A large percentage of people head straight to their own (or nearest) bank when deciding to apply for a home loan. Most finance experts warn, if this is your strategy, you may be missing out on some significant benefits.
There are countless reasons why it pays to use a mortgage broker when shopping for your home loan, and even if you want to use your own bank for your mortgage, you can still use a broker to help process paperwork and manage the application on your behalf, plus there is no direct cost to you.
But if your heart’s not set on using a particular lender, a broker can be your best friend.
The following five tips as to why every borrower should seek out a qualified mortgage broker when trying to obtain property finance:
“The biggest advantage of a broker over a bank is choice,”. “When you sit in front of a broker you are sitting in front of 10+ banks and 50+ products versus visiting a banker who has access to only one bank’s products. This is especially important at time like now, when the banks are saying ‘no’ more, and by having more choices you’re likely to get a ‘yes’.”
If you’re looking for specialised assistance with your loan, it pays to talk to a specialised broker. “For example if you’re starting property investing, look for a broker who specialises in property investors. Bank staff often don’t have the training or experience in one area, but service whoever happens to walk in to the branch.
Following up the progress of your loan application is time consuming and frustrating. A good mortgage broker will have a system for chasing you up, keeping you informed and saving you time.
Your mortgage broker is “like the perfect personal banker,” They know what needs to be done, they make sure it happens and because it’s their own business, they’re in for the long haul. Bank staff change often so even when you find a good personal banker they change jobs before you know it.”
It can be confusing to know whether to get a variable rate or fixed rate mortgage, and what features are important. That’s why it’s important to not only check the right rates, but make sure that you’re getting the right features in your home loan.