Whether you are buying your first home or your current mortgage is due for renewal, you’ll no doubt want to put in some research yourself to try and find the cheapest mortgage that is suitable for your needs. After all, if you’re trying to save money, so why would you choose to use a mortgage broker?
Whilst the internet is an invaluable tool for research and comparing product, it can be a time-consuming task exploring all the different options available to you, and understanding the different products can be a minefield. Choosing the wrong mortgage could be an expensive mistake – this is where the benefits of using a mortgage broker become clearer.
Below we’ve listed just some of the benefits of using a mortgage broker. They will:
Save you money
There are literally thousands of mortgage products on the market. A mortgage broker will be able to scour the entire market to find the right product for you. It isn’t just a case of looking for the cheapest mortgage rates. A mortgage broker will be able to look beyond the that and take into account all other fees or charges that apply. From a lay person’s point of view, what looks like a very cheap mortgage could actually be more costly in the long run once all fees have been added on.
Free up your time
Using a mortgage broker has many more benefits outside the obvious financial gains. Time can be precious, especially if you are looking to move home quickly, or you have other commitments and responsibilities aside from the mortgage. A good mortgage broker knows their domain inside and out and will be able to find you the best deals, without you having to do much legwork, other than answering their initial application questions.
Have access to a wider range of mortgage products
We’re often told that cutting out the middle man is best, this isn’t the case when using a mortgage broker. Whilst there may seem like a lot of mortgage deals available from the popular high street banks or internet banking providers, this is just a drop in the ocean. A mortgage broker will have access to a wider range of products, some which are only available through intermediaries. Often, these will have lower interest rates than those available direct.
Offer you financial advice (if you want it)
Mortgage brokers are qualified in financial advice so they’ll be able to let you know if a particular mortgage product is going to be suitable for your circumstances. Regulated by the Financial Conduct Authority, they also have a duty of care to give you the right advice, not just pushing the option that will make them the most commission.
Help you with the paperwork
Unfortunately, there is no getting away with tedious amounts of paperwork when it comes to applying for a mortgage broker. Using a mortgage broker can help take some of that stress away.
Where relevant they’ll be able to pre-complete some of the paperwork for you, so that you’re only left with providing a few signatures. Don’t let this make you complacent though. You’ll need to read through all the paperwork thoroughly to ensure you’re happy to commit to the mortgage deal.
Have knowledge of lending criteria
Having your mortgage application accepted isn’t always a done deal. Different lenders will have different criteria and expectations. After speaking to you about your circumstances such as your income, credit history etc, they should be able to narrow down a short list of lender’s that are likely to approve your application.
Be able to chase up your application on your behalf
Using a mortgage broker can help to make the application process a lot smoother. But sometimes there can be delays in the system. An experienced broker will know how to spot delays or problems and will be able to chase these up with your lender or offer information and encouragement to help you speed things along.
A mortgage broker can not only help you to save money but can also offer sound advice throughout the application process.
The above post does not constitute advice – financial, legal or otherwise. The information within this article is the author’s own opinion and do not necessarily reflect the views of SO Media or So Smart Money.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.