Developers mortgage advisor

Galle

We got a service from a morgage advisor and got a AIP. However, now we liked a new build and the developer wants us to use their mortgage advisor. Are there any pros and cons of this. The one we hired charge money from us whereas the developers one does not

ACG

Some brokers charge, others do not. 
We charge - I would not say that makes us better or worse, but it does mean we are able to limit the number of customers we take on and offer a better service than we could if we charge. But most of our cases involve adverse so they do take more time and generally our customers call more because they are nervous. 

I am not a massive fan of being made to use an agents or developers broker. That being said however, new builds have their own quirks and I would imagine brokers who do new builds all day long would know those quirks far better than the average broker. 

[Deleted User]

I'll copy another commend I made when someone asked about this as it kind of covers most points

I have spoken to many builders sales agents and brokers over the years and they do admit they will push clients to use the broker.  From the sales agents point of view it is so much easier having 1 broker to speak to and get updates on dozens of transactions rather than trying to call or email dozens of different brokers or even worse if the client has gone direct to the lender.   
In addition to this,  on site brokers will have a greater understanding of the sites exposure on certain lenders and if certain valuers have been down valuing.  
I dont think using a builders recommended broker is the same as using their recommended solicitor.  The latter should be avoided at all costs.  

andyf1980

Deleted_User said:

I'll copy another commend I made when someone asked about this as it kind of covers most points

I have spoken to many builders sales agents and brokers over the years and they do admit they will push clients to use the broker.  From the sales agents point of view it is so much easier having 1 broker to speak to and get updates on dozens of transactions rather than trying to call or email dozens of different brokers or even worse if the client has gone direct to the lender.   
In addition to this,  on site brokers will have a greater understanding of the sites exposure on certain lenders and if certain valuers have been down valuing.  
I dont think using a builders recommended broker is the same as using their recommended solicitor.  The latter should be avoided at all costs.  

I’d echo that. We used the recommended broker and it was quite helpful. We also used them to remortgage. For our current purchase we found someone with lots of recommendations who lives on our development (700 houses = lots of potential mortgage business!)

tinytiddles

Most, if not all, developers use their own broker to pre-qualify you for a mortgage (basically do a financial assessment to see how much you can borrow before they will allow you to reserve a property) and out of ease most people probably go on to use them no problem.

We didn’t use them however simply because they never got back to me after we reserved which I thought was a bit odd because our finances are simple pimple. We had no trouble getting the loan we wanted from a high street bank via another broker - the only difference is that the sales office require you to chase the mortgage application and keep them informed of progress.