Stick with L&C or find another broker?

Pumpkim

We made initial enquiries with L&C and got an idea of what we could borrow based on their affordability checks. First issue is I'm not sure this is worth the paper it's written on, it's a lot more than we expected (and more than we need or want), I'm not convinced anyone would lend us as much as they are saying which puts doubts in my mind about them...
Combined income of £60k, they said we could borrow £235k over 25 years. Both got excellent credit score. One dependent of school age. £10k of credit card debt and a £5k loan.

We want to borrow £153k, 90% LTV. My worry is the debt. I want to be sure they will only put forward a full application with a lender who would accept this, rather than just going for the lowest rate. Am I worrying over nothing?

glosoli

Whats your income and how much did they say you can borrow?

Pumpkim

I've updated the original post. Using my phone and it took on a mind of its own!

kingstreet

Need the monthly loan payment, not the balance.

What's the income breakdown? £60k and £0 gets a different outcome to £30k and £30k.

amnblog

From what you have said it seems very unlikely that the current debt will bring your affordability down to under £153,000.


The issue seems to be that you do not trust the Broker. How did you come to approach them in the first place? There is obviously something about their approach that has left you uncertain?

Pumpkim

I got the info from the MSE main site in one of the articles. I didn't know where to start in finding a local broker so it seemed like an easy option to pick up the phone. The fee free element was obviously attractive too. Then I read a few negative forum posts so got worried...

amnblog

At 90% the Halifax rate is not 2.69%, more like 3.54% (unless L&C have an exclusive).


(Even the Halifax £1,000 cashback is only worth 0.3% at this level of lending)


There are a number of lenders offering rates around 2.20% who should do this case.


From what you have said it appears you are concerned about being accepted, yet there appears to be a big price to pay to use Hfx.


L&C are not the only Brokers who work over the telephone.

ACG

I see no reason why you can not get £153k.
I agree and I think £225k is a little too much.

The next 2-3 months are going to be stressful, I was stressed buying my house last month and I have a fairly good idea of what I am doing - so if you are having doubts about L&C or the broker in particular now, find a new one.