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To Santander or not?

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yessuz
yessuz Posts: 259 Forumite
Seventh Anniversary 100 Posts Name Dropper Combo Breaker
edited 14 September 2016 at 2:41PM in Mortgages & endowments
Hi, a question.

we are FTB with 95% LTV.
Our mortgage broker said that probably the best deal for us is Santander.
2 year fix, introduction rate 3.79 (as we are on 95% LTV, it's not the best deal, of course), no scheme or any other fees + 250 cashback.

it's not the best of the best in case of the capital repayments or the interest rates, but it offers quite reasonable monthly payments (in line what we expected, actually) with expectation, tht with few overpayments, in 2 years time we will be at 85% LTV and remortgage. Well, at least expectation is that in two years I will be able to pay and everything will be cool :D

Also, what they say, is that actually, although there are better deals on their website (i.e. Mansfield building Society or Hanley Economical offers 3.1% ), so the hell this one fro Santander is probably the very best we can get? What broker said - because "We will not fit Mansfield affordability criteria (when we talked with mortgage broker, we got that "mortgage in principle", and we are going to apply for less than 75% of the max value "we would be able to borrow"). so other than interest rate.,
I still find the Santander mortgage quite attractive, but it is strange that looks like better deals for FTB are not offered. .
In the end - in 2 year time the total cost difference would be ~ £2000 between this santander product and Hanley, santander being more expensive.

is it true, that those Nottingham BS, Mansfield BS or Hanley - etc., they have more strict affordability criterias?

And then – the main question: have you heard anything wrong about Santander or Hanley? Or you can comment?
I own an EV. AMA

Comments

  • wjr4
    wjr4 Posts: 1,306 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    We just got a Nationwide mortgage 3.79% rate, 95% LTV, 2 yr fixed with £500 cashback and £999 product fee added to loan.. so your deal seems a good choice! Trust the broker :)
    I am an Independent Financial Adviser (IFA). Any posts on here are for information and discussion purposes only and should not be seen as financial advice.
  • wjr4
    wjr4 Posts: 1,306 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Also some of the building societies you have to live within the area to get the mortgage.
    I am an Independent Financial Adviser (IFA). Any posts on here are for information and discussion purposes only and should not be seen as financial advice.
  • yessuz
    yessuz Posts: 259 Forumite
    Seventh Anniversary 100 Posts Name Dropper Combo Breaker
    rjw4 wrote: »
    We just got a Nationwide mortgage 3.79% rate, 95% LTV, 2 yr fixed with £500 cashback and £999 product fee added to loan.. so your deal seems a good choice! Trust the broker :)
    thanks for the answer!
    I own an EV. AMA
  • xyz123
    xyz123 Posts: 1,671 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Unless property prices go up, Going from 95‰ to 85‰ in 2 years will require decent overpayments as initially bulk of payment is towards interest than down payment.
  • yessuz
    yessuz Posts: 259 Forumite
    Seventh Anniversary 100 Posts Name Dropper Combo Breaker
    xyz123 wrote: »
    Unless property prices go up, Going from 95‰ to 85‰ in 2 years will require decent overpayments as initially bulk of payment is towards interest than down payment.

    I understand that, although it is a bit "fingers crossed", but , area. Where I am buying is very popular and on the rise (i.e. New builds, for whatever reason are 50-80k more than 20-30 year old houses..., and even without rise, would need approximately a bonus to transfer as overpayment. So, fingers crossed :/
    I own an EV. AMA
  • Out of curiositywho was the broker? I just got offered thesame deal through a broker and he said theaffordability is more relaxed
  • yessuz
    yessuz Posts: 259 Forumite
    Seventh Anniversary 100 Posts Name Dropper Combo Breaker
    edited 15 September 2016 at 11:20PM
    johng1983 wrote: »
    Out of curiositywho was the broker? I just got offered thesame deal through a broker and he said theaffordability is more relaxed
    Broker is LandC
    I own an EV. AMA
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