Banks hold the monopoly on the lending market, with many people believing this to be the only option for their mortgage. However, given the massive profits make by providing mortgages (and the ethical implications of this), more and more people are turning towards independent mortgage brokers instead. But what are the benefits of doing so?
The number one reason people turn to mortgage brokers is because of how overwhelming the process is of finding a suitable mortgage on your own. A mortgage broker has connections to a plethora of lenders, and can negotiate the best possible terms for you using the knowledge they have of your financial situation, employment and creditworthiness.
Mortgage brokers will also know the ins-and-outs of various lenders. For example, some lenders may provide discounts to people with certain professions that are deemed “low risk”, meaning there is high job security and remuneration, such as the medical industry. While you may not know what bargains are available to you based on your profession, a mortgage broker will.
Finding a mortgage on your own is a time-consuming and stressful process. Work, family commitments, running your own business or anything else that life throws at you leaves very little time for comparing dozens of lenders and crunching the numbers on your own. A mortgage broker takes over this job for you, focusing solely on getting the best deal for you.
If you choose to go the DIY route, finding a good lender is not the end of battle. You’ll have to complete masses of paperwork, source pre-approval and maybe even look out for government grants or incentives that may apply to you. When you have a mortgage broker on your side, however, the process becomes far simpler, as they instinctively know how to get applications done thoroughly yet efficiently.
Perhaps the most valuable thing a mortgage broker can provide is their knowledge. The mortgage brokers at Financial Brokers Australia are with you throughout the whole process, ready to answer any questions and provide advice. This ensures that you stay informed, feel confident and enjoy a smooth transition into owning your first home or investment property.