When buying a home, a good broker can prove to be an invaluable resource for you. They can save you from a lot of troubles that you might face otherwise. But remember, not all mortgage brokers are helpful; some might just turn your home financing experience into a nightmare.
Here’s what your mortgage broker might be hiding from you:
This loan isn’t the most appropriate one for you:
When interest rates are increasing and lender’s business is declining, they usually get impatient. They might end up arranging a deal for you that’s totally opposite to your needs.
No he’s not getting you a loan with lowest possible interest rate:
Your broker will probably arrange a deal for you with the highest interest rate you can afford. This is because if he gets you a loan with a lower interest rate, he might be losing some commission. They can earn an extra 1% or 2% on deals with higher interest rates than those deals which are most appropriate for you.
No they don’t have network of over 50 lenders:
Although your broker might argue that he has a vast network of credit providers, this may not always be true. Mostly brokers have close links with only three or four lenders. The main reason behind this is volume standards and learning curves. Some lenders don’t pay as much commission as brokers expect to receive so brokers don’t fritter away their time working with such lenders.
In mortgage industry experience matters a lot:
If he is a newbie, he may not tell you how much experience matters in this business. Althoughanybody can arrange a deal and negotiate terms, sometimes when you’re faced with complicated situations an experienced and proficient broker is needed to save the deal. As in case of self employment or poor credit history.
They might not emphasize on fine prints:
Most borrowers focus on getting the deal with best interest rate. But they forget is to look into the terms and conditions. The brokers don’t turn their client’s attention towards question like: Can the monthly payment be altered? What would it cost to break a mortgage? These details are as important as the interest rates.
Did we just scare you? Our purpose wasn’t that surely! We’re your well-wishers and want you to take the right decision. All we want you to do is stay vigilant and choose the right mortgage broker Melbourne to arrange a loan for you. Take our expert advice and head out straight to motgage brokers if you want to save yourself from any complications. You will come across countless mortgage brokers Melbourne but won’t find anyone better than mortgage brokers. Their professional team is always ready to help you out.