Which are the best mortgage networks to join in order to be self employed broker?

peace800

Hi

I am fully cemap qualified and currently working in mortgage sales for a major bank.

I am thinking about being self employed within a few months and was wondering which are the best mortgage networks to join as an appointed representative? I will have 6 months experience with this bank and i know some networks ask for experience whereas some ask for less.

Also I know some networkes charge a flat fee some charge a percentage - can someone give me a brief example on how this works?

Also in order to work for yourself am I correct in thinking you would follow the same procedue as i already do i.e. fact find, get all income details affordability checks and then complete an application or is the application made by the customer and a broker just recommends them to do so?


p..s i know the market is bad right now and i know that being self employed is one thing and getting leads another

thanks

minimike2

Where to begin....

If you are going alone, Network Data seem a good option, £125 a month flat fee....although I hear they have been delaying paying thier members proc fees.

I am set up as an RI of an AR firm, we are with Intrinsic. I highly rate them, the setup of the company is fantastic, but they take a set %age of everything you do.

I think MSN (Mortgage Support Network) are meant to be pretty good too, systems wise, but again take a %age, quite a high one too, think its about 12% of everything.

Make sure you pick one that doesnt take part of your broker fees!!!

homer_j_3

Pink charge about £75 and make guarantees on your proc fees which is good in todays climate, they also pay them out 24hrs after legal completion where as a lot will only pay you when they have been paid - This can be 2-8weeks afterwards, sometimes longer.

I am not sure that you will have the experience to join the network but if you can demonstrate that you know what you are doing then you may be ok.

It is questionable doing it at this moment in time with the banks direct having the better deals but that is upto you.

payless

peace800- tell us which bank/ branch you are at... you might find a queue of advisers awaiting for your job when you quit!

Conrad

Beware the exit procedure when you want sell - up, retire or move to a new network. Make certain the contract is water tight from your viewpoint.

I did'nt go the AR route as they tend to force you to use a panel. They always claim thier panels are sufficient, but they never are.

rdsmortgageman

I am with Sesame, but more for on the IFA side. Costs me £26.15 per week and 10% of all business written (this does depend on businss levels). Mortgage only I think is about £13 per week. Don't forget about your PI insurance, my personal is about £320 per month, but that is full IFA with equity release. If you are only doing mortgages, it will be cheaper.

dunstonh

Sesame are a good network but their focus has historically been more IFA than mortgage. They have been doing something about that but their timing co-incided with the credit crunch. They have some system being launched soon which is meant to be good. Cant tell you what as my mortgage adviser knows more about that than I do.

It is vital (more so perhaps on IFA side) to get the network right first time. Switching networks is time consuming, expensive and you can lose some of your renewals on stuff that doesnt get transferred.

There seems a lot of mortgage networks and you will probably see consolidation in coming years in the same way IFA networks did over the last decade or so.

17Dave

Hi
I was in a similar situation about 18 months ago.
I joined Intrinsic as a sole trader - Appointer Representative of Intrinsic.
Whilst I agree with the OP that Intrinsic are well set up (they charge £149 per month including PI) in common with most networks they will never be too interested in "one man bands" as the level of business you produce is small compared to firms of advisers. I have now changed to work with a business that has 14 advisers and is growing (I'm still technically a sole trader) but is a relatively big player with my new network which is Home of Choice. This means better support from the network as well as the business.

In terms of experience most networks will interview you and may then offer an induction interview. If you are accepted you will be monitored for compliance until considered competent.

Good luck.

minimike2

I have to disagree with Dave about intrinsic not being interested in one man bands. Its only two of us in our firm and was just the one before I joined up...the support we get from them is second to none

dunstonh

Most networks have a minimum retention. It is possible for one man bands to be busiser than firms with 3 advisers. So, turnover is ofen the thing looked at. On the IFA side, its something like a minimum of £45k a year with Sesame. I dont know if that applies to mortgage only advisers.

Graeme7777

Hi,

What experience do such networks demand of self-employed mortgage advisors before they are allowed to join?