why use a broker???

Dan_Collins_2

therealdelboy wrote: »

Yes I did.

Please read my original posting

You said whole of mortgage not independent, all different! Anyhow, some do some dont.

Since the middle of March I have said goodbye to about £3k of business thanks to lenders direct deals.

I dont mind but one of the client said they would rather pay me a fee and I do the work, but the lender said direct means direct and branch, online or phone only. I think that is unfair to both me and my client!

_Andy_

You lost £3 of business? Bargain

dunstonh

therealdelboy wrote: »

Yes I did.

Please read my original posting

I quoted your post. I will quote it again:
Even the so-called whole of market advisors won't quote you on mortgages where they don't earn any commission


That is incorrect. Whole of market advisers and independents can quote you on business that will not pay them a penny. You are mixing up commission and non commission advisers which has nothing to do with their whole of market status. Even commission advisers will place business with non commission payers if there is add on business involved.

DNK

Just my penny's worth.... I went to two mortgage advisor a couple of years ago for my first mortgage. I had already found the one I wanted but thought I'd get their "expert opinion."
Low and behold they both get back to me offering the same mortgage I had already picked out. They must have spent 20 minutes on the internet looking through the "best buy" tables like I did!
Not a bad job for £495 commission!

Tiddler_2

But the job doesn't stop at 20 minutes of sourcing the deal.

That 20 minute search might tell you the best rate - it doesn't tell you if it is the best overall deal after taking into account fees etc. Does it tell you on the comparison sites whether you actually qualify for that deal? Lenders at the minute are wary of certain property types (particularly new build apartments/flats) and lenders all have a different view of income multiples/affordability, income sources, self-employed people, adverse credit, guarantors, large loans.

But yes if you are borrowing less than 75% LTV, less than 3 times income (which are very rare these days) then you may get what is/are shown on the best buy tables (but don't forget brokers often get exclusive deals which aren't in best buy tables - such as the 3.89% 2 year fixed rate deal with a fee of £499 we set up from November til March with a lender, for a group of builders I work with!!)


I would also add that if everything was as easy as looking on a comparison site, why are there over 500 pages on this forum, of people looking for help advice on what to do!!

Brokers will often see customers out of normal office hours, saving the customer taking time off work, or spending their valuable spare time/weekends seeing their bank.

They will often travel to your home/office to see you again saving the customer the time/petrol/parking costs.

Do other professional people do this (accountants/solicitors?) do they heck!

Brokers will very often be on the end of a phone in an evening if you need some help with filling in forms etc.

Brokers will liaise with the solicitor/estate agent/lender to make sure the mortgage goes through as smoothly as possible. Often spending 30 mins plus a time, in the lender's queuing systems to get an update for the customers.

A broker will often negotiate with a lender if problems such as downvaluations take place on re-mortgages. Or will negotiate prices with an estate agent if its a purchase

It has been calculated that an average mortgage takes around 15 or so man hours for a broker before it gets to the completion stage.

I appreciate that not all brokers offer this service, but I can assure you that just by looking on the comparison tables and going to the lender directly you won't get that service.

Dan_Collins_2

Good points Tiddler.

I took a call short notice Sat morning, dealt with the query there and then. OK so a branch or telesales unit may have taken the call, but would they call you back within 5 minutes? and would they arrange to pop around monday morning to go through the solicitors forms on your remortgage??

We are all different and have different views. If we all had the sames views wouldn't life be dull and Martin Lewis would be out of pocket LOL!

Conrad

Davey you do not need a broker unless your situation is more complex.

Check some of the best buy tables then go direct to lender. Do your own independant insurance. Most mortgage brokers will want sell you insurance.

Conrad

DNK wrote: »

Not a bad job for £495 commission!

A common misconception. I often spend hours on the factfind and treble checking everything - things you would never even think of.

The point is we must consider all the thousands of different ways a complaint could come about 3 years down the road.

Staff turnover is the highest of any industry and 80% leave the industry completely within 5 years. The pressure is way beyond what you might imagine.

payless

therealdelboy wrote: »

Wrong

My own "whole of marker "broker (L&C) has advised me that they will not recommend a product upon which they do not earn commission.

this is different to what they keep saying

Ian_Griffiths_Halifax

Conrad wrote: »

Davey you do not need a broker unless your situation is more complex.

Check some of the best buy tables then go direct to lender. Do your own independant insurance. Most mortgage brokers will want sell you insurance.

Please read my earlier post. How anybody can say that somebody looking for a mortgage doesn't need a Mortgage Broker, I don't know

Granted, Davey might be able to get a good deal, but would he be able to get the right deal to suit his circumstances and make maximum savings? That's just like doing your own accounts after seeing an article in the paper saying you can write off your lease payments as a Tax Deductable Expense. Yes that's correct, but are there more savings to be made by getting an expert to look over the situation properly.

If you are in business as a Mortgage Broker you would know that the Best Buy tables are often out of date or do not provide enough information to be able to make a right decision.

Would anybody of sound mind, try and diagnose their own medical problem based on reading a page on the internet that said if you have a fever and are shivering then you have malaria? No, you'd go to the Doctor who could do a thorough examination and who could confirm that you have a cold!