Do I need to use a mortgage broker?

The number one benefit of using a mortgage broker is being presented with a set of customised loan options without the hassle of doing the research yourself.

Yes, brokers receive remuneration from lenders for successful loan applications, but credible, qualified mortgage brokers are client-focused – because they know their reputation depends on helping you find the ideal solution for your unique situation and goals. 

To do this, brokers draw on their knowledge of your personal circumstances and needs, the current lending market, lending products and their professional connections. They take the stress out of shopping around for a loan, and make the application process simpler for you. 

Specialist support matters

Buying your first home or investing in real estate is a big financial decision. It’s understandable that you might seek the advice of family and friends. But heeding the advice of someone you met at a barbecue about which bank or lender to choose is unwise. Doing your own research is worthwhile but it can be complex and time-consuming.

Every person’s finances, budget limitations, features wish list and loan eligibility will be different, and not all relevant information can be found via a search engine. 

Only someone that deals in home loans day-in and day-out can possibly be across the topic thoroughly. Mortgage brokers specialise in this work and will make your life easier. 

There’s usually no up-front cost, which also makes sitting down with a mortgage broker a cost-effective way to discover a loan suited specifically to you.

Five reasons a broker is recommended

It makes more sense to rely on the independent advice of an accredited mortgage broker because:

1. All loans are not equal: There are so many variables – types of lenders, interest rates, choosing between fixed, variable or split interest, redraw, offset accounts and other terms and conditions. A broker takes time to understand your needs and brings you options to help you choose the best fit.

2. Understand all the fine print: Have someone by your side to answer all your questions about different terms, features and requirements. Mortgage brokers focus on client service and have lots of experience dealing with finance contracts – so can guide you through each complicated step with confidence.

3. Ace the application: Paperwork can be a pain and can be a stumbling block for time-poor people. Reduce your own stress by working with a professional who takes responsibility for ensuring your application is complete and has the best chance of success.

4. Connections can mean tailored solutions: Brokers’ do maintain links with certain lenders. These are carefully chosen professional relationships that enable your broker to help you choose an appropriate outcome.

5. Plan B experts: Brokers can support you by having back-up plans in place in case your first-choice application is not effective. They will do their best to help you with alternatives.