Factors when choosing mortgage provider

OK thanks guys.

I've got a decent deposit saved and I'm getting a fixed rate for either 4 or 5 years. I've got a ton of appointments lined up for most of the places on the hight street then I'll be heading to a broker or two.

Sounds like I don't have anything to worry about then and should just go with whichever offers the cheapest rate :)
 
The Halk said:
Ah, don't go to a ton of appointments, you'll end up doing a ton of credit searches :/
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Really? I didn't think they did a credit check until one of the later steps?

And even if they did, does it really make much of a difference? I know it's a bad idea to apply for a load of credit at once, but I'm not really asking for credit from them until I agree surely, just an idea of what they will lend me???
 
They'll take you to a decision in principle if you're not careful. And that involves a credit search. The decision in principle is how much they will lend you.
 
Many (most?) mortgage brokers will offer you the deal that is in their best intererst, not yours. Don't get a financial product from a commission based seller unless they rebate all of the commission to you. My recommendatuion would be to sort it out yourself and go direct or get advice on a fee basis.

Try and get an offset mortgage if you can, they seem to be a much better deal in the long run.

I would maybe risk a variable rate because I suspect the Govt hasn't got the guts to put up rates by that much. They want inflation, and are adopting the economic policies of the Weimar Republic.
 
Tbh I did the high street shuffle and Ifa meetings, but settled with the best deal which we found ourselves on money supermarket
 
So what can I do then? As some of them wont give me an exact figure unless I give them all sorts of details.

What about brokers, I'm assuming they need to do a credit check at some point as well?
 
Find the deal you want and speak to that bank. I'd only go to a broker if that didn't work out.

You want a 5 year deal, right? What's the purchase price you're thinking of and the deposit?
 
You can check your own credit score for free with a number of the credit reference agencies, but you have to sign up with a credit card and then cancel it, usually within 30 days.

You should do everything you can to improve your credit score before you apply - e.g. make sure you are registered to vote and have paid off any cards etc..
 
Don't check your credit score, it's a waste of time. You can check your credit record for problems... but I wouildn't worry about that for a mortgage.

You should make sure you're on the electoral register but it takes a while to come into effect so it may be futile.
 
The Halk said:
Find the deal you want and speak to that bank. I'd only go to a broker if that didn't work out.

You want a 5 year deal, right? What's the purchase price you're thinking of and the deposit?
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Yep, 4 or 5 year deal fixed. House price about 200k, maybe push up to 215k. Deposit of 65k-70k. Joint income of 33.3k.

We got a decision in principal from Halifax the other day so I suppose that means they did a credit check for that :(. Bit annoying really as she wouldn't give us a rough figure without running it all through the system.

Only reason I'm going into these places is I'm not sure if what they advertise on their website is the same as instore, or if they can tailor it a bit more instore. Quite happy to do a lot of the legwork myself if I can access the majority of offers.
 
The Halk said:
Don't check your credit score, it's a waste of time. You can check your credit record for problems... but I wouildn't worry about that for a mortgage.

You should make sure you're on the electoral register but it takes a while to come into effect so it may be futile.
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Both of us are on the electoral role, and have never had any late payments. I've had a credit card for about a year and paid that off every month.

Don't think we've done anything else that can affect our credit either positively or negatively.
 
You've got a 30% deposit, which gives you a very wide choice of rates, it also encourages lenders to up the amount they will lend to you a little. But the amount you are borrowing is a touch over automatic acceptance. I would still expect you to be accepted.

If you're asking if lenders have special deals they don't tell you about, for the most part they don't. 4 year deals are not as common as 5 year deals.

Here's a comparison table if it helps you.
 
LSEdwards said:
I don't understand that comment....was it meant seriously?
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I did yeah. The credit score that Experian sell you is worthless. Looking at your credit history isn't worthless, but I wouldn't go to the trouble of doing it unless you feel there's a problem. For a mortgage the credit history isn't anywhere near as important as for unsecured lending.
 
Not really so much about which lender but if I were to get another mortgage I'd make sure I had one where I could make overpayments. Was able to do this with the last one and any spare cash was threw in on top of the regular payments and it made quite a difference to the term.
Just saying as I think some of the guys I work with can't do this, not 100% sure though.
 
The Halk said:
I did yeah. The credit score that Experian sell you is worthless. Looking at your credit history isn't worthless, but I wouldn't go to the trouble of doing it unless you feel there's a problem. For a mortgage the credit history isn't anywhere near as important as for unsecured lending.
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So how are you supposed to know if there is a problem with your credit history unless you look?
 
You can make overpayments with just about any mortgage, you just need to find out what the restrictions are. Some of them are a percentage based on your monthly payment some a percentage annually based on the balance, and some have no restrictions. It's something that might separate two mortgages, but I wouldn't choose a mortgage with better overpayment terms over one with a better rate/lower fees.
 
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