remortgage help needed!!!!

jobcob

Hi I am new so hope have got right place to post. We currently have a fixed rate deal of 4.99% which is coming to an end 1/6/08. The company we are with has offered us a fixed rate of 6.7% with a £1200 fee to change to this rate meaning our payments will increase to £800 from £600! I have been in touch with a financial advisor who has offered to arrange remortgage without having to pay her any fees. When she first spoke to me she showed me a mortgage for Fixed rate at 5.99% from chesea bs. we opted for this one only to be told it had been pulled from the market. she came to see us again for us to sign key facts adn this time came without laptop as it was being charged in th eoffice even though she said she was going to show us what new deals were available. Anyway we went for a deal with A&L only to be declined. This was on fri. When i spoke to her y'day she had no new deals to offer us and said she was waiting if chelsea was going to offer any other deals. As i said this needs to be sorted quickly as due for renewal 1st June and we are leaving it a bit late. She said she would phone me in the pm but never did. All of these deals she has shown us include £999 (sometimes a lot more) fee plus solicitors and valuation. What should we do? We don't know whether to stick with company with or what. Have been looking at HSBC deals but from responses on this forum they don't seem to be too hot with customer relation s and worried if accepted won't be in time. I am getting very confused and anxious now as we have bben in touch with another mortgage company who wanted £3959 for arranging the remortgage!!!!!!!!HELP

Treadmill

What is the SVR with your current lender, it might be cheaper to go on the SVR for a while while you hunt out a good offer rather than pay a large fee upfront.

homer_j_3

Did she find out why A&L declined you? They are not actively looking for business at the moment so it could be that their credit score requirements is far too high.

Chelsea have withdrawn from the intermediary market but will be returning with new products on 9th May. Clearly that will be Friday so I wouldnt panic into paying this fee of the other adviser. I do find it strange that there were only 2 options for you though. Can you seek a broker who will not charge you a fee should your current adviser be unable to help if the chelsea products are uncompetitive when they launch again.

herbiesjp

Do you have up to date copies of your credit files? Is there anything on there that might result in a lender declining your application?

If your broker came back with only two options, is she whole of market or working from a limited panel?

You haven't posted any figures i.e. mortgage amount needed, property value, incomes, other debt details - so it is difficult to see if there are reasons why there are so few lenders

rdsmortgageman

If affordable, I would suggest staying on your current lender's SVR for a month or two to see what happens in the market. You could pay a fee to move on to a fixed only to see rates come down.

Conrad

There are quite a few options to consider;

C & G
One Account ultra low fees, no early repayment charges
Kent Reliance BS

Beware, in my experience most brokers tend to stick to the same lenders most of the time, either because they dont want the rigmarole of enlisting with new lenders (passwords, checking CCA license, learning new application forms etc etc), or they are part of a network that has a limited panel of lenders.

jobcob

thanks for your replies. Amount required is £144000 over 21 years. The current SVR is 7.4% beng offered by current lender. Income is £41K and property value £175k. My mortgage advisor has only been looking at the cheapest fixed rate deals. She did show me her laptop with numerous deals but all had high FR and fees. She has not been in contact all week, I have had to chase her to find out what is going on. She is waiting until tomorrow to see what chelsea are offering becasue she does not want to keep adding to my credit report. i have looked at my credit report and it doesn't seem that bad. i now have abbey and chelsea added to it though for mortgages which are not being taken up. I asked my advisor what are the chances if there is a good deal tomorrow that we will be complete by 1st June as this is when current rate expires. She assured me it won't take 6/8 weeks as she has 'good bosses in here who will pull out all the stops'. I know this has turned out a terrible mess and that even if we do find a good deal it won't be complete and we will end up having to pay 2 lots of mortgage fees in june when they lapse over each over. I am just thinking its worth staying with current lender and waiting to see whats on offer in few months. I am just getting confused by it all now and am being quoted ridiculous amounts of fees being added on top which makesme think might as well stay put. HELP!!!!!!

Tiddler_2

In my opinion a good mortgage adviser/broker will tell you if the fees you would have to pay on a new mortgage outweigh the benefit of the lower interest rate.

I have had to tell the same thing to 3 people today and that's at a time where as a self-employed adviser (like many others) I am desperate for the business.

Chelsea have announced some new rates that will come into effect from tomorrow although at a quick glance they all appear to be variable interest rates at 6.99% and a fee of £995.

herbiesjp

I think you should get a second opinion from another broker

i have looked at my credit report and it doesn't seem that bad

Are there any missed payments, defaults, or anything on there at all?

If not, I cannot see why you could not be looking at low to mid 6% deals

jobcob

HSBC told me the reason A&L most prob declined us was because the report now shows mortgages with current lender, chelsea and abbey and therefore it looks like we are borrowing large amounts of money when in fact we haven't gone with either of these companies. I have looked at chelsea website and can't see any good fixed rate deals.

herbiesjp

What HSBC has told you is not right - you do not have a mortgage with all 3.

You have 1 mortgage and 2 credit searches, which on its own is not a reason to decline a mortgage