Benefits of engaging a mortgage broker
Buying a house represents the single largest investment we’ll make in our lifetime. As such, it makes sense that we seek the help and advice of someone who is familiar with the whole process. A real estate agent is a good option, but they are limited in the financial aspect of things. So who do you turn to? A mortgage broker, of course!
Also known as a personal financial advisor and commercial finance broker, a mortgage broker is a financing expert who offers advice on mortgages as well as any other related financial matters. But why should you engage the services of a mortgage broker when all the relevant information and loan packages are publicly available? Good question. Here are some answers for you.
You’ll get the best deals
Mortgage brokers are duty bound to provide you with the most effective mortgage package for your purchase. If their recommendation proved to be misleading (or cost more than other available loan packages), you can actually file a complaint against the broker with the Financial Ombudsman or the Council of Mortgage Lenders. Such a report could seriously jeopardise their career. This is why brokers will work very hard at providing you with the best deals available.
They are in your corner
When you visit banks and speak to the financial advisors there, you know that their answers are geared towards getting you to sign up for one of their packages. You can be sure that they will earn a commission when you do so. So their focus will be on themselves.
However, when you work an independent mortgage broker, their focus will be on you. They will work hard to find the best options from different banks and financial institutions. And since they are not paid by the mortgage provider, you can place more trust on their judgement and recommendations.
They offer accurate financial advice
Being experts of the mortgage industry, mortgage brokers know the criteria and requirements of the industry like the back of their hands. After reviewing your financial information, they will be able to tell you the amount of loan you would qualify for, down to the penny. They will also be able to advise you on the documentary requirements and assist with the application. So if the seller is keen on a fast house sale, the mere presence of a broker will sped the process along.
In addition, brokers can also offer counsel and recommendations on related financial matters like insurance and stamp duty. If you are numerically or mathematically challenged, a mortgage broker might just turned out to be your new best friend.