Bank Versus Broker For A Mortgage
Usually, the first time that people learn about a broker for a mortgage is when they are trying to enter the property market. But… we are more useful than just helping you get a home loan.
Here Are a Few Ways a Broker for Mortgage Can Save You Money, Time and Stress
Mortgage Brokers can get You a Better Deal than a Bank
Getting a mortgage with your bank is not always going to be the best way. Your bank has a handful of home loan options, but a mortgage broker has access to hundreds or even thousands of home loan options as they have access to lots of lenders.
They could get you a cashback offer, a cheaper interest rate or a package deal that saves you money on other things such as credit card fees.
Mortgage Brokers Provide Independent Advice
Banks are in the business of selling products – which is the way they make money – a mortgage broker wants to earn money but recognises that the best way to operate is to build long-term relationships with their clients. This means helping clients to pay off their debt faster, providing independent advice around loan structures and suggesting products that are in the best interests of the client.
This is not just good business practice, but it has now become law. Mortgage brokers MUST act in the customer’s best interests and legally cannot suggest a loan unless it is a good match. Banks, on the other hand, are not held to the same legislation, which is why it really pays to work with a mortgage broker.
Mortgage Brokers Save Time
Researching the mortgage market takes a lot of time and effort, whilst a mortgage broker can save you this hassle. They focus on getting the best deal at the beginning of the property investment journey and will work with their client’s overtime to make sure that they are all still getting the best deal.
Mortgage brokers do regular check-ups every year on the borrowing status of all their clients to ensure that they are not paying too much interest. This is a service that mortgage brokers provide at no cost, and could save thousands of dollars every year!
Mortgage Brokers Help You Grow Wealth
Good mortgage brokers recognise that building a long-term relationship is not just about getting a good deal on a mortgage right now but setting up the best possible structures with a clear road map to achieve all future goals.
Here are just a few things mortgage brokers do to help their customers and remember – they don’t charge anything for their services! Mortgage brokers are paid by the banks in the form of commission, which is the compensation for managing the loan process and introducing new clients to the bank.
Mortgage brokers will also work to show how to take advantage of interest rate specials with different lenders when they become available, advise on how to prepare the application for the best chance for approval, and be a source of independent advice to help work out the next steps, including navigating the current home loan rates.
Frequently Asked Questions
What are the Advantages of Using a Mortgage Broker Over a Bank?
Mortgage brokers have access to a wider range of loan options, can offer independent advice, and can save you time and money. They are also legally obligated to act in your best interests.
How Can a Mortgage Broker Save Me Money?
Mortgage brokers can negotiate better deals, such as cashback offers, lower interest rates, or package deals that save you money on other fees like credit card fees.
Are Mortgage Brokers Legally Obligated to Act in My Best Interests?
Yes, mortgage brokers are legally required to act in the customer's best interests and cannot suggest a loan unless it is a good match for the client.
How Do Mortgage Brokers Save Time?
Mortgage brokers do the research for you, focusing on getting the best deal at the beginning of the property journey. They also do regular check-ups to ensure you're still getting the best deal.
How Do Mortgage Brokers Help Grow Wealth?
Mortgage brokers provide a roadmap to achieve future financial goals and offer advice on taking advantage of interest rate specials, preparing loan applications, and more.
How Does Zippy Financial Help in Securing a Mortgage?
Zippy Financial specializes in home loans, property investment, commercial lending, and vehicle & asset finance. They can help find and secure the right loan for you and your business.
If you are interested in learning more about how Zippy Financial can help you get approval for a home loan and realise your property dreams, contact us today.
Phone: 1300 855 022
Zippy Financial is an award-winning mortgage brokerage specialising in home loans, property investment, commercial lending, and vehicle & asset finance. Whether you are looking to buy your first home, refinance or build your property investment portfolio, the team at Zippy Financial can help find and secure the right loan for you and your business.
About the Author:
Louisa Sanghera is an award-winning mortgage broker and Director at Zippy Financial. Louisa founded Zippy Financial with the goal of helping clients grow their wealth through smart property and business financing. Louisa utilises her expert financial knowledge, vision for exceptional customer service and passion for property to help her clients achieve their lifestyle and financial goals. Louisa is an experienced speaker, financial commentator, mortgage broker industry representative and small business advocate.
Louisa Sanghera is a Credit Representative (437236) of Mortgage Specialists Pty Ltd (Australian Credit Licence No. 387025).
Disclaimer: This article contains information that is general in nature. It does not take into account the objectives, financial situation or needs of any particular person. You need to consider your financial situation and needs before making any decisions based on this information. This article is not to be used in place of professional advice, whether business, health or financial. r-less normal distribution of letters. making it look like readable English.