[cite]Posted By: kings hill addick[/cite]I still advise you speak to a Broker/Adviser. Sure you can fund stuff out by yourself, just as you can Google Cancer but if you've got it you really ought to see a medical professional.
To be fair the stakes with cancer are normally a fair bit higher than your mortgage interest. Also, more people have an adequate working knowledge of financial instruments than they do health issues. Personally, I've not got a lot of benefit out of mortgage advisers, it ain't that high a skill set. Having known a few through work I'd also be careful who you trust not to be completely driven by self interest.
I completely disagree. Most people don't even know what the term 'financial instruments' means. Also understanding finance is a lot harder for some than you seem to think.
This is before you try to correlate the deals available with the bank's underwriting.
I know Mortgage Brokers can be more interested in what they earn, that's why most people use one that has been recommended to them. Next you'll be telling me that Harold Shipman is typical of all Doctors?
[cite]Posted By: golfaddick[/cite]PS - thanks for all you on here that think brokers give out "free advice" - so its ok to ask them for their professional opinion & then go elsewhere for the product they may recommend. We are not chairities and we do actually have to make a living.
The thing i know is try to pay your mortgage off as quickly as possible - don't listen to all that 'mortgage is a cheap form of finance' lark and 'you can put your money to better use doing xyz therefore keep your mortgage' - ok all the time the economy is booming and nothing wrong with stretching yourself a bit mortgagewise to ride the property boom but once you've got a mortgage it, get rid asap. You're either on the winning or losing side of the interest rate line and the quicker people stop making money out of you, the quicker you can start making money out of them.
[cite]Posted By: Bexley Dan[/cite]The thing i know is try to pay your mortgage off as quickly as possible - don't listen to all that 'mortgage is a cheap form of finance' lark and 'you can put your money to better use doing xyz therefore keep your mortgage' - ok all the time the economy is booming and nothing wrong with stretching yourself a bit mortgagewise to ride the property boom but once you've got a mortgage it, get rid asap. You're either on the winning or losing side of the interest rate line and the quicker people stop making money out of you, the quicker you can start making money out of them.
I agree, I spent 15 years trying to pay off the mortage on my house. The problem was, once I finished it I didnt feel any better off I just wasted money each month on holidays, nights out, eating and drinking, buying new cars etc.
So I moved house and got another mortage, HSBC lifetime tracker 1.69% + base rate. This will be the last one.
Been thinking of getting a new deal on the mortgage.
My tracker came to an end December which was 1 percent below base so have now reverted to the Halifax 3.5 default.
I have been offered a 2 year, 3 year and 5 year deal with them, no fee and the 3 year deal is 3.75 which because of the libor rate seems about the best deal , unless you want to pay a fee!.
Now, I have been 'advised' by a couple of economic pundits in the financial press that they expect at least two increases in the base rate, possibly three by the end of the year!.
I have had a broker who will get me a better rate , but want's a fee....( no point will not save anything)
I seem to be in the 'hunch game', the rates can only go up! and will move ( house) in the next couple of years anyway!
Feel that I will be exposed to the rates going up, and it is too much of a gamble!.
Must admit I am uncertain, trouble is so is everybody else!.. or they are bullshitters!
My daughter and her husband are seeking a first time buyer mortgage. As it's been 35 years since I had to think about a mortgage I don't know what to advise her.
Should she seek a truly independent mortgage adviser and pay £500 ish or is there another way just as reliable.
As an IFA & mortgage broker I think I'm qualified enough to say that they shouldn't need to pay for advice as most mortgage brokers can earn a fee from the lender, usually around .35% of the loan. Should the loan be for a smallish amount (under £100k) or the lender doesn't pay a fee then the broker will then probably charge a fee.
I can honestly say that I have never charged a fee for mortgage advice & 99% of times relied on the payment from the lender, In the very rare occasions that they didn't pay a "procuration "fee or the loan is very small then I have relied on the commission I've earnt from the subsequent life & sickness policies that I've also recommended.
Hello golf - have you seen any pick up in mortgage activity with the bringing forward of the government guaranteed deposit or is it still too early to tell?
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hello golf - have you seen any pick up in mortgage activity with the bringing forward of the government guaranteed deposit or is it still too early to tell?
Hard for me to tell as I happen to deal mainly with professionals and they usually have a sizable deposit to start with. However, there has def been a pick up in purchases over the last year or so and rates at the lower end (ltv of 60%) are coming down on a weekly basis.
As an IFA & mortgage broker I think I'm qualified enough to say that they shouldn't need to pay for advice as most mortgage brokers can earn a fee from the lender, usually around .35% of the loan. Should the loan be for a smallish amount (under £100k) or the lender doesn't pay a fee then the broker will then probably charge a fee.
I can honestly say that I have never charged a fee for mortgage advice & 99% of times relied on the payment from the lender, In the very rare occasions that they didn't pay a "procuration "fee or the loan is very small then I have relied on the commission I've earnt from the subsequent life & sickness policies that I've also recommended.
