Become a broker to keep commission

C

Clipper

Guest
We're about to get a large mortgage and am a bit sick thinking of the 1% a broker will could out of it. Does anyone know whats involved in registering yourself as a broker, applying for a mortgage on your own behalf and then getting the commision yourself?
 
Yes I do know - because I am a broker! You will have to register with IFSRA, get Professional indemnity insurance, apply to all the banks for agencies (and proove your financial well-being) get IFSRA approved stationary, get various money laundering legalaties sorted with your solicitor. Register as a company, or as a trade name. In terms of cost you should get some change out of €20,000.
By the way - why does the fact that a bank will pay a broker a finders fee of 1% bother you?
Also - speaking from my own experience, we have no difficulty in refunding commission on a good quality case !
 
Thankfully, there are substantial requirements to become a mortgage broker imposed by both the Lenders and The Financial Services Requlatory Authority.
If you do not want to pay commission, don't use a Broker, do the shopping around yourself and negoiate the deals yourself with the lenders.
If you have not got the time to do this, finad a reputable Broker and discuss a deal with them on the commission.
 
Thanks for that, from what I read on this site, noone seems to have confirmed receipt of the commision from the bank or part there of. Therefore, if theres 5k to be made out of our loan, I'd like that 5k myself rather than the bank keeping it if I go to them directly. Munsterdude, from what you said, the best option is probably for me to negotiate say a 50 / 50 split with a broker if I can find one willing, am I safe to assume that an IFSRA regisitered broker would honour the deal if I had it in writing?
 
Clipper,
You seem to have a very poor view of brokers! Obviously I find that somewhat offensive! Why cant you trust a broker to split the fee with you if he says he will? I have done it loads of time, and would have no difficulty in doing it with you. But you are forgetting the advantages of dealing with a reputable broker - mainly product knowledge and the ability to get a bank to " sharpen the pencil" on your behalf.
 
Sorry, monsterdude, no offence intended. After estate agent telling us that the vendor had accepted our offer and then coming back to us a week later with a 1k bid now also accepted, I guess I'm feeling very negative about the whole situation. You're right, I've no justification for my view of brokers.
 
I suppose clipper what I am trying to say is that a good broker adds a lot of positives for a customer - including a rebate on commision! No offence caused - honest!
 
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