and then attempt to find local firms to do the rest? If the latter is the case, can anyone recommend any solicitors/surveyors etc. in Southampton?

Thanks very much,

IxxI

DVardysShadow

Countrywide are not well regarded on these forums, because of the conflict of interest between their roles as providers of financial and legal services to buyers and providers of Estate Agency services to sellers. Find a mortgage broker who have no estate agent aspect to their business.

MissMotivation

ixxi wrote: »

Hi all,

I am a first-time buyer and my OH booked us in with Countrywide to have a chat about mortgages. The person we talked to claimed they did check the whole of the market (even though they have their panel of preferred lenders). Is this true, or was she just lying to me?

Also I have searched Countrywide on these forums and found a few threads about the uselessness of their conveyancing team and surveyors. I assume by securing a mortgage through Countrywide Mortgage Brokers (if that's what we eventually do) we're not tying ourselves into using the whole Countrywide family, or are we? If so is it better to ditch and run now before they put a mark on our credit records (they're just checking with HBOS atm which I am informed only leaves a "soft" record) or is it OK to go with them and then attempt to find local firms to do the rest? If the latter is the case, can anyone recommend any solicitors/surveyors etc. in Southampton?

Thanks very much,

IxxI

She was lying, Countrywide do work with a panel of abour 7 lenders....they are not whole of market :eek:

DVS is correct, find an Independant, whole of market broker to get the best advice.

betmunch

Its not as few as 7! But it is highly restricted panel. I believe its about 12.

The are not whole of market, they are not free, and their conveyancers are not very good!

jc808

betmunch wrote: »

Its not as few as 7! But it is highly restricted panel. I believe its about 12.

The are not whole of market, they are not free, and their conveyancers are not very good!

this^^^^^^

ixxi

Thanks all,

It seems a bit iffy that their agent is claiming that they do search the whole of the market when they don't!

I'll look somewhere else for my mortgage broking needs based on the above advice, thanks for saving me a headache!

IxxI

ticket2ride

One word: Avoid.

Had a phonecall from them this morning myself, even though I'd told them I didnt want to use their "independent" advisor. Very pushy and irritating.

Do you really think that someone recommended to you by an estate agent, in the same group, is going to put your interests first?

779

MissMotivation wrote: »

She was lying, Countrywide do work with a panel of abour 7 lenders....they are not whole of market :eek:

DVS is correct, find an Independant, whole of market broker to get the best advice.

Note also, that "whole of market" IFAs are not "whole of market" either, - as some lenders do not offer their products through brokers at all... -

So whatever you get offered through a broker, - make sure you do your own research also.

MissMotivation

779 wrote: »

Note also, that "whole of market" IFAs are not "whole of market" either, - as some lenders do not offer their products through brokers at all... -

So whatever you get offered through a broker, - make sure you do your own research also.

Agreed but some IFA's can still search direct to Lender products.

kingstreet

You need to be able to distinguish between independent mortgage advisers who charge you a fee but rebate back to you any commission they receive and whole of market advisers who only source from products which pay them a commission and can charge you a fee on top.

I'm going out now but I'll post back later with more...

kingstreet

Here's a comparison I prepared back in June. The rates are out of date, but the principles are still correct;-

Whole market advisers may only select from lenders and products which pay them a commission and they may charge you a fee on top, while an independent may agree a fee with you and pay to you any commission he receives. If a direct to lender product is better for you, the independent will tell you if that is better as you are paying a fee for the advice.

Here's an example;-

You see a whole market broker looking for a 25 year repayment £150k mortgage on a £200k purchase. You want the best five year fix, regardless of fees. You agree the broker will take commission on any arranged mortgage.

He finds you an Accord Mortgages product at 4.44% fixed until 31/08/2016 at £828.65 per month. The broker will receive commission of £487.50.

You then see an independent broker who agrees to charge you a fee of £299 and to pay you any commission he receives on any arranged mortgage. He also looks at direct to lender deals and explains that in this case, you may get the best deal, but no commission rebate.

He finds you the Accord option, but as you have a fee agreement, he tells you the commission rebate would be £487.50, leaving you £188 better off.

The best overall deal is Yorkshire Building Society's 3.99% fix until 30/09/2016. The monthly payment is £790.93. This is a direct to lender product, so no commission rebate. You've paid a £299 fee, but in doing so, the monthly cost of your mortgage has fallen by £37.72 against the Accord option, saving you £2,263 over the five year fixed term.

I'm sure someone will point out that you can save £299 by finding the best direct deals yourself and that is true. If you have the time and inclination to do that, why bother with a broker at all?