I should point out that those brokers that charge a fee will often reimburse the 'proc fee' thus ensuring that there is no bias as to which lender that choose as some pay considerably more than others.
In fact, as I understand it, a Mortgage Broker has to offer to return any commission (irrespective as to if he charges a fee - although if not, he could well be working for nothing) if he wants to call himself 'Independent'.
I only mention this as, in my experience, those that offer to arrange Financial Services products for 'nothing' are often making a lot of money from the commission - sometimes be arranging products that are far from being in their client's best interests. See pensions scandal and Endowment scandal to see just how many IFAs 'worked for nothing' and how their clients 'paid for it'!
Incidentally, I'm not suggesting that golfaddick has ever done anything that he shouldn't, save for insinuating that all the friends that I have that are Mortgage Brokers are behaving badly because they charge fees for their advice, when they are offering very, very good value for money!
I live and work abroad. I'm paid in a currency other than pounds sterling.
On a recent trip to the UK I enquired about the possibility of getting a mortgage. Tried estate agents. banks and one broker. All came back with same answer - NO!
I have a pretty big lump for a deposit. Could be somewhere between 30-60% deposit down depending on what I buy....but still no way, jose.
Apparently the crux of it is that I am not paid in pounds sterling.
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Don't forget you have to pay a fee every time you take out a new mortgage and it's usually quite hefty. Unless you are borrowing a lot, it can make a succession of 2 or 3 year fixes very expensive.
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Don't forget you have to pay a fee every time you take out a new mortgage and it's usually quite hefty. Unless you are borrowing a lot, it can make a succession of 2 or 3 year fixes very expensive.
That's part of what I mean in point 3. Some lenders, the Co-op is one I know of, will offer a mortgage with a fee at one rate and a mortgage without a fee at a higher rate. You need to do your sums but it can be cheaper to take the higher rate.
My daughter and her husband are seeking a first time buyer mortgage. As it's been 35 years since I had to think about a mortgage I don't know what to advise her.
Should she seek a truly independent mortgage adviser and pay £500 ish or is there another way just as reliable.
Any advice very welcome.
Based on what I keep reading, my advice to her is that by all accounts the best rates these days for young people looking to get on the property ladder is a relatively new bank called BOMAD............
...or, to give it it's full name, Bank of Mum and Dad!
My daughter and her husband are seeking a first time buyer mortgage. As it's been 35 years since I had to think about a mortgage I don't know what to advise her.
Should she seek a truly independent mortgage adviser and pay £500 ish or is there another way just as reliable.
Any advice very welcome.
Based on what I keep reading, my advice to her is that by all accounts the best rates these days for young people looking to get on the property ladder is a relatively new bank called BOMAD............
...or, to give it it's full name, Bank of Mum and Dad!
In this particular case BOMAD is something akin to Northern Rock or perhaps Rock All !
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Don't forget you have to pay a fee every time you take out a new mortgage and it's usually quite hefty. Unless you are borrowing a lot, it can make a succession of 2 or 3 year fixes very expensive.
no you don't.
I've never paid a fee for a mortgage in my life - and I've had eight of them.
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Don't forget you have to pay a fee every time you take out a new mortgage and it's usually quite hefty. Unless you are borrowing a lot, it can make a succession of 2 or 3 year fixes very expensive.
no you don't.
I've never paid a fee for a mortgage in my life - and I've had eight of them.
Have you never paid a valuation fee? Have you never paid solicitors fees? Have you never paid a redemption (admin/deeds) fee?
I suspect that you might have forgotten about some of those!
My current mortgage was completely fee free - no fees, valuation free and solictors costs free. It's also free to over pay whatever you want whenever you want and free to redeem.
If rates drop any lower, they'll actually be paying me :-)
I'm not a professional but two of my daughters have gone through it in the last couple of years or so.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Don't forget you have to pay a fee every time you take out a new mortgage and it's usually quite hefty. Unless you are borrowing a lot, it can make a succession of 2 or 3 year fixes very expensive.
That's why I generally advise a "lifetime " mortgage - a bit like the old standard variable rate deal that 15- 20 years ago you were mad to be stuck on. However, in todays market you can't go for the straight forward SVR rate and usually have to have a 2/3/5 year tracker or fixed rate, so I would go for something like Coventry's "flex for term" or Abbey's flexible deal.
nope - as you said yourself, unless you are paid in sterling banks wont want to know..........a bit different if you work abroad but paid by a UK firm in Sterling & taxed in the UK, but if you are paid in a foreign currency & pay tax there then you wont be able to get a UK mortgage,
Our "Solicitor" has said the delay is because they are waiting on a Redemption statement from the Woolwich!! We have been told this can done verbally/electronically/post, supposedly the Woolwich have been unable to say when it be available. Can anyone shred any light on this problem?
