Mortgage News

Collapse
This is a sticky topic.
X
X
  • Filter
  • Time
  • Show
Clear All
new posts

    Metro Bank has announced that it is buying £523. Millions of Mortgages from CHL, so those with current loans with this former lender may start to receive notifications of this by mid March when all the legal formalities are complete.

    Comment


      Are Estate Agents back to their old tricks ?

      It has been reported in the media that the a large Estate Agency Group are investigating alleged claims made by some clients that they were coerced into "consulting" with their In-house broker and for crucial financial documentation to be provided before the offer to purchase was submitted to the vendor: in fairness the claims centre on one particular agency but responses to the article suggest that this is indeed a common practice despite it being viewed as being wrong with clients being free to choose whomever they wanted. With mortgage transactions at a low point , I am wondering if forum readers have experienced similar practices or is it a case of certain offices coming under pressure to generate more leads for their brokers?

      Comment


        Standard practice to qualify buyers I always thought.
        Same with using their solicitor.
        TBH, I always use the in-house broker to help sweeten the deal (I generally know which product I want anyway).
        I draw the line at using their solicitors though. They tend to be bucket shops paid peanuts for referrals with a commensurate appalling level of service.

        Comment


          Hi Boletus
          i think the difference is that you are experienced in Property the same cannot be said for First Time Buyers or indeed a percentage of homemovers.

          Unless practices have changed, Negotiators are targeted to achieve sales , the number of referrals to the In-house broker who in turn is targeted on fees generated which include making referrals to a set panel of solicitors. When you package it all up there does appear to be an incentive to use subtle means of involving the in-house broker some of whom are good, the only downside is that there is a regular turn over of both negotiators and In-house brokers because they haven’t cut the corporate mustard.

          As we get older, we perhaps become more cynical of the world at large and certainly in our market of finance and Property we all take differing views.

          Comment


            Originally posted by loanarranger View Post
            Unless practices have changed, Negotiators are targeted to achieve sales , the number of referrals to the In-house broker who in turn is targeted on fees generated which include making referrals to a set panel of solicitors. When you package it all up there does appear to be an incentive to use subtle means of involving the in-house broker some of whom are good, the only downside is that there is a regular turn over of both negotiators and In-house brokers because they haven’t cut the corporate mustard.

            2 years ago I purchased a new home.. At the time of looking 2 of the local estate agents, in their own words, "would not take my interest seriously" unless I used their associated mortgage broker and solicitors (big chain, very large, you can probably guess). I already had an AIP in place and a well reputed local solicitor lined up.
            Unfortunately the house I wanted was with one of these 2, and they told me in no uncertain terms that if I wanted it taken off the market and nobody else to see it then I had to use their own services. In a very active local market I had little choice.
            The mortgage advisor was superb, very responsive to any contact/questions but the solicitors were an absolute shower of poop.. Huge amount of issues with them, including lost documents (which were emailed and confirmed received, only to be informed a week later that it was 'lost' - How they managed that I do not know!), arguing with me on stuff that had been agreed (in writing, on email).
            It was so bad that official complaints were raised at the highest level within their organisation.

            When we move again, as a matter of principal, if anyone tries to get us to use those solicitors again (or tries to apply pressure like they did) they will be told in no uncertain terms why I am withdrawing my offer, and I will post the vendor a letter as well ensuring they know exactly why by offer is withdrawn and what their agent is doing.

            Its a shady practice, but they were very very careful to only say it face to face.

            Comment


              Sadly a not uncommon complaint.
              one observation on your posting, if you had an AIP , then a copy of this would have been perfectly acceptable and could not be ignored, had they chosen to do so I personally would have demanded to meet the Manager and threaten to report his offices practices to the regulator and importantly the CE of the Agency Group, believe me they would have scattered for cover.

              Comment


                All perfectly correct loanarranger.

                Trouble with making demands and threats though is your offer may be talked down in favour of another. And you've shot your reputation if you want to deal long term in that area- I'm talking provincial market towns now rather than big cities. Word gets round, negotiators move freely between agents, the good ones becoming branch managers. In my local town, in every estate agent there will be someone who knows me and that I'm good for it. I don't think I've ever had a cross word with one, I actually like estate agents!

