Mortgage nightmare-could Mortgage Packager be the solution?!

Mortgagesufferer

Theoretically you're correct !

ACG

I reckon there will be a home for this.
There wont be many options as there is a lot going against it but your broker must be relatively confident if he has come back to you.

Just ensure you are only paying a fee on mortgage offer or completion (NOT application). The packagers fee is one that will most likely be due on application however and thats one you wont be able to get around paying upfront.

GMS

Does the block have lifts?

Any balcony access?

Which lender have you been advised will look at it? Mortgage packagers don't lend money, they act as middle men.

Every lender will rely on the comments of the valuer. If the valuer does not think it is suitable security then they will decline.

Mortgagesufferer

I am paying the application fee £299 and the valuation fee £450 upfront and the adviser on completion (£750) (rate 2.49). My adviser had provided the mortgage packager with the valuation report from Abbey and they were aware of the issues with the flat (high raise, low ratio) before they confirmed that they could lend. He came back to me after he had assurance from the valuers (according to him) that the report will be positive!!

Mortgagesufferer

Sorry,, we have a lift and balcony overlooking the river, 4th floor.

GMS

Have you had a Key Facts Illustration?

Mortgagesufferer

No, not really. He simply provided me with the above and the fact that it will be fixed for 2 years. By the way, would I be able to go to another lender after 2 years or do I have to stay with the same one? Thanks.

GMS

Mortgagesufferer wrote: »

No, not really. He simply provided me with the above and the fact that it will be fixed for 2 years. By the way, would I be able to go to another lender after 2 years or do I have to stay with the same one? Thanks.

Ask for an illustration. What rate have you been quoted?

I wouldn't worry about where you can move in 2 years time. Be more concerned with what you can get now, if anything. As you intend to let it you would need a BTL mortgage in the future.

You have already seen how difficult it is so you are unlikely to have many options, if any to move

Mortgagesufferer

All the details he sent me:

2.49% fixed for 2 years
£716.98 – monthly payment

£0 Arrangement Fee

£430 Valuation fee (non-refundable) – payable up-front

£265 Mortgage account fee – payable on completion

£295 Application fee, payable upfront

GMS

Sounds like a Halifax product. If so no need for a packager.

Can't see them doing it though if it is.

Get an illustration before parting with any fees