Your Solicitor may be waiting on it but has he actually done anything about it? We had same problem and I gave them a ring myself. It arrived the next day.
Comments
I completely disagree. Most people don't even know what the term 'financial instruments' means. Also understanding finance is a lot harder for some than you seem to think.
This is before you try to correlate the deals available with the bank's underwriting.
I know Mortgage Brokers can be more interested in what they earn, that's why most people use one that has been recommended to them. Next you'll be telling me that Harold Shipman is typical of all Doctors?
Not just brokers Golfie...
I agree, I spent 15 years trying to pay off the mortage on my house. The problem was, once I finished it I didnt feel any better off I just wasted money each month on holidays, nights out, eating and drinking, buying new cars etc.
So I moved house and got another mortage, HSBC lifetime tracker 1.69% + base rate. This will be the last one.
That's not wasting lol
My tracker came to an end December which was 1 percent below base so have now reverted to the Halifax 3.5 default.
I have been offered a 2 year, 3 year and 5 year deal with them, no fee and the 3 year deal is 3.75 which because of the libor rate seems about the best deal , unless you want to pay a fee!.
Now, I have been 'advised' by a couple of economic pundits in the financial press that they expect at least two increases in the base rate, possibly three by the end of the year!.
I have had a broker who will get me a better rate , but want's a fee....( no point will not save anything)
I seem to be in the 'hunch game', the rates can only go up! and will move ( house) in the next couple of years anyway!
Feel that I will be exposed to the rates going up, and it is too much of a gamble!.
Must admit I am uncertain, trouble is so is everybody else!.. or they are bullshitters!
Helped me with advice:
http://www.davidcarnac.co.uk
Should she seek a truly independent mortgage adviser and pay £500 ish or is there another way just as reliable.
Any advice very welcome.
I can honestly say that I have never charged a fee for mortgage advice & 99% of times relied on the payment from the lender, In the very rare occasions that they didn't pay a "procuration "fee or the loan is very small then I have relied on the commission I've earnt from the subsequent life & sickness policies that I've also recommended.
Point 1 the bigger the deposit the lower the interest rate.
Point 2 fixes over 2,3,5 years etc tend to be slightly more expensive but against that they know what they will have to fork out over a given period if they fix. If you go variable it depends on your perception as to what interest rates will do over a given period. The new Bank of England Governor has hinted that interest rates will go up when unemployment dips below a certain level but your guess is as good as mine as to when that might (will) be.
Point 3 Arrangement fees. Some lenders will charge a bit more on the interest but no arrangement fee. It can work out cheaper if you factor in the arrangement fee to pay the higher rate.
Hope these few thoughts help.
Have copied pasted and sent to my daughter.
In fact, as I understand it, a Mortgage Broker has to offer to return any commission (irrespective as to if he charges a fee - although if not, he could well be working for nothing) if he wants to call himself 'Independent'.
I only mention this as, in my experience, those that offer to arrange Financial Services products for 'nothing' are often making a lot of money from the commission - sometimes be arranging products that are far from being in their client's best interests. See pensions scandal and Endowment scandal to see just how many IFAs 'worked for nothing' and how their clients 'paid for it'!
Incidentally, I'm not suggesting that golfaddick has ever done anything that he shouldn't, save for insinuating that all the friends that I have that are Mortgage Brokers are behaving badly because they charge fees for their advice, when they are offering very, very good value for money!
while I'm here...quick question....
I live and work abroad. I'm paid in a currency other than pounds sterling.
On a recent trip to the UK I enquired about the possibility of getting a mortgage. Tried estate agents. banks and one broker. All came back with same answer - NO!
I have a pretty big lump for a deposit. Could be somewhere between 30-60% deposit down depending on what I buy....but still no way, jose.
Apparently the crux of it is that I am not paid in pounds sterling.
Anyone care to comment/suggest a work around?
Cheers,
Siv
http://www.co-operativebank.co.uk/mortgages/our-mortgage-rates-fixed
EDIT: I am neither recommending nor not recommending the Co-op just illustrating my point above.
...or, to give it it's full name, Bank of Mum and Dad!
I've never paid a fee for a mortgage in my life - and I've had eight of them.
I suspect that you might have forgotten about some of those!
My current mortgage was completely fee free - no fees, valuation free and solictors costs free. It's also free to over pay whatever you want whenever you want and free to redeem.
If rates drop any lower, they'll actually be paying me :-)
That's why I generally advise a "lifetime " mortgage - a bit like the old standard variable rate deal that 15- 20 years ago you were mad to be stuck on. However, in todays market you can't go for the straight forward SVR rate and usually have to have a 2/3/5 year tracker or fixed rate, so I would go for something like Coventry's "flex for term" or Abbey's flexible deal.
Anyone got any advice on that?
sorry chum.
We have been told this can done verbally/electronically/post, supposedly the Woolwich have been unable to say when it be available. Can anyone shred any light on this problem?