If you searched the internet for the answer to this question, one of the many answers was probably “negotiates a home loan on your behalf with a lending institution”, which in theory is not untrue. However this barely scratches the surface of what this “financial warrior” actually does.
Let’s breakdown some of the key functions of a mortgage broker and the benefits they bring to their client’s financial transaction.
Your broker’s primary goal is to serve their client and their finances best interest. This involves assessing your financial needs and goals to determine what kind of product is most suitable and most financially savvy. Sometimes it’s not just about the interest rate, but rather the clients own requirements and their personal circumstance. A highly trained and experienced broker will be able to guide their client into the most appropriate structure and product and explain to them in real terms how it all works.
In a perfect world a loan application will sail through to settlement with ease and on time. Unfortunately, in reality this is often not the case, through no one’s own fault, just because “stuff happens”. Your mortgage broker liaises not only with the lender but also other related parties such as your real estate agent and settlement agent, often acting as an advocate on your behalf, working to get the best result possible.
A broker’s negotiation skills are extremely important. Not only because they need to ensure they get the best deal from the lender but they will also help “massage” applications through when the lender is being difficult. They will also ensure good lines of communication with realtors and other agents particularly if finance and settlement dates may not be met on time.
Whether it be the loan application or the mortgage documents, your mortgage broker will go through all the documentation with you, helping you complete them and answer any questions you may have. The result will be a sound understanding of what you are signing rather than blind faith that all is under control.
The relationship does not end once the settlement goes through. In fact, this is only the beginning. A good mortgage broker will maintain regular contact throughout the life of the loan to ensure it still meets your financial needs, it is still aligned with your financial goals and still sits competitively in the financial marketplace. You should also receive regular industry updates from your broker to help keep you across what is happening in the finance world to continue to empower you to make sound financial decisions.
An established broker will have an arsenal of industry professionals in their network who they will be able to refer you to should the need arise. Whether it be a Financial Planner you need, a Realtor, Settlement Agent or Accountant, your broker will be able to provide a holistic approach to your financial needs by referring any one of these associated professionals.
And don’t forget you get all of this plus more, without it costing you a cent. There are not too many professional services that can offer so much value without a hefty fee attached.
Banks only have access to a limited number of products whereas we at Blackburne have access to multiple lenders, but that just scratches the surface. A good mortgage broker will make a commitment to be your financial advocate, always in your corner when it counts. This in turn will provide you with the peace of mind that your financial well being is being nurtured to help you reach your goals.
At Blackburne, we access all of the major banks and our experience and reputation gives us leverage with most lenders to get you a better deal on your loan than the standard advertised rates. The best part? We don’t charge you a thing. If you want to see if you can get a better deal, call us on +61 8 9429 5794 and ask to speak to Paul Prindiville, Mortgage Broking Team Leader, or complete the enquiry form below.