Mortgage broker

Tlg1991

I went to see a mortgage broker as we have seen a house we want but i am in new employment and still in my probation period for another 4 months. So we decided to go with a broker.

just wondering what are the average fees for a broker he said about £900 for him. and also how long does it take for them to find something, we want to make an offer but want to make sure we can get the money first obviously. its been 3 days since we went, not including the weekend.

ACG

Is there anything else complicated that they need to contend with? (bad credit, paid in foreign currency etc?)
How much are you looking to lend?

On the face of it £900 seems high for a fairly straight forward mortgage, but there could be other reasons why they need to charge so much.

Tlg1991

its me and my partner, she is still a student but only for another few months and will be working after that. but obviously that means nothing to the lenders.

apart from that, no. clean credit report no loans no debt.
the house is £137k we have a £15k deposit.

Edit*

He did start saying my probation was going to be a massive issue, a lot more than i thought it was going to be. then at the end of the meeting said he just got someone with a zero hour contract a mortgage, which i would have thought to be a lot worse.

amnblog

If you were not working prior to your current role - that is the main issue, not the probationary period.


A broker will earn about £400 in commission from placing your mortgage and that is just not enough for most businesses hence the broker fee.


It is difficult to say what average fees are because it depends on the service provided. It sounds like the fees quoted could be improved upon, but they may be good value for money depending on the service.

ACG

Probation is an issue, but I doubt very much its an issue that would warrant you paying £900 for. 0 hour contracts are completely different and unrelated to your circumstances.

Assuming everything else is fairly normal, I think £900 is a little steep personally.

It might be worth calling a few others to see what they think.

Tlg1991

I have not been out of work since i left college in 2010.

he made 2 points which needed to be looked at 1 of which was my probation and the other was my wage and mortgage amount. i thought my partner being a student still would have been the biggest issue bringing the amount we could lend down and not having enough for the house.

thanks for the help anyway, ill keep chasing

GoldenShadow

Mine usually gets commission from the lender, if he doesn't his fee is £500 and we are in a home county where things tend to cost a bit more.

Let_Us_See

An experienced adviser should be aware of the lenders that would accept your current probationary period.

Not much any adviser can do with partner's student status and if included in mortgage application could decrease borrowing if assessed as a financial dependent. Why not wait a few months until they are in employment?

Finally, find an adviser who charges on receipt of an offer of mortgage. No offer, no fee to pay.

Tlg1991

just and update,

We rang our broker 3 times yesterday and apparently he was out of office all day so we couldn't talk to him after repeatedly being told he would ring us back.

we went to see him on Friday so have got a bit bored of waiting, we have been in touch with another broker this morning and he is sorting it out and his fees are only £290. He has said the same thing about my probation being the only limitation really. so fingers crossed we at least get a response so we know where we stand.

amnblog

Make sure the original broker is not continuing to work on the case or you run the risk of the whole thing tripping over.


Only ever work with one broker at a time.

Tlg1991

he doesn't take a charge till we accept to a mortgage through him if he find something. But i will let him know either way, Thanks.