SHOULD YOU USE A BROKER OR GO DIRECTLY TO YOUR BANK?
There are benefits to both: it's easier just to stay with your bank. But if you talk to a broker you will have to spend time over the phone, potentially meet, discuss many different options, think about your future and goals, and then ultimately make some kind of life decision. All sound too hard?
Enquire now
Let's take a look
✅Your bank can only offer their products, which may not be in your best interest.
✅A mortgage broker will scour the market according to your goals. A bank is transactional.
✅A good broker works for you, not the lender, and wants you to pay less interest. He is remunerated for as long as you are his client.
✅The bank wants you to stay in the loan for the full term and pay the most interest possible.
That couldn't be right?
✅At some point into your loan, maybe 10 years, your bank may reach out to you and offer a refinance into a slightly lower rate. That's a good thing, right? Well NO it's terrible actually. They will offer you lower repayments, but start the loan term again, that is 25 years. Now remember, compound interest works against you as you open up the loan term. This means you will pay a lot more for your home loan - even while at a lower interest rate.
Benefits of a mortgage broker
✅Your mortgage broker will be compelling you to pay down your debt as quickly as possible, then talking to you about future retirement goals.
✅Going straight to your bank for a home loan means you’ll miss out on comparing the other options on the market and finding potential savings. They can only sell you their products.
✅A good broker is actively finding the best deals and negotiating lower rates.
✅A mortgage broker solely deals with mortgages - he is an expert in home loans - & usually running his own business. Bank staff are transient and have no skin in the game.
✅If you’ve had credit problems or you are self employed, a bank is much less likely to work with you. A good broker knows the smaller non-bank lenders and can help you plan your next step. It's his business to get you buy ready.
✅A mortgage broker does all the research and paperwork.
✅A mortgage broker has access to interest rates and insider knowledge that you just won't have access to. Knowing how to get your home loan over the line is his job.
✅First home buyers need more hand holding.
✅Most mortgage brokers do not charge a fee. They are compensated directly from the lender. They will do all the paperwork and running around. And don't under-estimate the work: valuations, lodging the application, researching the appropriate lenders, finding the product, and managing the loan through annual reviews for life to make sure you've got the best deal. And you don't pay a cent.
How do I work with a broker?
Make sure you communicate with your broker how you prefer to work:
✅ do you want it all done over the phone?
✅ do you want a face-to-face?
✅ would you prefer a zoom meeting?
Get in touch
I'm here if you need me.
No fee service.
Matthew Stack
matthew@mortgagebrokerrevesby.com.au
0423 237 242
#mortgagebroker #mortgagebrokersydney #mortgagebrokerrevesby
Comments
Post a Comment