Self-Cert mortgages - who does the best rate?
25 September 2003, 09:21 AM
#31
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Actually, YDHM, 'cos the mailbox specified in your profile bounced. 
Can you give us a quote for a valuation of 120k, with an 85% LTV (so a loan of 102k).
Can you give us a quote for a valuation of 120k, with an 85% LTV (so a loan of 102k).
25 September 2003, 10:54 AM
#32
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Tracker - Bank of Ireland - 3.75% for 2 years £524.00 p/m on 25 year repayment
Fixed 1 year - Flagship - 4.29% - £554.00 p/m
Fixed 2 year - Birmingham & Midshire - 4.49% £566.37 p/m
Fixed 5 year - UCB Homeloans self cert - 5.29% £613.64 p/m
Fixed 1 year - Flagship - 4.29% - £554.00 p/m
Fixed 2 year - Birmingham & Midshire - 4.49% £566.37 p/m
Fixed 5 year - UCB Homeloans self cert - 5.29% £613.64 p/m
25 September 2003, 11:05 AM
#34
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Many of them charge a higher borrowing fee if they advance more than 70ish percent.
Can be expensive, so be careful.
TMB are pretty good- part of the Halifax.
Can be expensive, so be careful.
TMB are pretty good- part of the Halifax.
25 September 2003, 11:13 AM
#35
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B2Z - They are all direct.
Add about £150.00 p/m onto each of them to get the cost for £130k mortgage.
Disclaimer - This is only an brief idea - I have a choice of 398 85% LTV self cert deals. (676 for 75% LTV.) They all have different fees. Some have extended redemption. Some have redemption within the offer and some have no redemption penalties at all. Some are flexible. Some have daily interest,some have monthly interest,some yearly, so don't make a decision based on the above info.
Add about £150.00 p/m onto each of them to get the cost for £130k mortgage.
Disclaimer - This is only an brief idea - I have a choice of 398 85% LTV self cert deals. (676 for 75% LTV.) They all have different fees. Some have extended redemption. Some have redemption within the offer and some have no redemption penalties at all. Some are flexible. Some have daily interest,some have monthly interest,some yearly, so don't make a decision based on the above info.
25 September 2003, 11:32 AM
#36
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Cheers FB, yeah was looking from the calculator MarkO put up above at about £700 a month so thats good 
I will see a mortgage advisor as well from the local estate agents just to see what they can come up with but will then compare against these ones.
Stupid thing is I could not borrow the amount on a normal mortgage based on my earnings, yet I am nearly paying the same amount as the £130k mortgage due to the couple of loans at the much higher rate, so they know I can afford the repayment but are so stupid they refuse to up the amount you can borrow purely based on earnings
I will see a mortgage advisor as well from the local estate agents just to see what they can come up with but will then compare against these ones.
Stupid thing is I could not borrow the amount on a normal mortgage based on my earnings, yet I am nearly paying the same amount as the £130k mortgage due to the couple of loans at the much higher rate, so they know I can afford the repayment but are so stupid they refuse to up the amount you can borrow purely based on earnings
25 September 2003, 12:04 PM
#37
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It isn't that daft - The loans are probably short term - 3-5 years? And possibly fixed interest. Say they lend you 130k over 25 years and interest rates go back to 15% over the next 10 years. For the last 15 years you might be paying £2000.00 per month just for your mortgage. 
You income will probably be higher by then, but that is not guaranteed
You income will probably be higher by then, but that is not guaranteed
25 September 2003, 12:11 PM
#38
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No I did the loans for the same time as the mortgage. Idea was to keep payments down and then remortgage and put it all into one again at remortgage time.
So I know I can afford the payments on a much higher mortgage than what I have now and so do the mortgage company but when they calculate how much u can borrow they only take into account how much you earn, not how much you have been paying and how that compares to what you want to borrow now. Doesn't make sense to me as its the monthly payments that should count. IE if I pay x amount now and want a much higher mortgage and its still only going to work out the same or tiny bit more than what I pay now then it isnt right I should be told no you can't afford that. Thats the whole reason I am wanting to go for self cert.
So I know I can afford the payments on a much higher mortgage than what I have now and so do the mortgage company but when they calculate how much u can borrow they only take into account how much you earn, not how much you have been paying and how that compares to what you want to borrow now. Doesn't make sense to me as its the monthly payments that should count. IE if I pay x amount now and want a much higher mortgage and its still only going to work out the same or tiny bit more than what I pay now then it isnt right I should be told no you can't afford that. Thats the whole reason I am wanting to go for self cert.
