FTB: advice on lenders for 90% LTV

maryeta

Hi all,

First time buyers here! We don't have any current loans, debts or credit card balances and good credit scores (which I appreciate means nothing to lenders anyway).

Our house offer was accepted on Wednesday and we have already talked to a Mortgage Broker. This broker, however, works on a no fee for us system (gets commission from lenders) so could be a bit biased.

On the other side, I had been browsing in different comparison websites as well as direct with major lenders and had shortlisted a deal with Barclays (on a 2-year fixed which is what we are considering) so this is the deal the broker also found (but even with a lower interest rate than the one I was seeing directly in their website). I had also seen some deals with M&S and Nationwide with some cashback but these still worked out more expensive overall.

We decided to get in touch with a mortgage advisor because we started reading all of these horror stories about how difficult getting a mortgage can be with just a 10% deposit so on this note and maybe this is a question for any mortgage brokers around here:

- Are there any lenders who are particularly picky about 90% LTV and that you might advise your clients against?
- Speed: the mortgage broker mentioned that yes there are some lenders who take a lot longer than others, Barclays being one of the not so speedy ones because of having underwriters in India, but that we should not base our decision on speed VS. better value for money. Are there any lenders you would not "touch" in the current market or based on recent experiences?

We have sent all paperwork and are talking to the broker today to get the application done but I am wondering if there are more things we should be considering and she has not walked us through (for example exit fees when remortgaging after the 2-year fixed is out).

We are keen to exchange asap to avoid any last-minute dramas (even though sellers have no chain) so would not want to end up having to wait 5 weeks for a mortgage offer either.

Any advise as to lenders and current deals going around for 90% LTV?

Thanks and sorry for the long post!

ACG

I would not touch Barclays with a barge pole at any loan to value.
I still have nightmares about their system and I have not used them for 2-3 years. I might consider them for a remortgage if the customer banks with them.

maryeta

Thanks ACG!

Blessing in disguise then as Barclays had put the rate up today so we have ended up going with NatWest instead (through the aforementioned broker). She's said that Natwest are in the UK and quite quick so fingers crossed...!:T

ACG

Natwest are one of the easiest lenders to deal with. You may find you have a mortgage offer subject to valuation within 3 days.

maryeta

That would be amazing...! We have the bank holiday weekend in the middle so probably some slight delay from that already so now just to chill and wait for whatever it has to be.

Thanks a lot for your input, so re-assuring for completely newbies like us!

LRmortgage

Nat West are great to deal with, Barclays systems is really a nightmare but they do tend to get there in the end.

I do use Barclays when I really need to. I’ve spent nearly 6 hours inputting a case with them over yesterday and today.

Your Broker sounds like they are making all the right noises and following the best path for you.