A mortgage broker acts as an intermediary who brokers mortgage or personal Loans on behalf of individuals, businesses or self managed superannuation funds (SMSF).
Traditionally, banks and other lending institutions have sold their own products.
As markets for mortgages have become more competitive, however, the role of the mortgage broker has become more popular.
A mortgage broker play a significant role in the home buying / refinancing process and do much of the hard work for you!
A Mortgage broker can guide you through the loan process, step by step. They compare and recommend suitable loan products which will meet your financial needs.
Mortgage brokers have a number of lenders on their lender panel. Not all lenders are available on the open market, some are only available on the broker channel.
Some lenders are online only, they don’t have branches.
As they have a number of lenders to choose from, Mortgage Brokers have the ability to find the best product and rate to suit your individual circumstances and goals. Learn more about the pros and cons of using a mortgage broker vs a bank lender here.
You should talk to a mortgage broker if you are looking at refinancing your current loans for debt consolation, buying an investment property, shares, renovations or anything to do with your home loans.
Plus periodically for a Financial Health Check to make sure you have the best financial structure and interest rate available.
A mortgage broker prioritises your interests above all else.
They act as an intermediary between you and the bank, to get the best loan to suit your needs and wants.
When you sit down with a broker, they will ask a number of questions to understand your situation and your future plans over the next 12 months to ensure no major changes, which may affect your borrowing power.
The mortgage broker does not want to put you under any type of financial stress.
They analyse all your expenses, your income and do an affordability check through servicing calculators to the maximum you can borrow from the lenders.