Embarking on a mortgage journey can feel overwhelming, especially for first time buyers in Beverley or those looking to move or invest in property. With numerous options available, it’s crucial to make informed decisions from the start to save time and costs down the line.
At our company, we offer a personalised and friendly service, catering to your specific mortgage needs. We understand the complexities of the process and have the expertise to guide you through it. Our team is dedicated to providing expert mortgage advice in Beverley, assisting both new and existing customers.
In this article, we’ve compiled a comprehensive overview of the advantages and disadvantages of working with a mortgage broker in Beverley. Discover why many people trust us for their mortgage advice needs in Beverley and benefit from our knowledge and guidance.
While some believe that finding a mortgage deal on their own will save them money, the reality is more nuanced, especially when it comes to a mortgage broker in Beverley. While brokers may charge a fee, the actual cost depends on individual circumstances and the chosen company.
If you have extensive knowledge and a straightforward case, going direct might be easier and more cost-effective. For more complex situations or if you lack knowledge in the mortgage market, seeking the assistance of a mortgage broker in Beverley can prove invaluable.
Without proper knowledge, you run the risk of choosing the wrong deal or facing a rejected mortgage application. Both scenarios can lead to increased expenses or negatively impact your credit score, affecting future mortgage prospects.
With a dedicated mortgage advisor in Beverley, their primary goal is to help you achieve your mortgage goals. They strive to provide the right recommendation the first time, at the best price. While there may be a service fee involved, the potential savings in the long run can outweigh the costs.
In the past, many customers preferred approaching their banks directly out of loyalty and familiarity with the traditional way of conducting the mortgage process.
Back then, customers would visit their local branch and often interact with the same bank manager, benefiting from their expertise and personal knowledge of their financial situation.
Previously, having the bank manager personally review and approve your mortgage application was seen as advantageous, as they possessed a deep understanding of your finances.
With the advent of technology and online banking, the mortgage process has undergone significant changes, particularly with the introduction of digital credit scoring.
Nowadays, the bank manager does not manually assess each case. Instead, a sophisticated online system evaluates your eligibility for a mortgage. This process is standardised and applies uniformly across banks, ensuring fairness regardless of the institution you choose.
The focus has shifted from personal interactions to digital assessments based on objective criteria.
While it’s true that going directly to a lender can offer access to exclusive deals, it’s important to note that these options may be limited to that particular company. Banks typically provide their best deals, but they may not consider other lenders’ offerings.
It’s worth considering that mortgage lenders extend beyond banks, and there are numerous alternative options available. The deal a bank recommends may not necessarily be the most competitive one among all available lenders.
Seeking specialist mortgage advice in Beverley can provide you with a significant advantage. Our expert mortgage advisors in Beverley will thoroughly review your case and leverage our extensive panel of lenders to find the best deal tailored to your specific needs.
Another benefit of consulting a mortgage broker in Beverley is access to exclusive deals that are not available elsewhere.
Whether you’re a first time buyer, moving home, or looking to remortgage in Beverley, we can present you with a wide range of options to choose from, ensuring you find the most suitable mortgage solution.
In the aftermath of the 2007-08 credit crunch, significant improvements were made in the mortgage market. One of these changes came in the form of the 2014 Mortgage Market Review, which required lenders to provide mortgages only with extensive expert advice.
Gone are the days when anyone at a bank could grant a mortgage without proper checks or qualifications. The new regulations ensure that customers receive appropriate advice tailored to their circumstances.
These changes also introduced consumer protection measures that were previously lacking. If you believe you have been misadvised, you now have the option to file a complaint with the Financial Ombudsman or seek compensation through the Financial Services Compensation Scheme.
This increased consumer protection provides reassurance to customers, ensuring they receive reliable advice and guidance throughout their mortgage journey. This applies not only to mortgage brokers in Beverley but also to mortgage lenders, as both are subject to these regulatory requirements.
Choosing to approach a bank instead of a mortgage broker in Beverley can come with a drawback in terms of timing. Getting in touch with someone at a bank can often take months, and once the process begins, you may not receive frequent updates throughout your mortgage journey.
