9 Tips to Help You Choose Your Mortgage Broker
Having a TRUSTED mortgage broker is vital to have in your corner when purchasing a home. They can help you navigate the ins and outs of the real estate market, find the sharpest home loan rate, and ensure a smooth flowing mortgage application process from start to finish.
Nevertheless, finding the best-suited mortgage broker isn’t an easy feat. Brokers aren’t cut from the same cloth, and working with the wrong one can be costly, stressful, and may potentially sabotage your home loan application.
But how can you seek out the best from the rest?
Here are 9 Tips to Help You Choose Your Mortgage Broker.
Is your broker legally allowed to advise you on the home loan process? Yes, that’s the first thing you’ll have to check before signing with one. It’s also best to search for a broker with additional qualifications, diplomas in Mortgage Management, or a related degree in economics or finance.
Experience is Key
A house may be one of the largest purchases you’ll ever make in your lifetime, and as such, it will be smart to entrust this big financial decision to someone who has enough experience in helping clients just like you. With this know-how, they’ll be able to help you successfully secure the most suitable home loan rate in the market and support you on your application from start to finish.
Asking Good Questions
Your first consultation is the discovery or fact-finding where the broker needs to appreciate and understand your goals and objectives. Any information gathered from you during this meeting will help your broker find the best home loan product for your individual needs and ensure that you are in the best position possible to have your application approved. But, if your broker doesn’t ask the right questions before recommending a service or product to you, you may end up paying more in interest, be stuck in the wrong home loan product, experience delays with your application, or have your application declined.
Upfront and Clear About Fees
Remember that when purchasing a home, you’ll need to factor in the cost of the property and any renovations you plan on doing. BUT, there are also several hidden costs you’ll need to be aware of before committing to a new home, like building insurance, moving costs, lender fees, inspection fees, etc. All of these can quickly add up, so your mortgage broker should be clear with you on what you can expect to pay and when. Your broker must also tell you if there are any government grants that you may be entitled to, which could be savings of thousands of dollars.
Keeping You Informed of Changes in the Market
The real estate market is constantly evolving– interest rates shift, house prices fluctuate, and lenders constantly introduce new products to entice borrowers just like you. That said, a seasoned broker should stay across these updates and pass on the most relevant information to you. Be sure to choose a broker that will help you keep up with market movements to help you make the right decision for the future.
A List of Happy Clients
Does your chosen broker have a list of happy clients under their belt? Well, it’s a surefire sign that they’ve helped other borrowers realize their dream of owning a home and that they’ll be able to do the same for you! Check their website and socials to see what their previous clients have to say. You can also ask for testimonials before moving forward with any broker.
Letting You Know of Schemes You Can Benefit From
If your broker keeps you across Federal and State governments’ new stimulus measures and grants to support borrowers and investors promptly, then you’ve got yourself a winner! Having this vital information will put you in the best position possible to take advantage of any new schemes available to you.
The last thing you’d want during a mortgage application is having to chase your broker for updates throughout the process. Observe how your broker communicates with you from the moment you reach out to them. Do they respond quickly and answer any questions you may have? Are you following up with them for more information, or do they keep you abreast of developments as soon as they come through? If the answer to all questions is no, you may have to find a new one to assist you.
Willing to Go the Extra Mile
The best mortgage broker is someone who values their clients and wants what’s best for them in the long run. It includes helping their clients in any way they can, from recommending a conveyancer to staying in touch after you’ve purchased your property. If your broker disappears once the settlement process is done and dusted, it may be time to look for another. After all, you never know when you may need their services again.