GJ Advisor - Helping you at every stage of your build

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A lending hand for your loan

Date Friday, 10 July 2015 3:18 PM

A Mortgage Broker can talk you though your options.

Buying a home usually means arranging finance. The choices are many when it comes to Mortgage providers and the types of products they offer. With this in mind, where do you go to ensure that the loan you end up with is the best for you? You can go to your bank where they will offer one of their products but is this choice too limiting? You can research loans online but this option will take up time and your choice may not even be available to your particular situation. The other choice is to use a Mortgage Broker.

Why use a broker? Half of the Home Loans that are approved today have been generated by Mortgage Brokers and this figure is growing. This statistic alone shows that more and more consumers are realising the benefit of using a free service to do the running around for them. There are many myths and misunderstandings surrounding the Mortgage Broking industry. Many believe that a Broker will be tempted to place a loan with a bank that pays them a higher commission. Others believe that using a broker will actually cost them more.

Mortgage Brokers are registered members of one of two industry bodies (FBAA and MFAA) that ensure the conduct of their members is in the best interest of the consumers who utilise their services. They are also required to be Credit Licence holders or Credit Representatives of a Licence holder under National Consumer Credit Protection (NCCP) legislation.

Using a broker will give you access to a variety of Lenders and products that you may not even be aware existed so comparisons of rates and features are not just limited to one Bank or Building Society. Policy is also a big factor when choosing a suitable loan. You may find the cheapest rate on the market by doing your own research but if that lender's policies do not match your particular situation you may submit an application and be declined. This wastes time and potentially reduces your chances of obtaining the right loan as your credit report will reflect the enquiry you made.

Having someone who will meet with you in your home or business, often outside normal business hours, someone who will explain the process, complete all the paperwork, submit the application, follow up with the lender and your solicitor and provide feedback about the application progress makes good sense. A Mortgage Broker can save you time and money by providing you the most suitable option for your requirements whilst comparing rates, fees and features of the loans available. This service is provided to you free of charge. If you have decided to take the important step of buying or building a home then you should consider the value of having a Mortgage Broker assist you with your finance options. Ask your local G.J. Gardner Home builder for more details.