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Dazbo1983

Mortgage Brokers?

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My current situation is that I have 10% deposit saved and may buy if I see the 'right house at the right price'.

My question is that I have found a 5 year fix @ 6.19%.

Would it be worth paying a Independent Mortgage Broker to attempt to beat that rate??

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My current situation is that I have 10% deposit saved and may buy if I see the 'right house at the right price'.

My question is that I have found a 5 year fix @ 6.19%.

Would it be worth paying a Independent Mortgage Broker to attempt to beat that rate??

Why would you need to pay a brooker if he doesn't beat it?

tim

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The reason why I asked the question is that I thought some brokers charged a fee regardless of whether they could beat the rate you have found. I just wondered what is the likelihood that they could find me a better deal?

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The reason why I asked the question is that I thought some brokers charged a fee regardless of whether they could beat the rate you have found. I just wondered what is the likelihood that they could find me a better deal?

Unless the rule has changed the most that they can charge is 50 pounds. Many find this not worth the aggro, but even if the do, 50 pounds is hardly worth caring about

tim

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Unless the rule has changed the most that they can charge is 50 pounds. Many find this not worth the aggro, but even if the do, 50 pounds is hardly worth caring about

tim

Cheers Tim.

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Mortgage Brokers can charge a fee of what they like, however a lot of Brokers will not charge a fee and earn their money from the mortgage commission.

Any Mortgage Broker advertising themselves as independent must have a fee only option. This is so that there is no danger of influencing the recommendation by variances in the commission between lenders. You would receive the commission yourself in this case.

There are many mortgage brokers that do not charge a fee, and I would definitely seek advice from a whole of market adviser. This will then provide you with a comparison over the direct from lender mortgages. There are a couple of banks that don't deal with brokers such as HSBC so whole of market doesn't mean every lender, you still need to check around.

My advice is to see a whole of market broker that doesn't charge a fee and then compare this to the best buy tables on the internet and find the best rate. Compare the quote from the broker to these rates. Some will be the same.

Sometimes banks have extra money to lend in a month and they will get rid of this by releasing special rates to select mortgage brokers so occasionally you will actually get a better rate through the broker than from the bank themselves.

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I've been using one, Alexander Hall. Should be able to find them on google, they charge £499 on application. I think if you said to them this is the deal I have, lets see if you can save me money overall (including the cost of the fee)

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I used KFH Financial who have access to the whole of the market (same as Alexander Hall).

Their fee is £399.

Avoid brokers who are not whole-of-market.

They will all try to sell you extra life assurance - do not feel pressured to take this.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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