The Broker Blues Thread

haras_nosirrah

I think Kingstreet may be the one to help me here as another shared ownership speciality broker

Have a client who owns a 25% share mortgage free. Wants to remortgage her 25% share to 80% to give the money back to her dad as he gave her the cash to buy it initially as she wasn't in a position to get the mortgage as self employed with no books. She is now employed with 1 year history so can now get a mortgage and dad needs the money to assist his younger daughter with her deposit

Affordability is fine but am struggling with anyone doing equity release for any purpose other than buying new shared. Woolwich and Nationwide both said no, halifax no as not a ftb.

To save me lots of phone calls is anyone here aware of who might do this?

kingstreet

Usual suspects for me would be Leeds, but I have no idea if they will do something like this, as I've never tried.

I also do SO stuff with Dudley, but you can't go direct now, you have to use one of the packagers;-

http://www.dudleybuildingsociety.co.uk/intermediary/submitbusiness.html

haras_nosirrah

spot on kingstreet

leeds will do it up to 75% ltv.

abbey would do it up to 35% ltv

woolwich, nationwide, halifax won't do at all

just in case someone else comes up with the same thing

Davies998

I'm having a Trigold issue and wonder if someone can offer some help. And try it themselves. I've been on to them for over an hour and am very unhappy with their explanation.

When I source mortgages I get 115 results. I then click the total to pay to see how much they would all be over a specific period of time. When I do the products go down to 99.

One of the 16 that it gets rid of is one I'm specifically trying to compare. They both have a £99 booking fee that can't be added to the loan. 1 has a £900 arrangement fee, the other has no arrangement fee, the interest rates are higher on the no arrangement fee product. (same lender)

I want to know if it's cheaper for the client to have the arrangement fee added to the loan and pay a lower monthly cost or have no arrangement fee and a higher monthly cost.

Trigold/iress are saying that a filter is applied when I ask for total to pay which is rubbish as it's not a filter, it's a calculation. I'm not asking it to filter products that have fees that can be added to the loan and those that can't. I'm asking for a calculation. If it is a filter based on the product not having an arrangement fee that can be added to the loan then why are there 33 no arrangement fee products still being calculated? Why have these 16 products been specifically chosen, why does it keep the product with the arrangement fee but still has the same booking fee as the other product. They can't answer that one.

Could you try it on your system please?

aylesburygirl

From what I understand it is if you are asking to add the fees and source over Total to pay it will filter out any products that don't allow you to add the fees if it takes you over the product loan to value- is it a 90% LTV?

Davies998

aylesburygirl wrote: »

From what I understand it is if you are asking to add the fees and source over Total to pay it will filter out any products that don't allow you to add the fees if it takes you over the product loan to value- is it a 90% LTV?

That would be perfectly feesable and that's what I thought initially but it's the product with the no arrangement fee that's disappearing so no change to the LTV.

When I ask for a total to pay over any given period be that 2,5 or 25 years that's what I want the system to do. Tell me the cost of each of the 115 products over those periods. It's not difficult to do and Iress won't admit it's a flaw in their system/calculations and if it was a problem then 100's of people would have told them about it already. If it can't arrange my originally sourced 115 products in order of cost over a specific period because it decides to remove 13% of them for no good reason then it looks like a totally un-compliant mortgage source. I am not asking it to filter products where the arrangement fee can be added or not I am asking for it to add the arrangement fee where possible (increasing the monthly cost) then tell me how much that would be.

haras_nosirrah

its easy to do the calculation without filtering

e.g.

product a £520 a month with a £999 product fee added
product b £538 a month with no fee

both 2 year fixed

£18x 24 months = £432

therefore it is not worth paying £999 to save £432 so go for non fee

kingstreet

I can only guess that as Nationwide products are for a number of years from completion, the sourcing systems can't cope with them.

Davies998

haras_nosirrah wrote: »

its easy to do the calculation without filtering

e.g.

product a £520 a month with a £999 product fee added
product b £538 a month with no fee

both 2 year fixed

£18x 24 months = £432

therefore it is not worth paying £999 to save £432 so go for non fee

I know it's easy to calculate when there are 2 products side by side but I'm trying to compare 115 and source the best, not just pick between 2.

Davies998

kingstreet wrote: »

I can only guess that as Nationwide products are for a number of years from completion, the sourcing systems can't cope with them.

Nope. It keeps 6, gets rid of 3.