At Beverleymoneyman, we prioritise responsiveness and convenience for our customers. Our dedicated team of mortgage advisors in Beverley will reach out to you at a time that suits your schedule.
We’re available from early morning to late evening, seven days a week, including weekends and even some bank holidays.
We understand that every customer has a unique lifestyle, which is why our advisors are available throughout the day. You can easily book an appointment beyond traditional 9-5 hours or on weekends through our simple online booking system.
Our commitment to responsiveness doesn’t end there. Whether you’re at the beginning or nearing the completion of your mortgage, our friendly team will keep you informed every step of the way. If there are any changes, your dedicated mortgage advisor in Beverley will promptly get in touch with you.
It’s this emphasis on high-quality service that has made local mortgage brokers in Beverley like us a preferred choice for many. Instead of national banks, more and more people are opting to approach knowledgeable local experts who provide personalised support and guidance.
With our extensive industry experience, we have encountered various scenarios that can present slightly more challenges than the usual mortgage cases.
One such scenario is a mixed deposit, where two different sources of funds, such as a gifted deposit and personal savings, need to be audited and accounted for. Additionally, individuals on zero hour contracts pose considerations regarding the consistency of their income.
For those looking to make a second property purchase, assessing their affordability and financial capability becomes crucial. Self employed individuals in Beverley without a fixed income also face challenges in securing a mortgage.
A poor credit history can also impact an applicant’s eligibility, as lenders may view it unfavourably. Ultimately, affordability is a key factor, determining if applicants can comfortably manage the mortgage.
In the past, mortgage lenders competed primarily by offering better deals, but the focus has now shifted to meeting specific criteria. It’s important to note that while you may find a cheaper deal, it may not align with your unique circumstances and requirements.
Applying for a mortgage involves a hard search, which leaves a footprint on your credit file. Declining a deal in principle can negatively impact your credit file without clear reasons provided, adding to the frustration.
At Beverleymoneyman, we understand the intricacies of these situations and have the expertise to guide you through them. Our mortgage advisors in Beverley will leverage their knowledge and experience to help you find suitable mortgage options, even in challenging circumstances.
We are committed to providing personalised advice and support throughout the application process, ensuring you have the best chance of securing the right mortgage for your needs.
Mortgage brokers in Beverley play a vital role in helping you navigate the mortgage application process and increase your chances of approval. With their extensive network of lenders, they have access to a wide range of options and can find the most suitable deal that aligns with your specific criteria.
Once they have assessed your case, they can initiate the process of securing an agreement in principle for you. At Beverleymoneyman, we prioritise efficiency and aim to provide you with an agreement in principle within 24 hours of your free mortgage appointment.
It’s important to note that an agreement in principle does not guarantee or automatically commit you to a mortgage. It offers the advantage of having an expert review your credit file in advance, which can help protect your credit score.
Our team of dedicated mortgage advisors in Beverley is committed to getting our recommendation right the first time, ensuring that you have the best chance of a successful mortgage application.
When it comes to finding the right mortgage solution, there are advantages and disadvantages to both approaching a mortgage broker in Beverley and going directly to lenders. The choice ultimately depends on the speed and level of security you desire.
At Beverleymoneyman, we are a dedicated mortgage broker in Beverley with extensive experience assisting clients at various stages of their mortgage journey.
Whether you’re a first time buyer in Beverley taking your initial steps into the mortgage world, nearing the end of your fixed period, or looking to remortgage in Beverley, our team is here to provide expert guidance.
You can easily book a free mortgage appointment or remortgage review to speak with our knowledgeable mortgage advisors in Beverley. We understand the importance of flexibility and strive to accommodate your availability, subject to our schedule.
To gain further insight into our services, we encourage you to explore the exceptional customer reviews we have received.
These testimonials reflect the high level of service we consistently provide to our satisfied clients. Additionally, you can find valuable mortgage-related content on our YouTube channel, MoneymanTV.
When it comes to your mortgage goals, our team is dedicated to helping you find the right solution. Contact us today to discover how we can help you on your mortgage journey.
