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neon tetra

EA’s mortgage adviser

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It’s always been in my mind not to use the EA’s own mortgage adviser, as it’s like turning over your hand in a game of poker.

However, I wonder if you knowledgeable people could help me with something. Presumably, if you want to purchase a house for X, then you can indicate your finances to show that you can indeed afford X. The danger is that they communicate back that you can afford 1.2X, based on salary.

However, presumably there is no need to show all savings. Therefore, if salary + some of savings affords X, presumably there would be no need to declare other savings....? And there may be a benefit in terms of good will by considering their adviser...?

 

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Just tell them that, although the house is well within your means, it is worth £x to you, so that is your offer and if necessary provide evidence, preferably through your solicitor, that you can afford it and are not messing them around.

This nonsense of EAs trying to get you to spend all your money on a house is just that... nonsense.

If someone like Branson enquired about a house, would the EA try to sell him the most expensive one he could afford? Of course he wouldn't.

There is, of course an element of goodwill in using their mortgage adviser as they make a commission on the deal.

 

 

Edited by Bruce Banner

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44 minutes ago, neon tetra said:

It’s always been in my mind not to use the EA’s own mortgage adviser, as it’s like turning over your hand in a game of poker.

However, I wonder if you knowledgeable people could help me with something. Presumably, if you want to purchase a house for X, then you can indicate your finances to show that you can indeed afford X. The danger is that they communicate back that you can afford 1.2X, based on salary.

However, presumably there is no need to show all savings. Therefore, if salary + some of savings affords X, presumably there would be no need to declare other savings....? And there may be a benefit in terms of good will by considering their adviser...?

 

You could always get your solicitor to write a letter confirming funding is in place. A lot of estate agents (allegedly) insist on the offeror seeing the in-house advisor so that they pick up commission and the EA gets a kick-back (allegedly).

EDIT - What Bruce said.

Edited by Ghostly

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Am I right I’m thinking that the solicitor can sign a document to say I am good for X, and then I can use their mortgage adviser without the need to reveal full finances?

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1 hour ago, neon tetra said:

Am I right I’m thinking that the solicitor can sign a document to say I am good for X, and then I can use their mortgage adviser without the need to reveal full finances?

Yes, but subject to the recent, highly intrusive, money laundering regulations.

EAs are now required to carry out money laundering risk assessments on the source of the buyer's funds and precisely how they do that depends on the EAs interpretation of the rules.

Privacy is a thing of the past :(.

https://www.ft.com/content/15ef0b06-40cd-11e9-b896-fe36ec32aece

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  • 309 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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