FTB unsure why I would use a broker?

Molehill

My partner and I are looking to buy our first property with a 10% deposit. Our credit records have no blemishes and we have no other debt. Looking around we can get less than 5% fixed rate (2-5yr) from first direct, HSBC, YBS and probably more. Yet when I just looked at some mortgage broker websites the top buy fixed rates for 90% LTV seem to be greater than 5%. So I entirely confused how a broker would help me?

Dave_Ham

See if you get the HSBC product, if you do not then you may answer your own question.

Good luck

harvey115

HSBC, FirstDirect and many other lenders only deal direct with the customers. So there deals are not guaranteed to be advised or available through brokers. However brokers have access to many other lenders and may also have inclusive deals that may suit you.

I would suggest that you use some price comparison sites to find mortgage rates suiting your circumstances. You can also go to or even call a good broker to find out what sort of deals you can get. Once you have sound information on the products available you can make the decision to your likings.

PS - HSBC and First Direct are currently one of the hardest to get through and possibly the slowest to come back with a full offer. However if you do not have time restrictions as such and you think your credit report is clean enough, you may try them.

Molehill

Skipton gave us their 95% mortgage last autumn with in a week of applying but our sale fell throuh due to building regulation issues. So we decided to save harder and get another 5% (plus increase the amount we would look up to). So I conclude from your responses if our credit record was less good or we wanted to get things through quicker it would make more sense. Though indeed no harm in asking a broker or two.

Dave_Ham

Spot on - if you got a 95% special and with nothing sinister in the background or no naughty property clauses, lease issues or anything other than mainstream; HSBC direct likely to be the best option..

All the best

harvey115

Just check with a fee-free broker to see if you can get anything better. If you are happy to apply direct on your own (on a better rate) by all means you are free to do so. The broker should be able to suggest the best deal they have for offer to you and from then its your choice.

CLAPTON

most people don't use brokers

Dave_Ham

CLAPTON wrote: »

most people don't use brokers

Bet the OP is delighted with that useful, inaccurate post that pretty much adds no value at all.

Thanks for coming..

Wutang_2

Dave_Ham wrote: »

Bet the OP is delighted with that useful, inaccurate post that pretty much adds no value at all.

Thanks for coming..

Quite an obvious response from a mortgage broker, where's your stats? Stats man, stats.

[Deleted User]

When I was a FTB, i 'beat the broker' by finding a better mortgage product online than he suggest. It was helpful to have someone at hand to fill the firms in with. After that - we had no end of problems with the application and he was not useful in any sense (but it turned out the mortgage company was in the process of being bought out and it's not a surprise they 'lost' our paperwork 4 times)

First house move (i.e. move to second mortgage firm) - I found a FD deal that looked great. Dealt with them myself. They were quick, polite, efficient, helpful and most importantly cheap. I even got them to drop some costs as they dropped them online a month after I signed up. Only downside is you need to set up a FD account to pay the mortgage from.

I won't be using a broker again

harvey115

No matter what whenever someone posts something everyone start jumping on them!

I am a FTB and have slightly complicated employment status. While reading through this forum I have learnt a thing or two regarding the mortgage market and I am very happy with this invaluable information which is almost impossible to find elsewhere.

My experience tells me, going to a broker is an advantage. You can see what is available through them and also direct while searching online. The best thing is that you can ask your broker why you cannot apply for the direct deals (if better) and decide on that. There is no one forcing you to sign on the dotted line if you do not want to. I would only trust a broker who is regulated by FSA (or there organisation), so this is the first thing to check.

Checking with a broker just opens up your mind with the current market situation.

PS - I am no financial advisor and apologies if I have said anything, I do not mean to disrespect anyone!