Loughborough BS Mortgage question

lindos90

My son is looking at buying his own place in the near future. He's had an interview with a mortgage broker at an EA (which tbh seemed to be more about looking at the maximum amount he could borrow, and then trying to set up viewings for properties just outside that amount!) The mortgage broker didn't give him any paperwork, so he's not sure if she just did a calculation like anyone can do with the mortgage calculator on rightmove, or if she was looking at particular lenders/products.

Depending on the cost of the property, he's likely to have LTV of around 72% (he's been saving really hard for a couple of years since leaving Uni). He's hoping that will stand him in good stead to get a decent mortgage deal.

We've just looked on Martins current list of best mortgages and the top one is for 3.29% discounted for 36 months. Application via broker or directly. Would there be any advantage in applying via a broker? He's looked on the Loughborough BS website for how to apply directly and he can't see that deal on there at all, is it a special rate through Martins website? Are we missing something?

Hope someone can advise. I think in the coming months I might be asking a few more questions about housebuying (please don't judge that its me asking and not my son, he's come along way and dealt with quite a lot getting to the point he's at now)

TheJP

lindos90 said:

My son is looking at buying his own place in the near future. He's had an interview with a mortgage broker at an EA (which tbh seemed to be more about looking at the maximum amount he could borrow, and then trying to set up viewings for properties just outside that amount!) The mortgage broker didn't give him any paperwork, so he's not sure if she just did a calculation like anyone can do with the mortgage calculator on rightmove, or if she was looking at particular lenders/products.

Depending on the cost of the property, he's likely to have LTV of around 72% (he's been saving really hard for a couple of years since leaving Uni). He's hoping that will stand him in good stead to get a decent mortgage deal.

We've just looked on Martins current list of best mortgages and the top one is for 3.29% discounted for 36 months. Application via broker or directly. Would there be any advantage in applying via a broker? He's looked on the Loughborough BS website for how to apply directly and he can't see that deal on there at all, is it a special rate through Martins website? Are we missing something?

Hope someone can advise. I think in the coming months I might be asking a few more questions about housebuying (please don't judge that its me asking and not my son, he's come along way and dealt with quite a lot getting to the point he's at now)

Never use an EA in house broker or solicitor as it much better to select your own.

That rate is likely a tracker or a variable rate which would rise anytime the bank of England base rate rises, so for example the BOE is likely to rise to 3.5% this week which means that rate would rise to 3.79%. The BOE could rise to 4.5 in 12 months which would mean his rate would then be 4.79%. However as and when the BOE drops then his rate will drop with it. It just means he wont have a fixed monthly payment each month as it could go up and down every couple of months.

lindos90

I've found the 3.29% on the Loughborough BS website now, theres 2 with the same rate, one is variable, one is fixed. He's going to call the mortgage advisor to see if she can access the deals  

TheJP

lindos90 said:

I've found the 3.29% on the Loughborough BS website now, theres 2 with the same rate, one is variable, one is fixed. He's going to call the mortgage advisor to see if she can access the deals  

Cheapest fixed rate on LBS website for first time buyers is 5.74% with maximum 80% loan to value. There is no rate within their products at 3.29%. 

lindos90

TheJP said:

lindos90 said:

I've found the 3.29% on the Loughborough BS website now, theres 2 with the same rate, one is variable, one is fixed. He's going to call the mortgage advisor to see if she can access the deals  

Cheapest fixed rate on LBS website for first time buyers is 5.74% with maximum 80% loan to value. There is no rate within their products at 3.29%. 

I probably need to relook at it then as its still showing on Martins best buys, and on their website (although their website says its for first time buyers, which Martins list doesnt mention.

Mutton_Geoff

An independent broker may find even better deals. My last mortgage with Santander couldn't be found here nor on their website. Don't use agent's shiny suited broker.