Possible negligence from my mortgage broker

Tigsteroonie

RyanWills94 said:

tiglon said:

If you're unhappy just make a complaint. Arguing with people on the internet isn't going to get you anything.

I have and fortunately I have already received a very promising email which I’ll shortly upload.. 

How long does it take to upload a photo of an email? Or to C&P?

RyanWills94

Tigsteroonie said:

RyanWills94 said:

tiglon said:

If you're unhappy just make a complaint. Arguing with people on the internet isn't going to get you anything.

I have and fortunately I have already received a very promising email which I’ll shortly upload.. 

How long does it take to upload a photo of an email? Or to C&P?

All in due course  

RyanWills94

mortgagetakingages said:

RyanWills94 said:

mortgagetakingages said:

RyanWills94 said:

Densol said:

Mate - honestly - dont bother trying to argue with people on here. Its just not worth it unless you have gained valuable advice. No one on here can tell you that you dont have a chance. Lodge the complaint and battle it as far as you can. Im a complainer and Ive won loads of complaints. Some you win, some you lose. If you try and give it your all - thats all you can do ! 

Haha I know, well I’ve had a very promising email from open works who are currently dealing with it now. I will update the thread in due course 

How much was the erc that you decided not to pay? 

There weren’t no ERC to pay. Do you mean how much did the broker assume it would be? £2300...

So you valued the risk of losing the 95% deal at £2300 as that was the amount you would have needed to pay and the was the reason why you didn't proceed so.... £2300 feels like the limit of your claim based on your own actions demonstrating that amount was the price you chose not to pay when you were wrongly informed that was the amount.

And the fact that we weren’t given the fair opportunity to put the application through, potentially saving the rent we have paid on the other half... although the mortgage payment would have been more on the other half, it’s principle that it would be money in the bank rather than the housing associations pocket 

SpiderLegs

How much was the rent and how much was the increase in the mortgage payment? 

What is your current interest rate and term vs the new mortgage?

RyanWills94

So they’ve requested to see proof of deposit back from October which I’ve sent, they have also requested to see the amount of rent we have paid which I’ve sent, and also the voice recordings which I’ve said I will not be sending and will keep in case we have to go court where they can be used as evidence. On the same email they have asked me what compensation I would like... I literally have no idea! The rent we’ve paid won’t come close to what we need for the deposit for the rest of the house, what would you say is a fair amount?

haras_n0sirrah

what were the rates on offer at that time?
What is the difference between the monthly interest that would have been the new part of the mortgage and the rent (you can't claim the whole rent as you would have been paying the mortgage)
How has the price changed in the meantime?
The idea would be to put you in the same position e.g.

So for example the house value is 200k. You wanted to buy the other 50% so 100k. Your mortgage would have been 3.99% so interest of £332 a month. Your rent was £229 a month so you are up £2472 on the monthly payments
however the house has gone up 10k in 2 years. 50% of 10k is 5k - £2472 on lower payments = £2528
Has the house gone down in value then you may not be due any compensation as your savings may outweigh the missed opportunity costs
You can't claim for the deposit for the rest of the house - the advisor had no way of knowing a pandemic would mean 5% deposit rates would disappear - no one knew that. 

SpiderLegs

RyanWills94 said:

So they’ve requested to see proof of deposit back from October which I’ve sent, they have also requested to see the amount of rent we have paid which I’ve sent, and also the voice recordings which I’ve said I will not be sending and will keep in case we have to go court where they can be used as evidence. On the same email they have asked me what compensation I would like... I literally have no idea! The rent we’ve paid won’t come close to what we need for the deposit for the rest of the house, what would you say is a fair amount?

So how much rent have you paid?

MWT

haras_n0sirrah said:

what were the rates on offer at that time?
What is the difference between the monthly interest that would have been the new part of the mortgage and the rent (you can't claim the whole rent as you would have been paying the mortgage)
How has the price changed in the meantime?
The idea would be to put you in the same position e.g.

So for example the house value is 200k. You wanted to buy the other 50% so 100k. Your mortgage would have been 3.99% so interest of £332 a month. Your rent was £229 a month so you are up £2472 on the monthly payments
however the house has gone up 10k in 2 years. 50% of 10k is 5k - £2472 on lower payments = £2528
Has the house gone down in value then you may not be due any compensation as your savings may outweigh the missed opportunity costs
You can't claim for the deposit for the rest of the house - the advisor had no way of knowing a pandemic would mean 5% deposit rates would disappear - no one knew that. 

That looks about right to me.

Can't expect to claim consequential losses for the change in lending terms so the change in deposit isn't relevant as explained above.

RyanWills94

MWT said:

haras_n0sirrah said:

what were the rates on offer at that time?
What is the difference between the monthly interest that would have been the new part of the mortgage and the rent (you can't claim the whole rent as you would have been paying the mortgage)
How has the price changed in the meantime?
The idea would be to put you in the same position e.g.

So for example the house value is 200k. You wanted to buy the other 50% so 100k. Your mortgage would have been 3.99% so interest of £332 a month. Your rent was £229 a month so you are up £2472 on the monthly payments
however the house has gone up 10k in 2 years. 50% of 10k is 5k - £2472 on lower payments = £2528
Has the house gone down in value then you may not be due any compensation as your savings may outweigh the missed opportunity costs
You can't claim for the deposit for the rest of the house - the advisor had no way of knowing a pandemic would mean 5% deposit rates would disappear - no one knew that. 

That looks about right to me.

Can't expect to claim consequential losses for the change in lending terms so the change in deposit isn't relevant as explained above.

I’m not asking for that. The change in LTV could not have been predicted, but it’s unfortunate now that’s happened. There was a window of opportunity I missed investing in my future! Theres no figure I can put on this, we’ve paid rent which is dead money, if we bought the rest of the house, i would be gaining more capital. Now, will I ever purchase the rest of the house? The house price will probably keep increasing, which means the deposit will keep increasing, which means I will continue to pay rent moving forward until hopefully we can afford to purchase the rest, all of this could have been avoided if the mortgage advisor did not provide not only poor advice, but incorrect information. 

haras_n0sirrah

The mortgage interest is the same as the rent - dead money. Only the repayment element is investing in the property. That may be £50 a month at the beginning if there is a long mortgage term
How much would the top up mortgage have been and what rate compared to the monthly rent
If the property has gone down in value it would now be cheaper to buy the remainder than it would have been at the time.