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Cheap Home Loans are Still Out There ? Speak to a Mortgage Broker for the Best Deal!

admin — Tue, 20 Jul 2010 16:59:38 +0000

Recent surveys of those borrowers who use a mortgage broker to find them a cheap home loan, a more flexible home loan or new car finance show that around 95% of them are extremely happy with the service offered by the mortgage broker or lease broker. As a general rule, if you retain a mortgage broker when looking for a cheap home loan as well as one that is flexible, or a lease broker when you are in the market for new car finance the chances are you will obtain not only a more competitively priced loan but one that offers you greater flexibility than that which you would have obtained if you had applied for finance yourself. Why is this? The fact is that a good mortgage broker will have access to a wide range of loan products and is familiar with the different terms and conditions offered on various home loan and car loan finance. Often borrowers are complacent when applying for finance. They take the easy and more familiar path being their existing lending institution or bank. Odds are that whatever is offered by your existing lending institution will be at a higher interest rate than a loan obtained through a mortgage broker. It is unlikely that you will obtain a cheap home loan or new car loan – lenders rely on your apathy and if they feel you are a captive client then they will rarely offer any favors. They are relying on human nature that indicates that no matter how dissatisfied one is with one’s lending institution it takes a long time for a borrower to make a decision to actually refinance or move their business. With a mortgage broker checking out a range of lenders for home loan finance or a new car loan you will have a much better chance of securing the best and most flexible loan available out there. This could save you thousands of dollars – think about it – an interest rate saving in the current economic environment could keep your tank full or enable you a few more luxuries at the corner store. Another benefit of using a mortgage broker is that they know the track record of many lenders – which ones offer on-going service and look to build a good relatRecent surveys of those borrowers who use a mortgage broker to find them a cheap home loan, a more flexible home loan or new car finance show that around 95% of them are extremely happy with the service offered by the mortgage broker or lease broker. As a general rule, if you retain a mortgage broker when looking for a cheap home loan as well as one that is flexible, or a lease broker when you are in the market for new car finance the chances are you will obtain not only a more competitively priced loan but one that offers you greater flexibility than that which you would have obtained if you had applied for finance yourself. Why is this? The fact is that a good mortgage broker will have access to a wide range of loan products and is familiar with the different terms and conditions offered on various home loan and car loan finance. Often borrowers are complacent when applying for finance. They take the easy and more familiar path being their existing lending institution or bank. Odds are that whatever is offered by your existing lending institution will be at a higher interest rate than a loan obtained through a mortgage broker. It is unlikely that you will obtain a cheap home loan or new car loan – lenders rely on your apathy and if they feel you are a captive client then they will rarely offer any favors. They are relying on human nature that indicates that no matter how dissatisfied one is with one’s lending institution it takes a long time for a borrower to make a decision to actually refinance or move their business. With a mortgage broker checking out a range of lenders for home loan finance or a new car loan you will have a much better chance of securing the best and most flexible loan available out there. This could save you thousands of dollars – think about it – an interest rate saving in the current economic environment could keep your tank full or enable you a few more luxuries at the corner store. Another benefit of using a mortgage broker is that they know the track record of many lenders – which ones offer on-going service and look to build a good relationship with their customers and those who are less caring once they have the business on board. An international report in 2007 on bank customer satisfaction rated Australian banks 13th out of the 17 countries surveyed. The poll looked at bank branches, call centers, online and mobile banking and found Australian banks need to work on their customer service skills. One of the report’s authors, Peter Burns from the management consultancy Booz Allen Hamilton, says all banks need to remember their customers are human beings. In their determination to cut costs and maximize profit, banks have lost the human touch. Not only is it unlikely you will get a cheap home loan or competitively priced new car finance but it seems that it is also even less likely that you will see any personal service from the larger banks once you settle – it will be an automated answering service, they’ll know you as a number not a name and if you can actually get to speak with a human being, well it’ll be is a miracle. Make use of the services and professionalism offered by a good and well established mortgage broker. Check that whomever you are dealing with is a member of the industry body, MFAA and then go for it – you will get what you want be it a cheap home loan, greater flexibility or a great lease for that new car.ionship with their customers and those who are less caring once they have the business on board. An international report in 2007 on bank customer satisfaction rated Australian banks 13th out of the 17 countries surveyed. The poll looked at bank branches, call centers, online and mobile banking and found Australian banks need to work on their customer service skills. One of the report’s authors, Peter Burns from the management consultancy Booz Allen Hamilton, says all banks need to remember their customers are human beings. In their determination to cut costs and maximize profit, banks have lost the human touch. Not only is it unlikely you will get a cheap home loan or competitively priced new car finance but it seems that it is also even less likely that you will see any personal service from the larger banks once you settle – it will be an automated answering service, they’ll know you as a number not a name and if you can actually get to speak with a human being, well it’ll be is a miracle. Make use of the services and professionalism offered by a good and well established mortgage broker. Check that whomever you are dealing with is a member of the industry body, MFAA and then go for it – you will get what you want be it a cheap home loan, greater flexibility or a great lease for that new car.