25 September 2003, 11:19 PM
#39
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Looks like Halifax are the best then, with 4.25% for 4 years. I'll have a look into those ones though, fb, 'cos getting a self-cert Halifax mortgage through Charcol is seemingly going to take 6-8 weeks which is no good when we have to complete in about 4-5.
RHH, most of the ones I've found which are self-cert and 85% have tracker rates which match the best deals on the high street (e.g., BoS offer 4.69% for an 85% LTV self-cert) so I'm not convinced there's any particular weighting for more than 75% LTV. It only gets expensive over 90%, in my experience...
which is no good when we have to complete in about 4-5. RHH, most of the ones I've found which are self-cert and 85% have tracker rates which match the best deals on the high street (e.g., BoS offer 4.69% for an 85% LTV self-cert) so I'm not convinced there's any particular weighting for more than 75% LTV. It only gets expensive over 90%, in my experience...
25 September 2003, 11:35 PM
#40
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Mark - I've found in the past that once the lender knows you have to complete in 4-5 weeks, they'll hurry things along....
Worth asking them.......never understood why it takes so long for the lender to get the money in place. Not exactly THAT much paperwork involved - just a few transactions between them and your solicitor.
[footnote - just noticed this is through a broker - mine went through an IFA too (IFA interfaced to Std life), but still the IFA ensured it went through ASAP.]
[Edited by imlach - 9/25/2003 11:37:51 PM]
Worth asking them.......never understood why it takes so long for the lender to get the money in place. Not exactly THAT much paperwork involved - just a few transactions between them and your solicitor.
[footnote - just noticed this is through a broker - mine went through an IFA too (IFA interfaced to Std life), but still the IFA ensured it went through ASAP.]
[Edited by imlach - 9/25/2003 11:37:51 PM]
25 September 2003, 11:59 PM
#41
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Mark - Do Halifax do over 75% for self cert?
If you get the app and all the paperwork right first time Halifax usually manage to cobble together an offer in about 10-12 days. After this it is down to the conveyancer. (That said - we have a local processing centre in Belfast fro local stuff, so that might be the difference in the LTV and the timeframe)
If you get the app and all the paperwork right first time Halifax usually manage to cobble together an offer in about 10-12 days. After this it is down to the conveyancer. (That said - we have a local processing centre in Belfast fro local stuff, so that might be the difference in the LTV and the timeframe)
26 September 2003, 08:16 AM
#42
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The girl at Charcol seemed to think that they could get an AIP today or Monday, but after that it might take a while to process. I asked about getting it fast-tracked (which most will do if there's an early completion date) but she didn't sound convinced.
I guess Halifax must do an 85% LTV, 'cos that's what I've applied for, and nobody's mentioned a problem yet. I've found that some lenders will be more flexible if you go via an intermediary rather than direct though...
I guess Halifax must do an 85% LTV, 'cos that's what I've applied for, and nobody's mentioned a problem yet. I've found that some lenders will be more flexible if you go via an intermediary rather than direct though...
26 September 2003, 06:46 PM
#43
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Bah. Turns out you're right, FB. Girl from Charcol phoned back to say that Halifax only do 75% LTV self-cert lends, so all deals are off.... 
26 September 2003, 09:23 PM
#47
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Charcol should still be able to sort you out with someone else. The are owned by Bradford and Bingley, but the claim to be independent. If they can't threaten to report them to MCCB
26 September 2003, 09:55 PM
#49
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TMB are owned by Bank of Scotland who merged with Halifax to form HBOS.
BM Solutions (owned by Halifax) do self cert to 85%.
Mortgage Express do self cert to 90%.
GMAC do self cert to 90% (do not even have to state an income on the form).
Halifax, Abbey, C&G will go to 80% without proof of income but do reserve the right.
Bank of Ireland got to 85%.
These are just a few, there are loads more available.
I would give you more details but left my laptop in the office.
As for rates and deals, I advise most of my clients not to have a product that ties you in after the end of the fixed/discounted rate. I think 2-3 years is about right for most people. As for the type of deal fixed rates tend to be higher than discounted so you may want to factor that in.
personally I wouldn't touch Charcol, you would be better off looking for a local IFA. Bear in mind that if any advisor wants to charge you a fee he will probably be paid by the lender as well.(there are only 2 lenders that I do not get paid by).
