GO TO THE BANK OR USE A BROKER?

Many people head straight to their bank when it comes time to apply for a home loan, but finance experts warn, you may be missing out on significant benefits if you do.
As a mortgage broker, I spend my time with many customers, and their needs are wide and varied, and so are their financial situations. On a day to day basis I have contact with many of the 10 plus lenders whom I can represent. Every lender has its only little niche and advantage, and things it does different to other lenders. It is my job to know all of this so I don’t have to say “No”, I can say “These are the lenders that will suit your situation”.
There are countless reasons why it pays to use a broker when shopping for your home loan, and even if you want to use your own bank for your mortgage, you can still use a mortgage broker to process paperwork and manage the application on your behalf.
But if your heart’s not set on using a particular lender, a broker can be your best friend.
Here are five arguments as to why every borrower should seek out a qualified mortgage broker when trying to obtain property finance:
1. Choice
The biggest advantage of a broker over a bank is choice. When you sit in front of a broker you are sitting in front of 10+ banks and 50+ products versus visiting a banker who has access to only one bank’s products. This is especially important at time like now, when the banks are saying ‘no’ more, and by having more choices you’re likely to get a ‘yes’.”
2. Experience
Ask your lending manager how long they’ve been helping people with home loans? Brokers often own their own businesses and are committed to their clients in the long term, with many years of industry experience, banks are big companies; they move their staff around and reward good performers with promotions away from their customers. Your broker becomes your bank manager, and if you have a good relationship with your broker it saves time explaining your situation and history, because your broker knows that already.
3. Specialisation
If you’re looking for specialised assistance with your loan, it pays to talk to a broker. For example you are a customer with a poor credit history, or the property you are buying does not fit into the banks pre-prescribed parameters. A broker knows the specialists lenders, and knows what they will and won’t do. So much better than “No we cannot do that!”, you get from the banks.
4. Follow Up
Following up the progress of your loan application is time consuming and frustrating. A good mortgage broker will have a system for chasing you up, keeping you informed and saving you time. You are informed every step of the way with a mortgage broker, and because the lenders pay your broker a “Trailing Commission”, it is in the broker’s own interest to follow up on any changes in the market, come back to you and offer you a better deal. That “G’day- how are you going?” phone call could save you $$$!!
5. Personal Banker
Your mortgage broker is “like the perfect personal banker,” They know what needs to be done, they make sure it happens and because it’s their own business, they’re in for the long haul. Bank staff change often, so even when you find a good personal banker they change jobs before you know it.”
Back in the day the bank manager would be at the branch forever, he knew your mum and dad, how many kids you have, and really cared about what you were doing. As a mortgage broker I like to be that personal bank manager, my aim is to know what you want to do, and how you like to do it. I can come and see you, at work, at home, and the whole deal is about that personal service, and knowing my customer. Doing it right for you is what it is all about.
Now there are just 5 reasons you should be using a mortgage broker when it comes to your finance needs. It should be all about you, your wants and your needs, and not “if” it can be done, but “how” it can be done!!
Give me a call today, and see what I can do to get you a better deal on your home loan, or how I can get you into the property market!
Terry Teece – 0400 853 035 terry@ffsqld.com.au
Fraser Financial Services – 07 55 760 515 info@ffsqld.com.au