Appreciate Advice - Pressure from estate agent to see their mortgage broker?

TanDiy

Hi,
Would really appreciate any views on this please.

My daughter is purchasing her first home (First Time Buyer). The offer was accepted a few days ago and the estate agent has been constantly harassing her to use their own solicitors and mortgage broker. We decided to use our own solicitor who has now started the process, but we are wondering whether it is worth meeting their mortgage broker.

A few of my daughters friends have already seen the broker and said that they did not like him and the hard sales tactics - four of them went on to arrange mortgages direct with Nationwide. We have done our own research and found the best deals to be:

Nationwide 5 year fix (£125,000 mortgage on 73% LTV)
2.14% initial for 5 years and then 3.74 variable (£999 fee) - Initial payment £470
2.34% initial for 5 years and then 3.74 variable (£0 fee) - initial payment £483

HSBC 5 year fix
1.99% initial for 5 years and then 3.69 variable (£999 fee) - initial payment £462
2.19% initial for 5 years and then 3.69 variable (£0 fee) - initial payment 474

Is a broker likely to find anything much better than this? The fee is £299 fee if she goes ahead with him.

Thanks

amnblog

If your daughter is not comfortable working with this individual, she has no practical reason to do so.

ashp_2

It's your choice. Don't let them push you into it.

Whistler23

They generally just don't give up do they! Fortunately we have an offer on a property at the moment with valuation tomorrow. The EA we are buying through are brilliant. Not once did they mention seeing their advisor once I told them we are using someone else. They also not once mentioned a solicitor either. Only gave me a couple of recommendations when I asked.

Point of this post though, is that I have signed up to around 8 EA's in the area we are looking and one in particular just kept banging on about getting on their hot buyers list, so we get to see properties before they actually go on market so to speak. We went to see their MA just because it shut them up.

Interestingly though, the lady was lovely and at no time pressured us what soever to use her services. She just gave us the figures and let us decide. What she came up with was slightly less than what we have applied for and I did actually learn a couple of things from her as well.

So, what I would say, is go and see these people and just nod and say yes. At the very least you may learn something and get a cup of tea to boot! It's only 30 mins, and it keeps the EAs happy.

kinger101

Just tell the EA you're arranging your own mortgage and the matter is closed.

shortcrust

I went through my EA's broker. He was ok actually. I only went through him because I really really really wanted the house and didn't want to take the chance of the EAs pushing more 'cooperative' buyers.

dunstonh

Estate agent brokers have the worst reputation. Local independent EAs are not bad but the chains are pretty awful (exceptions apply).

Tell the EA you already have your own adviser already.

EAs cannot stop the purchase of a house because you dont use their broker.

TanDiy

Thanks for the replies. We have no problem telling the agent that we do not want to see their broker but the agent is saying that the broker has access to 'broker only deals' that will be better than we can get by going direct to the building society. I am thinking that they just want to get us away from going direct but maybe they do have better offers. I guess we have nothing to lose by seeing him. Thanks

dunstonh

but the agent is saying that the broker has access to 'broker only deals' that will be better than we can get by going direct to the building society.

"can". Not "will".

I am thinking that they just want to get us away from going direct but maybe they do have better offers. I guess we have nothing to lose by seeing him.

Many estate agents are panel based. So, not whole of market. If you really want an idea, then have a chat with a local adviser rather than an EA rep. Local advisers live on reputation and with whole of market, you get more deals.