                Going back to your original point, IME customers are far better served by truly independent brokers, but that's just the way it is. The only way to stop it would be a ban on in-house brokers. And in-house solicitors too for that matter.

                Comment


                  I accept 100% your comments regarding establishing cudos but I believe this only extends to ones credibility in closing on agreed purchases and definitely not contingent on using the in-house broker. I have several portfolio clients , the largest having in excess of 140 properties and agents know that when they decide to buy a property the deal goes through. One added factor is that whenever I become involved in the funding I engage with the individual agents and invite them to keep in contact with me should they have any concerns over the progress of the mortgage application.

                  i completely agree with your observations on solicitor recommendations particularly those in close proximity to the agent, invariably there are issues which arise , equally I hold Conveyancing Factorieswith great suspicion , seldom do you get to speak with the organ grinder relying on the “ monkey” to have sufficient expertise or intelligence to refer when matters are above their pay grade and importantly your conveyance is just one in a multitude of cases so there is little incentive for escalating matters of urgency.

                  Again call me a cynic but with 50 plus years in lending I feel I have a fair take on such matters.

                  Thanks for responding to these postings within Mortgage News I often wonder if forum readers just glance and move onto the next live topic.

                  Comment


                    I always read your great contributions but never comment. Keep up the good work.
                    "I'm afraid I didn't do enough background checks apart from checking her identity on Facebook" - ANON

                    What I say is based on my own experience and research - Please don't take as gospel without first checking the gospel yourself.

                    Comment


                      Thanks Wannadonnadooda for your generous comments, very motivational.

                      Comment


                        Originally posted by Wannadonnadoodah View Post
                        I always read your great contributions but never comment. Keep up the good work.
                        same here.

                        Comment


                          Aldermore changes Floating Charge Rule
                          Aldermore has today released the following notification covering floating charges on Ltd Co borrowing, it is important that the small print at the end of the announcement be noted.
                          Requirement for a floating charge removed

                          As of today (12/03/2018), we no longer require a floating charge for most Buy-to-Let limited company applications.

                          We've simplified our process and criteria by removing the need for a floating charge on company Buy-to-Let applications that meet the following criteria*:
                          • Loan no greater than £1m
                          • LTV no greater than 75% (fees can be added)
                          • SPV or trading limited company set up for property investment purposes only
                          *Aldermore reserves the right to request a floating charge where the loan does not meet the above criteria, or in more complex applications including trading companies set up for mixed use purpose.

                          Comment


                            Originally posted by loanarranger View Post
                            Thanks for responding to these postings within Mortgage News I often wonder if forum readers just glance and move onto the next live topic.
                            Always read it, rare that I have something to add so stay quiet. Its a great insight into whats going on and I do look forward to these posts from yourself.

                            Thanks again.

                            Comment


                              Nat West changes for BtL

                              NatWest has enhanced its buy-to-let proposition with a series of criteria changes.

                              From the 14th of March, the Bank is increasing the total number of buy-to-let properties it allows a landlord to own from 4 to 10. The total will include unencumbered properties and properties mortgaged with NatWest and another lender.

                              It is also increasing the maximum aggregate customer borrowing allowed from £2 million to £3.5 million.

                              Comment


                                SA302's & HMRC

                                Everyone who has submitted an application for a Buy to Let mortgage and where properties are already owned for investment will have been asked for both the Self Assesssment and the corresponding SA302's , however this has placed considerable stress on the relevant tax dept and during the last 18 months The Council of Mortgage Lenders and the Association of Mortgage Intermediaries have been working with HMRC to establish a simpler means of validating declared income particularly from Land & Property .As a result there has been a general acceptance by lenders to accept the Tax Overview Certificate which is available from the HMRC OnLine Facility or via one of the accepted Tax Software options , whilst the majority of lenders are being cooperative in accepting this type of document not all do so I am detailing a link to HMRC which gives details of all lenders that will.

                                https://www.gov.uk/government/public...-year-overview

                                Comment

                                Latest Activity

                                Collapse

                                Working...
                                X