More and more people these days pay much closer attention to their credit rating, especially first time buyer in Beverley as they tend to worry about being accepted. Consumer awareness of credit scoring is higher now than ever before. We’d say at least half of the people who contact us for the first time, have already looked at their credit report online.
There are many different credit reference agencies out there. Most people will have heard of Experian or Equifax, but we recommend potential new clients to use Check My File for a 30-day free trial, which is £14.99 a month thereafter and can be cancelled at any time.
This is because of this report “sweeps” several of those reference agencies and collates the information into an easily understandable colour-coded report.
Try it FREE for 30 days, then £14.99 a month – cancel online anytime.
Often, clients ask if we will be doing a credit search on them, because they are aware that too many searches can have an adverse effect on their credit score. Lenders always run credit checks but we always seek a client’s permission before doing so. There are 2 different types of credit searches that Banks can run on a customer: hard searches or soft ones.
A hard credit search is an in-depth look at your credit report. Any financial institution carrying out one of these should seek your permission to do so. The advantage of a “hard” search is the lender is looking into your situation quite closely. If you pass the credit score then it’s fairly likely that your application will ultimately be successful. The only thing that can really go wrong from then on, is if for some reason you cannot provide satisfactory documentation to back up the information you have disclosed. Either that, or it turns out you have provided false details.
The bad news about a hard search though is that it leaves a “footprint” on your credit file. This means anyone who looks at your report in the future can see you have had a search carried out. This isn’t necessarily a bad thing, but if you have several footprints registered in a short period of time then it could look like you applying for lots of credit at the same time.
The footprint does not state whether your application was successful or not. However, if you have several searches over a few weeks, then lenders’ systems could wrongly assume you are being declined on the basis of; “Why else would you go to lender number 2 unless lender number 1 had said no?”.
The odd hard footprint on your record from time to time is no big deal. There’s no need to worry too much about this, just be careful not to have too many.
A soft credit search is a “lighter touch” look at your financial situation. This is the kind of search that would routinely be carried out on price comparison websites. This would give you an indication of what products might be available to you. It can also be useful if someone wants to verify your identity.
Some mortgage lenders do soft searches in the first instance. More and more lenders seem to be changing to doing this type of search. Whilst the financial institution doing a soft search obtains less information about you than if they had done a hard search, an agreement in principle from one of these lenders is usually still an extremely strong signal that your full application will be accepted.
You will be able to see that someone has carried out a soft search on you if you check your credit file. The good news though, is that these searches are not visible to other financial institutions like banks. This means that you can apply for an agreement in principle for a mortgage, without it damaging your credit score. This is irrespective of whether it is successful or not.
If you are wanting to make an offer on a property, we always think it is an excellent idea to have your mortgage agreement in principle in place prior to contacting the estate agent. You want to give yourselves the best possible chance of securing the property you want at the lowest price so if you can present yourselves as having your finances in place then you are definitely putting yourself in a stronger position. Having the agreement in principle also sometimes puts the agent off trying to “cross-sell” their own in-house mortgage services to you.
The two most common questions we are asked on a daily basis from first time buyers in Beverley are, “Can I get a mortgage in my situation?” and “How much can I borrow?”. In this article, we explain the latter which has changed quite a lot in the past decade.
Back in the ’80s and ’90s, most mortgage applications were manually underwritten. That is to say, there was lots of “human intervention” in the process of approving mortgage applications. You’d make an appointment with your Building Society Manager, and they would interview you.
They would encourage you to save with them for a while until you prove yourself credit-worthy. The manager would then grant you the equivalent of an agreement in principle. This would then be followed by advice on how much they were prepared to lend.
This sounds very much like a highly personalised process with a common-sense approach. That being said, it could lead to inconsistent decision-making. The manager has the discretion to interpret the lending manual. In other words, it would be possible to approach the same Building Society in a different town or city. You could possibly obtain a different outcome.
With a view to eradicating the above and more importantly, cut costs, Lenders moved to automated affordability calculations. “Caps” were applied so they would lend you more than, say, 3 or 4 times your household income.
As the 2000s progressed, lenders were becoming more and more generous in how much they would lend. Some lenders would offer self-certified mortgages. This was where no background checks would be carried out as regards how much an applicant actually was earning!
