4 Tips for using a mortgage broker for the first time

Today, the decision to engage a mortgage broker makes sense more so for persons with no prior experience with working with these financial experts or first-time homeowners keen on whittling through the high number of loan options in the market.

4 Tips for using a mortgage broker for the first time 1

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Engaging a broker saves you time and legwork, however, to rip the benefits of broker services, you must start by sharing your financial plans and goals with them to unearth the best loans available for your needs.

Alternatively, brokers will parade offers of lowest fees and rates.

So, we’ve compiled four tips to using a finance broker in Adelaide.

1. Single out a reputable broker

With the embarrassment of intermediaries available, prospective homeowners may have a hard time filtering through the numbers to pick a trusted broker. Personal recommendations may prove invaluable, and it’s essential to pick brokers with a track record of prioritizing customer experience.

Look for an adviser with an extensive list of satisfied clients and referrals.

In matters credentials, establish your broker;

  • Holds an Authorised Credit Representative or an Australian Credit Licence
  • Is registered with Australian Securities and Investment Commissions

2. Talk over wider financial goals

For a mortgage broker to best advise you, he must evaluate your current financial situation, credit score, and financial goals, hence the need for full disclosure.

Only by giving out all details relating to your financial situation will a broker assist you in choosing a loan product that ticks the majority of your boxes.

Luckily, today brokers can access real-time information on available loan products and lenders, hence may research your options instantly and accurately.

3. Prepare accordingly

Don’t fixate on features like;

  • Low Fees
  • Grace period
  • Low-interest rate
  • Offset account

An ideal loan aids in meeting your financial targets. Considering intermediaries can’t access all creditor providers’ products, make an effort to shop around to assess alternative deals. Features, fees, and rates must correspond to your current and future situation.

4. Keep an eye out for the 3C’s

Courtesy. Communication. Clarity. As your quest for a mortgage broker commences, take notes on how each broker communicates, if they communicate clearly and courteously at the same time.

Handling financial matters tends to overwhelm people more so first-timers. A good finance broker communicates complex calculations in the simplest way possible to his clients and answers their questions promptly.

Also, when dealing with real estate issues, time is crucial. In addition to concise communication, your mortgage representative must show availability when you need them. Supposing you find it cumbersome to get hold of your broker, take this as a red flag.

Bottom line

Keep in mind; great mortgage advisors offer expertise, excellent negotiation skills to get your fair rates and access to a broad number of mortgage options. However, ASIC advises prospective home or property in addition to consulting licensed brokers, to also shop around for alternative perhaps more competitive and suitable deals.

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