Most people have heard about “mortgage brokers”, but not a lot know what role these brokers exactly play or how handy their services come in when you’re considering buying a property. To give you a gist of it, a mortgage broker would steer you through the lending procedure from beginning to end.
Let’s learn the different ways a mortgage broker’s services matter during the process and also the traits of a solid mortgage broker. We asked Tundra, who are a mortgage broker in the eastern suburbs of Melbourne, how a broker can help:
Mortgage Brokers Represent You
By working on your behalf, mortgage brokers end up getting a lot of things done for you, saving you significant amount of time and energy in the process. The broker would correspond with multiple banks to locate mortgage deals with attractive interest rates. Since these brokers already have an established stable of lenders, finding competitive interest rates doesn’t take too long.
These brokers also do good amount of legwork, which includes collecting your documents to pull your credit history and score and verifying your employment and income. These pieces of information are required to put in loan applications with lenders. Once a lender has been narrowed down, your broker would work together with the lender’s underwriting team, your real estate agent, and the closing agent to make sure things run smoothly.
Mortgage brokers do charge a fee for the service they render. However, do not underestimate the amount of time it can take to do the documentation, apply for loans, negotiate terms with lenders, etc. If you were to do this all by yourself, it would not just take excessive amount of time and effort, but you would also end up lost in the process.
What Makes a Good Mortgage Broker?
Mortgage brokers aren’t as widespread as they used to be before the 2007 subprime meltdown. However, they still have a major influence on the property marketplace. If you are on the lookout for a mortgage broker, make sure you look for the following traits in the agent.
• Offers multiple loan choices
An excellent broker would consistently do homework on items that are available on the market to customize loan offerings as per your requirements. The broker understands that there are different kinds of borrowers, with financial history, debts, incomes, etc. all being variables. That is precisely why they would run numbers for different loan types from various lenders, offering you options and peace of mind.
• Quick Responses
Solid mortgage brokers would be available on the phone round-the-clock to address your doubts and concerns at any time. Moreover, most mortgage brokers have certain systems established so that they could stay in touch with you throughout the loan process and keep you informed and updated.
• Offers Honest Advice
Good mortgage brokers are straightforward and honest. They keep you informed of all information related to the loan, such as fees. This level of transparency could help you feel increasingly comfortable and relaxed about your loan process. Drawing a mortgage loan can be stressful but good brokers would help eliminate any concerns or fears you may have.
• Pace Things Well
A reliable and trustworthy mortgage broker would never rush you through the loan process. Good mortgage brokers truly care about your requirements and financial future and strive to offer you a personalized experience, which takes its time. You will be at no time subjected to a process template. Long story short, an honest mortgage broker would be patient, courteous, helpful, and always available.