MORTGAGE BROKER v BANK
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. Did you know that 54% of home loans are written by mortgage brokers?
There are countless reasons why it pays to use a mortgage broker when shopping for your home loan. 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.
We offer the following arguments 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’.”
Ask your lending manager how long they’ve been helping people with home loans, “Brokers often own their own businesses and are committed to their clients in the long term, with many years of industry experience,” she says. “Banks are big companies; they move their staff around and reward good performers with promotions away from their customers.”
If you’re looking for specialized assistance with your loan, it pays to talk to a broker. “For example – Are you self-employed? Do you need a business loan? Have you been in your current employment for a minimal period? Have you had any defaults on your credit file? Are you looking for short-term finance? What if you have been declined finance with your current lender, what are your options?
- Follow Up
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.
- Personal Banker
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 mortgage broker, they will be your ‘broker for life’ and will continue to look after you.