Reasons To Choose Mortgage Brokers – [Infographic]

Why Use A Mortage Broker?

No matter if this is your first time buying a home, having a mortgage broker is one of the best investment decisions you can make. Those who have purchased a home before may grimace at want to go direct to the big four banks. But the fact is that because the housing market is constantly changing, as well as the lenders. Th correct steps you took before may be the wrong ones today. Not convinced quite yet? Read on to learn 10 reasons why you may want to bring on a mortgage broker to your next home buying journey.

1. Best Rates

Although interest rates have never been lower, you should never rely on a bank to help you find the best rates on interest. This is where a mortgage broker comes into the picture. Because of their years in the field, mortgage brokers have been able to form relationships with lenders all across your community. If an interest rate that doesn’t fit your budget comes up, your mortgage broker may be able to nudge them to lower it even more.

2. More Choices

One of the most frustrating things for home buyers is having to go through is limit themselves to the number of homes they can purchase. This is usually caused by the limited amount of lenders they have spoken with and have given them the green light to start shopping. But in today’s competitive environment, settling for a handful of lenders is no longer recommended nor wise. A mortgage broker can open up more options for you through their connections and knowledge of the law. This is because they understand that lenders want to bring on people and will fight for it, even if they don’t show it.

3. One on One

If you’re a first-time home buyer, then you understand how daunting the whole experience of purchasing a home can be. Although mistakes will occur, being able to communicate one on one with a mortgage broker can eliminate a large majority of them. For many, that communication with an experienced professional is enough to justify the extra cost of obtaining a mortgage broker.

4. Lower interest rates

As stated above, mortgage brokers usually have the connections to help you find better interest rates with lenders you may never have attempted to speak with. However, they can also go a step further and help you obtain a lower interest rate than what the public is getting. This is because they are able to communicate with your lenders about your interest in other lenders or simply showing them income documents that most lenders would not take the time to look at.

5. Save Time

No matter how glamorous the home buying process is portrayed on television to be, the reality of the matter is that it takes a lot of time and research to get a fair end-result. For many buyers, this may not be possible. Things such as having to work or needing to take care of your children are real-life barriers that will prevent that work from being done. Having a mortgage broker at your side eliminates a large majority of that work for you.

6. Specialisation

No matter how much you attempt to research into home loans, the current market, and everything in between, it’s simply never going to match the experience that a mortgage broker holds. They understand what goes into a good and bad mortgage loan, items that the average person would take years to spot.

7. Banks don’t compare the market

When it comes to the type of mortgage loan you are offered, banks are usually not going to take the market into consideration. Unfortunately, this is a misconception that buyers walk into a bank with. A mortgage broker understands that a vast majority of what they take into consideration is the person’s financial standing.

8. Banks offer limited options

If you have ever gone shopping for a popular item, you may notice that the most valuable are placed behind glass. Banks do the very same thing with their loans. They will have lesser-known and often better mortgage loans behind glass. A mortgage broker understands this and may be able to help you obtain these loans, thus providing you with a more favorable end result.

9. No incentives for bank employees

No matter how difficult banks may make it look, their employees do have a reason to approve you for a loan. However, those incentives often come at a cost, such as offering bad loans or giving too much buying power to those who may not really be able to afford it. Mortgage brokers understand this and thus help buyers avoid accepting these bad loans.

10. Lender network

The reality is that your mortgage broker is not going to be able to get you just any type of loan you want. That is why they rely on their network of lenders to open up the options for you. If one says no, no problem, they utilize the information they received and move towards other lenders to obtain a deal for you.

As you can see from the information above, there are many reasons you should obtain the services of a mortgage broker. As with anything in life, you should always conduct your due diligence before bringing anyone onto your home-buying process. To find out more contact to get all your questions answered. Thanks for reading.