All You Need To Know About A Mortgage Broker
In most fields of commerce you are able to deal directly with the organisation offering the service or product you are seeking if you wish to do so, but there is usually another way of obtaining the same result, that is to search for your product, or service, via an independent body, a person or organisation who knows the industry well and is capable of seeking out the premier product at the best price, one who will carry out the search for you.
eChoice Home Loan Comparison Service
Save time in searching all of the home loans available and save money by securing the best deal and the right home loan for you, first time. You don’t have to be a first home buyer either to benefit from the services of a mortgage broker, who can also assist with refinancing and investment loans.
- Compare home loans from over 30 of the best Australian lenders.
- Be matched to your perfect home loan with the help of expert staff and state of the art technology.
- Interest Rate of 6.55%
- Comparison Rate of 6.55%
- Application Fee of $0
- Maximum LVR With LMI: 90%
- Minimum Borrowing: $0
- Maximum Borrowing: $0
In the home loan industry such a person is a mortgage broker. Mortgage brokers are independent professionals who are not tied to any specific lender. They are therefore able to assess with an open mind which home loan would be most suitable for your own particular circumstances. The same result would be more unlikely to occur if you were to approach a single lender and chose whatever mortgage they had available.
A Mortgage Broker is a Specialist Professional
It was once the practice to go to your local bank manager if you wanted to borrow money to buy a home. Your bank manager would take you through whatever that particular bank had on offer but would not make comparisons with a similar product from another bank. You would accept the advice of your bank manager, often a family friend who had served the family for generations, and take the loan he or she offered. This is not so true in today’s more impersonal approach to home buying. As elsewhere in business, the provision of home loans have become a a very competitive sector of the financial sector. In fact it is now that competitive it is very hard to sort out what is and what is not the most suitable home loan any more. It has become an area of specialist professionals who make it their life’s work, such a person is known as a mortgage broker.
A mortgage broker is a broker who specialises in home loans. They are successful in the service they provide by remaining independent of the banks and non-bank establishments they work with. They do this by remaining at arms length, this way they are able to compare home loan products being offered with a critical appraisal taking into account what would be most suitable for the potential home buyer they represent. They are not salespeople, the lenders are the people trying to sell their products but a mortgage broker will not be swayed by any sales talk that may or may not be offered on a certain product, as their knowledge of what is available is the result of years of experience and training.
Some mortgage brokers don’t charge a fee for the service they provide as they earn their income from the commissions paid by the lender for giving them your business. Others do charge a small fee however as they claim this keeps them at a further distance from being influenced by the lender they have chosen for you in order to provide your mortgage requirements. In other words they feel a small fee is a small price to pay to ensure their clients receive independent and sound advice.
A Mortgage Broker Will Do More Than Simply Arrange a Home Loan
There is much more to being a mortgage broker than just seeking out the most appropriate home loan that best reflects your present needs and future aspirations. When you first approach a mortgage broker he or she will sit down with you to fully discuss what it is you want and what you can afford. They will take into account all that a lender will want to know, before they will make a home loan available to you. This means you will have a fair idea what price home you can look at buying before speaking to a lender.
In fact a mortgage broker will help you in the actual filling out of the home loan application as well as putting together all the necessary supporting documentation. This part of the mortgage process can be very daunting for many going through the whole process themselves, as well as it being quite time consuming. When you have professional advice in putting together all the required paperwork you are much less likely to have your application declined on the grounds of ignorance in answering a certain question properly.
If you happen to be a first home buyer a mortgage broker will be able to help you complete the First Home Owners Grant (FHOG) application at the same time, as well as having it forwarded with your home loan application. In this way you will most probably receive the FHOG money at the same time as settlement. A very handy sum of money that can go a long way towards paying your home loan up-front costs.
Related posts:
- Homeside Mortgage Broker
- Avoid Being Misled When Finding A Home Loan
- Mortgage Brokers Disadvantages
- Mortgage Brokers in Perth 6000 – Western Australia
- Toowoomba and District Mortgage Brokers – Queensland
- Hunter Valley – Lower Mortgage Brokers – New South Wales
- Adelaide Mortgage Brokers – How A Mortgage Broker Can Help You Get A Home Loan Even With Bad Credit
- North Mortgage Brokers – Victoria
- eChoice Home Loans
- Pepper Home Loans
Top Home Loans
| Home Loan | Details | Interest Rate (p.a.) | Comp Rate^ (p.a.) | App Fee / Ongoing Fee | Max LVR | Min & Max Borrowing | |
|---|---|---|---|---|---|---|---|
 Loans.com.au - Dream Catcher | A home loan offer with a $0 application fee and one of the lowest available home loan interest rates. | 5.85% | 6.21% | $0 / $375 | 80% | $50,000 / $750,000 |
 
|
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|
 Illawarra Home Loans Bank Beater Home Loan | A low variable rate, beaten down even further by 0.05% p.a. after 5 years. | 6.07% | 6.35% | $0 / $345 | 90% | $250,000 / $1,000,000 |
|
 State Custodians Mortgage Company Standard Variable Offset Loan | Awarded Mortgage of the Year 2012 – this multi-award winner features 100% offset and a loyalty 0.25% rate drop after 5 years. | 6.02% | 6.23% | $0 / $345 | 95% | $150,000 / $1,000,000 |
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