L&C DIP vs Estate Agent Mortgage Advisor - Where do I stand?

Chrisabian

Hi everyone,

Me and my partner, in our 20's, are first time buyers and are now seriously looking into buying our first home.

We came across L & C via MSE and the option to complete all our paperwork online appealed to me as a techy youngster! We completed their online form, giving all of our details, current address, employment, financial info, any credit usage etc and received a Decision In Principle, which has come back looking good for our budget as it believes we could borrow a lot more.

(I know this isn't binding and is purely an affordability calculation/a show of intent for Estate Agents.)

We met with our Estate Agents last night about viewing some properties we liked the look of. We have that arranged, but they were pretty keen for us to speak to their Mortgage Adviser.

I'm not keen on doing this as this will surely expose our financial capability to the Estate Agent and thus probably the vendor of any house we potentially put in an offer for.

I want to stick with L & C as it's been a smooth process so far. We also wanted to go through a broker as I have had credit troubles in the past (1 late payment in 2016 so I'm hoping it's not going to be too much of an issue...) - I'm currently paying off a credit card and personal loan too so it made sense under these circumstances to go through a broker.

I just want some advice really on where I stand - if I say no thanks to meeting the EA's adviser, are they going to kick up a fuss and play hard ball with us? Should I meet with them and give them our info as it'll be the same questions I imagine?

Help!

ACG

The estate agents legally are not allowed to blackmail or treat you worse if you do not use their broker, in reality however some do and because nobody ever really complains about it carries on.

It should be smooth up to now, you have an automated letter that is a simple probably 4.5x income multiple. Our system can do that and I dont have the budget that L&C has. You do not have a DIP, you have a letter. DIPs are barely worth the paper it is printed on so you are probably earlier in the process than you maybe think you are.

That being said, if you are happy to proceed with L&C and would prefer to not use the estate agents brokers, all you can do is tell them that and see how much of a song and dance they make of it. Maybe have a read up on the estate agents act so you know your rights.

Chrisabian

Hi ACG,

No I do realise where we are in the process, I did put I know it's just an affordability calculation/show of intent. Thanks for your input, much appreciated!

Moneyminded

EA's who have a linked mortgage advisor often try to encourage you to meet with them. You are under no obligation to do so. Stick to what you feel comfortable with and just say that you already have a broker in mind.

Good luck in your search for your first home