Four Questions to Ask Your Mortgage Broker

The property market is a quagmire, fraught with pitfalls that can render any investment decision a poor one. As a buyer, you have to make sense of the different types of mortgage interest rates and home loans are available and know which one will be most favourable to your current financial situation. It can be a nightmare to make sense of without a qualified and experienced mortgage broker at your side. Asking the right questions will ensure that you find the most suitable mortgage broker in Liverpool for your needs. Use these four questions to help guide your decision.

1. Are You An Accredited Mortgage Broker?

The first question for any property buyer to ask is for accreditation – are they licensed and with which regulatory bodies (MFAA or FBAA) are they registered with? It will provide peace of mind that the broker is reputable professional.

2. I Can Go Direct To A Bank – Why Should I Use You?

As there are generally two approaches to buying a home, this question brings into focus the difference in services and value a mortgage broker offers over approaching a lender directly. A mortgage broker will provide you with product options from more than one financial institution, putting you in a better position to make an informed decision. A broker will also discuss your financial situation and make recommendations on options that suit your needs.

3. What Factors Into Your Recommendations On A Home Loan Product?

Reputable mortgage brokers put their clients’ interests first and will take the time to explain the various factors that come into play when making their recommendations. It’s also acceptable to ask them what commission they’ll earn and the number of lenders that they’ll work with.

4. How Much Finance Should I Apply For?

It can be tempting to borrow more money than is needed, so knowing the difference in the amount of finance you can apply for and what you should borrow is critical. A mortgage broker must explain the consequences of these decisions and how these will affect your current and future financial position. Will you be able to pay off a larger amount if your circumstances changes – if for example, there’s a hike in the interest?

If you’re in the market to buy real estate, make sure you do the necessary research into your final choice of a mortgage broker. Using this blog as a guide for questions to ask a mortgage broker will help you identify a professional to help you achieve your property goals. Our mission at Pearl Financial is to provide you with personalised service so that you find the best solution for your financial situation, so call us today to work with a mortgage broker that will meet your needs.

Author: Shane