Buying your dream home can be the biggest purchase that you have ever made, and how you finance it can be challenging if your finances are restricted. A qualified mortgage broker can help you find a mortgage with low rates that suits your finances and also guide you through all the required documentation. Besides that, they help you to find mortgages with reputable companies that you cannot directly apply to. Now you know why mortgage brokers are necessary, but how do you find the right and reliable one? This is how.
Find an accredited mortgage broker
Ensure that your broker is fully registered with a local financial regulator. The broker must also hold an operating licence needed to offer mortgage and financial services. In addition to being accredited, your broker must also be a registered member of an association of financial and mortgage brokers. Ask if your broker has a certificate IV, which is needed to offer financial services and advisory. Working with an accredited mortgage broker gives you confidence to maintain integrity and reliability in their services.
Fees and Charges
You need to know the charging system by different mortgage brokers so that you choose one that is appropriate. Some charge by a fixed fee, whereby a fixed amount of money is agreed upon in writing. Others will charge per hour, and for this you need to know how long will the work last. There are also brokers who will charge you an agreed upon percentage of your mortgage whereas others receive payment in form of a commission from the lender and these are usually fee free.
Understand which borrowers they work with
Always deal with an independent broker associated with reputable borrowers so that you don't miss out on attractive mortgage deals. Find a broker who has access to reputable traditional and non-traditional lenders. You can also ask to be explained the documentations related to your loan application such as a loan product factsheet and a hard copy of the comparison rates sheet for mortgage loans you may consider. This includes all the interest rates and any extra charges you will incur with the mortgage.
Don't allow the broker to take control. Be in the lead and ask as many questions as you can about their services. You can ask the broker to explain in details if it is your first time to consider a mortgage. All mortgage brokers are required to offer financial advice and clarify the financial terms in a way that will help you make a good decision.
Getting the right mortgage broker whom you can fully trust can be very rewarding in the pursuit of your goal to buy a dream home. Just follow through the above criteria without making a rushed decision. Take your time and ask plenty of questions to be well-informed before starting on the actual mortgage acquiring process.Share