Mortgage Application

Justkate_2

Looking for some advice please! We put an offer in on a new home in February. Spoke to a mortgage advisor and were being offered great deals at just over 1% interest. Now he has come back to us and told us he can only get us deals at between 3-4%. I know the situation has changed drastically but when we look ourselves online the banks still seem to be offering lower rates. He’s an independent broker who works on commission, and we’re unsure whether he is only able to look at certain deals. Any idea if we’re better off doing this ourselves or sticking with him? The house we want to buy is £175k and we have a deposit of £30k

amnblog

Have you not already submitted an application previously?

Whats_your_forte

3-4% would seem to say something wrong with the credit file to me

There must be a better explanation from him regarding the variance as hard to comment based on having no facts. Yes, lots of lenders have stopped lending at 85% loan to value due to issues getting valuations on the properties but there are still others sitting at say 1.75%.

Justkate_2

He told us that lots of providers had pulled mortgages off the market due to the lockdown. He said if we could get an extra £9000 deposit we could go ahead with the mortgage we had selected but this leaves us with no excess cash so we’d rather not do that. We’re very confused now lol

Justkate_2

amnblog said:

Have you not already submitted an application previously?

We were in the middle of this process when this all hit. Our entry date isn’t until the end of May so we thought we had plenty of time 

ACG

3-4% is the bad credit market territory or specialist lending. 
Have you anything unusual about your case? 
If not then I would suggest trying another broker. 

Justkate_2

ACG said:

3-4% is the bad credit market territory or specialist lending. 
Have you anything unusual about your case? 
If not then I would suggest trying another broker. 

No, nothing unusual at all, except perhaps the outbreak. We both have excellent credit scores  

ACG

This corona thing affects everyone. 
Very strange. I think you need to probably look for another broker. 

Unicorn_cottage

Try London and Country - they are fee free and feature on Martin's mortgage guides. I used them for my first mortgage and now my remortgage. At the end of the day you don't have to go with your original broker - you can shop around!

ACG

Unicorn_cottage said:

Try London and Country - they are fee free and feature on Martin's mortgage guides. I used them for my first mortgage and now my remortgage. At the end of the day you don't have to go with your original broker - you can shop around!

I have nothing against L&C, but just have a read up on the reviews. They tend to be hit and miss, some people rave about them, others really do not like them. 

Thrugelmir

Justkate_2 said:

ACG said:

3-4% is the bad credit market territory or specialist lending. 
Have you anything unusual about your case? 
If not then I would suggest trying another broker. 

No, nothing unusual at all, except perhaps the outbreak. We both have excellent credit scores  

Lenders "credit score" according to their own internal criteria. Your "CRA" consumer scores have no bearing on the lenders decision unfortunately.