Mortgage on principal and rate change

nehamansha

Hi I have recently applied for a mortgage with Halifax to purchase a section 106 (affordable housing) property on a 'low-cost buy' basis (100 % ownership) and our broker told us that Halifax are the only ones that would lend because of the 106. I am putting 20% deposit and I am work visa for last 6 years in UK.
I had a mortgage on principal from Halifax via our broker(1.59) in July before Bank of England reductions. When I check online now the current rates I see they show up as 1.51 but my broker says I can't get the rates better than what i have. I have to sign the offer letter soon but my broker refuses to reevaluate the rates

Is this correct or should I challenge him. Is there anyway I can talk to Halifax directly ? Calling up customer care does not help since they say that every broker gets special rates.

Appreciate any help as I am first time buyer and very confused with a not very helpful broker

Thanks

Ftba.d

Hi ,

I'm a first time buyer like yourself so merely drawing on my experience when advising you ...

My full mortgage application hadn't been put in when interest rates dropped but I had a mortgage in principle from Halifax. I spoke to my broker when the news came out and he went and got me one at a better rate from TSB. So it seems as though it can be done but I don't know if it can be if full mortgage application has gone ahead ?

Contemptuous

Are you sure you're actually eligible for the rate you've seen online? Perhaps this is why the broker says you can't get a better product.

ACG

Every broker who can access halifax should have access to all of the products listed on here - http://www.halifax-intermediaries.co.uk/products/default.aspx

Sometimes brokers get exclusive deals in addition to these, buf it you are eligible for one product at a certain loan to value, I would imagine you are eligible for them all at the same LTV or lower...Although not using halifax that often means I am not 100% on that.

nehamansha

I did get the rate reduced finally but with reluctance. But I did check with Halifax and they confirmed reduced rated and that should be no issue getting the new rates. Based on that the mortgage advisor agreed to ask Halifax with a warning I will get charged fee which I think I should not. Not happy about having so much resistance for a request that impacts my emi
Needless to say I wont be working with him again. But thanks all for input.

ACG

The problem we as brokers have is that if we switch the deals, there is a lot of paperwork that comes with it. Its not just a call to the lender.

I completely agree with you though, the broker saying something can not be done purely because they cant be bothered doing the admin is pretty poor. It is not unreasonable for you to pay for the brokers time though, he has obtained you a Mortgage you were happy with and now you want him to switch it. It is not something I charge for personally but I still do not think it is wrong of the broker.

minimike2

They are not the "only" ones who will lend because of the 106.

But might well be the "easiest" option.

Also it is quite standard to be charged a fee post mortgage offer if you wish to change your mortgage product.