The market crashed and to all intents and purposes, 2008-2010 were very difficult years if you were trying to get on the property ladder. The lenders battened down the hatches and created a very cautious (over-corrected) lending environment.
The market recovered and in 2014 the regulator launched the Mortgage Market Review (MMR). This was a new set of guidelines for Lenders to adhere to. Gone were the old-style income multipliers which took little account of household expenditure. Before 2014, two applicants earning the same could borrow roughly the same as each other.
This was irrespective of how much they spent each month. Then came new affordability models. These took a much more forensic view of how mortgage applicants managed their money on a monthly basis.
There is still a “cap” in place (most Lenders will not go past 4.75 times your annual income) but your spending habits are analysed also. So, for example, if you have high childcare costs, lots of credit commitments and a student loan you will be offered less than your work-colleague who doesn’t have any of that expenditure.
We are still constantly surprised by the large variances lender to lender in how much (or little) they will lend. Some lenders seem to penalise low-earners (perhaps they are not looking for that type of applicant), some take pension contributions as a fixed outgoing so would often lend, say a public sector worker with a big pension deduction less than a private sector and so on.
It really is horses for courses and if you need to maximise your borrowing capability to obtain the home you need to buy then you’ll definitely need a Mortgage Broker in Beverley on your side who can research the market on your behalf to see if anyone will lend you the amount you need.
It’s very likely that you will be asked what your credit score is like when it comes to applying for a mortgage. There are a plethora of factors that can affect your credit score. For instance, the fewer addresses you have on your record, the better your credit score.
As mentioned, fewer addresses on your file can support your mortgage application when done correctly.
We do find that many applicants, particularly first time buyers in Beverley, leave their previous addresses on their records. They may have done this accidentally or as a way to keep their credit score from lowering but they do need updating.
There is a range of documents you will need to update whether it be bank statements, credit cards and electoral roll information. We do find that many applicants disregard this information as they believe it won’t harm their credit score, however, it can create a significant amount of damage.
You may be in a situation where you get an unpaid ticket that is sent through to your old address. If you don’t let the post office know to make sure all mail gets forwarded, the longer it goes unnoticed which can result in receiving a CCJ.
Receiving a CCJ on your credit file could result in losing lots of points on your credit file. This will damage your credit history and make things more difficult for you when it comes to being successful in your mortgage application.
We do recommend that you give your application a thorough check from start to finish. Begin with your address by making sure that the address on all of your accounts (credit cards / current accounts) and electoral roll are all registered to your current address.
This is usually targeted at applicants who are currently living in rented accommodation and haven’t changed their address from their previous property.
It’s best you double-check everything when applying for a mortgage just in case you miss anything. Keep on top of your address, making sure everything is updated can make a positive impact on your mortgage application.
Find out the exact date you moved into your rented apartment / new home and when you moved out. This will prevent any cross-over that may show you were living in two different addresses at once.
If you don’t do this could lead to confusing the lender and could potentially cause damage to your credit file or mortgage application.
It will be very beneficial to have a Mortgage Broker in Beverley to provide a helping hand as they will make sure your application is perfect before it’s submitted. They will also check that all information is updated correctly to have the best possible chance of being accepted.
Demonstrate to the lender that you tried your best to get your application accepted. You may have evidenced your deposit to show how you have saved up or you have consciously updated your address. Either way, it will massively help your application and impress them.
In the situation when you have an outdated address that is connected to one of your accounts, your lender will see that you didn’t check to see if any of your addresses needed updating. This could show to a lender that you haven’t taken things seriously.
To conclude, it’s important to change your address and any other factors stated above in order to prove to the lender that you are serious about this financial commitment. Therefore, we do strongly suggest that you check up on your file to make sure your application is up to date. If you are wanting a second set of eyes on your application, take advantage of our free mortgage appointment in Beverley.
Here at Beverleymoneyman, we have a team of expert moving home mortgage advisors in Beverley who are available 7 days a week. We look forward to helping you secure a great mortgage deal and get your application looking ready to go!