Monday 14th March 2016Mortgage Broker Reviews
Now that mortgage broker companies are becoming common here in Australia, there are also many mortgage broker reviews everywhere. These reviews are helpful to people who are thinking of getting the service of mortgage brokers. If you are one of those people, then these reviews will give you a background about this service and help you in making decisions before you make a step in getting a loan.
Do I Need the Services of Mortgage Brokers?
If you do not have any idea about different types of loans, the process for each type, and the negotiation to get a good deal, then it is advisable that you get a service of a mortgage broker. Mortgage brokers are experts in loaning who serve as the intermediaries between mortgage lenders and borrowers. If you choose to get their service, there is no need for you to go straight to the mortgage lenders because a broker will represent you instead.
The roles of mortgage brokers include finding a mortgage lender who offers a deal that suits the borrower’s economic and personal profile. This is an important role because borrowers cannot always find the best for themselves. If a borrower look for mortgage products all by themselves, they might not get deals where they will save a lot. But with mortgage brokers, as they are experienced in this matter and they know a lot of mortgage lenders, they will be able to find a lender who can give the most appropriate arrangement to the borrower.
Another thing that mortgage brokers do for borrowers is that they can negotiate with the lender to give a good compromise to the borrower. If you are not familiar with this kind of transaction and you are not confident enough because you know less about this, we suggest that you ask for help from a mortgage broker.
What are the Gains and Drawbacks in Getting a Mortgage Broker?
By knowing the roles of mortgage brokers and what they do to get you a good deal for your loan, you will certainly become aware of your advantages in getting one. One of the advantages you can get is that the service of mortgage brokers are free and they will only be paid when the loan is accepted. No, you are not the one who will pay the mortgage broker but the lending institution.
The disadvantage with the free service of mortgage brokers is that they are paid by the lenders. If they are paid by the lenders, then brokers are working for them, not for you. This could be a drawback because mortgage brokers can just offer you lenders who will pay them more and not the lenders that will give you the best deals.
Another advantage of getting a mortgage broker is that they are helpful to those who want to get a loan but has a low economic profile. If you have low income or your credit report has flaws and are questionable, getting a broker is the solution to your problem. If you negotiate with the mortgage lender by yourself, there is a high chance that your mortgage application will not be approved because of your credit records and income. But if you will be represented by a broker, he can negotiate for better rates applicable to your profile. In this case, the only disadvantage is on your part. If the broker will be able to close an agreement with the mortgage lender and your income is low, you might have problems in paying the loan because you are not financially ready yet.
When you let a mortgage broker assist you, you’ll save a lot of time and work. Researching about potential mortgage lenders will take so much of your time and the outcome of this research might not be the best that you can have. If you allow a broker to search for the lender, he will look through his list of lenders and see which of them can offer better deals. The disadvantage with this is that letting the broker do the research task alone might not satisfy you, especially if you don’t know if your broker has only a short list of lenders to contact.
With the Given Disadvantages, Should I Still Get a Mortgage Broker? Yes.
There could be disadvantages in getting a mortgage broker and letting him do all the job. On the other hand, you can always do something to prevent these disadvantages. When you are in doubt about whether your broker is from the lender itself and is not working for your good, you can always find mortgage broker firms that have a good reputation in the eyes of both borrowers and lenders. Those firms that are not bias with the lenders are appreciated by them, thus giving them good reviews. Also, you can look at the reviews of the borrowers about your prospective firm.
You must always understand the agreements by heart to prevent situations where you are not able to pay your loan anymore because of your low income. You can always accept the terms as long as you are confident that you can give payments with the agreed rates and its frequency. Also, if you are having a doubt that your broker has only a few list of lenders to choose from, you can always do a research as well. If you find a deal which you think is good for you, you can consult it with your broker and talk about it. Researching about mortgage rates is also easier now. They are available online so you don’t have to worry about the time spent.
Mortgage broker firms with good reputation like 1300HomeLoan will always be your best choice if you opt to get a broker. With us, you will be assured that the broker you will get is near your location, reliable, and not bias. Borrowers and lenders are happy with our brokers and we are certain that you will be satisfied with our services as well. You can go to our website or call us so we can set you an appointment with one of our brokers.