Sorry to go on but the wifes away and the kids are in bed, and I've got no decent DVD's in.
BM Solutions (owned by Halifax) do self cert to 85%.
Mortgage Express do self cert to 90%.
GMAC do self cert to 90% (do not even have to state an income on the form).
Halifax, Abbey, C&G will go to 80% without proof of income but do reserve the right.
Bank of Ireland got to 85%.
These are just a few, there are loads more available.
I would give you more details but left my laptop in the office.
As for rates and deals, I advise most of my clients not to have a product that ties you in after the end of the fixed/discounted rate. I think 2-3 years is about right for most people. As for the type of deal fixed rates tend to be higher than discounted so you may want to factor that in.
personally I wouldn't touch Charcol, you would be better off looking for a local IFA. Bear in mind that if any advisor wants to charge you a fee he will probably be paid by the lender as well.(there are only 2 lenders that I do not get paid by).
Sorry to go on but the wifes away and the kids are in bed, and I've got no decent DVD's in.
26 September 2003, 10:10 PM
#53
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Trigold as well, but I usually reinstall mortgage brain (15 day trial) if anything isn't cut and dried cos neither system gives the whole range.
Are you sure about Britannia? I completed a light adverse with them through a packager last month and just received a 1% proc fee this very day. Not sure if it is the packager or Brittania who pay though...
Are you sure about Britannia? I completed a light adverse with them through a packager last month and just received a 1% proc fee this very day. Not sure if it is the packager or Brittania who pay though...
26 September 2003, 10:23 PM
#54
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I will have to check on Brittania (sure you don't mean Britannic).
Used to use Mortgage Brain (my Network has got software links with it) but find Trigold much more user friendly.
I can't believe how sad we are talking shop at this time on a friday night.
Used to use Mortgage Brain (my Network has got software links with it) but find Trigold much more user friendly.
I can't believe how sad we are talking shop at this time on a friday night.
27 September 2003, 08:26 AM
#57
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I've come to the conclusion that Charcol are crap too.
Thanks for the advice, 3times. I wouldn't get any fixed deal which has redemption penalties at the end of the fixed period - that would just be daft.
The main issue we have now is time - we're probably going to complete in 4-5 weeks, and nobody seems to be able to manage that timescale. Wouldn't be a problem in England, as we could just delay completion, but in Scotland we're legally bound to complete on a particular date already.
So what we're going to do now is get a variable discounted tracker from BoS (which was sorted yesterday afternoon) and then switch to a decent fixed rate loan once we're actually in the property (the BoS deal has no penalties at all, so we can ditch it once the initial purchase process is complete).
So look out for this question again in about 2 months.
Thanks for the advice, 3times. I wouldn't get any fixed deal which has redemption penalties at the end of the fixed period - that would just be daft.
The main issue we have now is time - we're probably going to complete in 4-5 weeks, and nobody seems to be able to manage that timescale. Wouldn't be a problem in England, as we could just delay completion, but in Scotland we're legally bound to complete on a particular date already.
So what we're going to do now is get a variable discounted tracker from BoS (which was sorted yesterday afternoon) and then switch to a decent fixed rate loan once we're actually in the property (the BoS deal has no penalties at all, so we can ditch it once the initial purchase process is complete).
So look out for this question again in about 2 months.
30 September 2003, 10:07 AM
#58
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FB do you do business for scoobynetters over the phone/via email etc? Is it possible?
I have been talking to financial advisers at the estate agents and they are all crap and talk out of thier ar$es
The one last night basically told me dont go with other FA's as they all lie and she tells the truth I was like yeah I am gonna go with you arnt i - not! Her best interest rate was 4.25% anyway.
Just interested to know if you only do business locally or anywhere as you have provided some helpful info on here.
I have been talking to financial advisers at the estate agents and they are all crap and talk out of thier ar$es
The one last night basically told me dont go with other FA's as they all lie and she tells the truth
I was like yeah I am gonna go with you arnt i - not! Her best interest rate was 4.25% anyway.Just interested to know if you only do business locally or anywhere as you have provided some helpful info on here.
30 September 2003, 10:59 AM
#59
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TBH, it's looking like getting an 85% LTV fixed rate self-cert mortgage with a rate less than about 4.5% is well-nigh an impossibility. I can't find one at all.
It's a Royal PITA.
It's a Royal PITA.