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Original poster

Should I use a morgage broker?

22 replies

Em2122 · 20/08/2019 07:59

Started looking at houses, most estate agents have brokers they recommend and they give you a call. We have looked online for what we can borrow but the banks will go no further until we have an offer accepted on a house. Houses are selling like hot cakes around here and one estate agent said the buyers will favour buyers with a morgage in place. I believe if we go through broker he can get it in place before we put an offer in. But I also think we could find a good rate online at the banks and the broker will be expensive?

OP posts:
Seahawk80 · 20/08/2019 08:02

I used one and have always been happy with what he found us. He's been really helpful with advice about different options and when our circumstances changed. It's a bit like a travel agent, you have to trust them and if you want to look at every single option yourself you will really have to put the hours in. Personally I loved that it was one less hassle.

AntiHop · 20/08/2019 08:03

I'd definitely recommend using a broker. Don't go with one via an estate agent as they might not be impartial. Go for an independent, whole of market broker. We paid ours £250 and he was worth every penny. Really helped us.

whatisheupto · 20/08/2019 08:03

Yes. we regret not using one.

Surreynewbie · 20/08/2019 08:04

Yes!

Teachermaths · 20/08/2019 08:06

Yes they're excellent.

Find a local independent one and use them. They can often find deals that aren't online.

thetigerthatcamefortea · 20/08/2019 08:06

Without a doubt. They can often get cheaper products and better interest rates. It’s like a personal compare the market. There are so many options and you won’t have thought of them.
I’ve always used one and never paid for it

Travellingraspberry · 20/08/2019 08:06

Yes! As pp has said use an independent one not linked to any estate agent. Their fees are more than worth the money compared to what you save in our experience.

LazyFace · 20/08/2019 08:35

The independent one tried to charge us around £1000. In the end we went with the broker of the estate agent who will get their commission from the mortgage companies and he's found us the same deal.

MuttsNutts · 20/08/2019 08:38

Yes, always use an independent broker!

I’ve used London & Country twice and they were excellent. See MSE for reviews.

MuttsNutts · 20/08/2019 08:40

Useful article here...

www.moneysavingexpert.com/mortgages/best-mortgages-cashback/

MuttsNutts · 20/08/2019 08:42

Sorry, forgot to say that L&C are free as well, you don’t have to pay them a fee.

jackparlabane · 20/08/2019 08:46

Love our independent broker - used him 5 times over 20 years (originally from the Guardian website). 4 times he's found better deals than I'd found online, and the time he didn't, just letting him be on the phone for a few hours and listening to him telling our old provider what he thought of them, made it worth it. His service was free if he got commission or a fee if we went with an option he didn't get commission from, but our circa were fairly standard so that never arose.

underthebridgedowntown · 20/08/2019 09:13

Like PP we've used London & Country and they're brilliant - free (they get their fee from the mortgage provider when you take up a product) and great service each time we've used them

Original poster
Em2122 · 20/08/2019 09:33

I was going to use London and country but they also don’t go any further until an offer on a house has been accepted

OP posts:
QforCucumber · 20/08/2019 09:54

You can't get a mortgage in place until you know how much you need though, a bank will not give you a mortgage on a house which you've not even made an offer on. You need to get an agreement in Principle from a broker/mortgage company.

Travellingraspberry · 20/08/2019 09:57

@Em2122 I think most mortgage providers should will give you a mortgage in principle first. This means they've done the checks on you and are happy in principle to lend you x amount of money. You then apply in full once you have an offer accepted on a house

MuttsNutts · 20/08/2019 09:58

Yes, L&C are no different to anyone else in that respect.

ShirleyPhallus · 20/08/2019 09:59

London and country have given me a decision in principle several times

I believe that’s as far as others would go also until you have an offer accepted

wineandsunshine · 20/08/2019 10:09

Absolutely! Ours get a fee from the lender so didn't cost us a penny, and she found us an excellent mortgage.

NoSquirrels · 20/08/2019 10:13

You can get an ‘agreement in principle’ or a ‘decision in principle’ before you find a house - and this is what the estate agent meant by looking more favourably on buyers with a mortgage ‘arranged’.

No lender anywhere will agree a mortgage on a property that hasn’t been chosen yet - because a mortgage is a loan secured on a particular property, not a personal loan to you as borrowers.

Original poster
Em2122 · 20/08/2019 10:39

Yes but the agreement in principle is not based on a credit check, it’s just a 5 minute thing online.

OP posts:
QforCucumber · 20/08/2019 10:42

The AIP does a soft credit check to make sure you don't have CCJs or bancruptcy but noone will offer you a mortgage as there's nothing to offer on.

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