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Preparing to Speak with Your Mortgage Broker

admin — Mon, 22 Feb 2010 00:02:37 +0000

Paperwork can be trying, at even the best of times. It can take a significant amount of time to fill out loan applications. You might even catch yourself wondering why a mortgage broker needs such a detailed amount of information. But, you need to remember that taking on the responsibility of a mortgage is one of the biggest expenditures you will ever have in your life. Because of this, you should take the time to ensure that your application is complete and accurate. Mistakes on your mortgage application or agreement could be costly.

When applying for a loan, most lending institutions and agencies have a standard or uniform residential loan application. The information required is broken down into several sections.

Type and Terms of Mortgage

Under this category you will select what type of mortgage you are applying for. This section will also detail important information like the amount being borrowed, the interest rate and the length of the loan.

Property Information and Purpose of Loan

Here you will need to specify what the loan is for, specifically what kind of property. Is it for the purchase of an already built property or for construction or for refinancing?

Borrower and Co-Borrower Information

In this section you will need to include your current and previous address. If you have a co-borrower, you will also need all of this information from him or her.

Employment Information

The institution or agency lending you money will want to ensure that you are applied and will continue to be employed for the foreseeable future. You need to list your occupation, the contact information for your current employer and the amount of time you have been working at this job and in this profession. You will also need to provide your monthly income. Your co-borrower will also need to fill out this section and if you have more than one job the lender needs the contact information and salary for both of these employers.

Monthly Income and Expenses

You will need to provide the bank with an accurate overview of your current financial situation. Part of that is figuring out how much money you have coming and going out every month. Under the income category you will need to include your monthly salary, overtime, commissions and dividends or interest credits you receive. Under expenses you can your rest, taxes and insurance monthly costs.

Assets and Liabilities

Here you need to list any accounts and stocks and bonds you have, as well as the name, address and account number of anyone you owe money to.

Details of Transaction

This section lists all the amounts that apply to your purchase transaction including purchase price, cost of any alternations or repairs and your closing costs.

Declaration

You will need to declare (by checking “yes” or “no”) certain facts about yourself. Be careful and honest in this section – because when you sign this application, you are essentially guaranteeing that all the information on it is correct. The questions might touch on bankruptcy, alimony and child support payments, and involvement in lawsuits. If you lie in this section, it could seriously jeopardize your chance of getting money from any lend institution.

There are many details you need to be on the lookout for. Ensure that you sign everywhere that is required and that the contact information you provide for yourself and for your employer is complete and accurate. You may also be required to initial certain places – like the bottom of every page.

Here’s a good tip to keep in mind. You should obtain two copies of your loan application so you have one to practice on and then just copy all the correct information onto the one you are going to submit. This way you will not be frustrated if you get right to the end and make a mistake and have to start all over again. You have a practice copy and a good copy ready for submission to your lending institution.

Remember, that there are professionals who can you help make this process easier for you. Consult your real estate agent or your lawyer or lending institution directly if you are unsure of something, or have concerns about some of the information required for your application. Asking questions now could save valuable time later.

Tabitha Naylor is an experienced mortgage broker/consultant with Apex Financial Mortgage. For more information, or additional resources on home loans, visit
Apex Financial Mortgage

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