Bank vs Broker
Meiken Barnes | February 06, 2017
With a myriad of Lenders you can choose from when shopping for your home loan; navigating the property market can become quite a difficult task when you aren’t sure what you are looking for.
Should you apply directly through your Bank or should you seek the assistance from a Mortgage Broker?
Whilst applying directly may seem like the obvious option, applying through a Mortgage Broker can ultimately be the difference between your loan getting approved or declined. A Broker has access to over 25 different lenders – all with different products and offers.
Brokers follow the market, the trends and know which Lenders offer what products, specials and interest rates. Each Bank has their own niche and polices with a big gap still evident between the different Lenders and their credit policies. A Broker is not aligned with any one particular bank, they act as a freelancing industry professional agent to navigate and package the ideal home loan for your own personal needs and circumstances. Ideally, this takes the effort and hard work out for you as the Client, instead of setting up an appointment with multiple Banks and listening to what they have to offer, this information is all at a Mortgage Broker’s finger tips – ‘a one stop shop’.
For instance, some Lenders may accept negative gearing when calculating an applicant’s borrowing capacity and serviceability for a home loan whereas other Lenders will not accept this. You may not be privy to this information however your Broker will be.
With a more personalised service offered by a Broker, this gives you the accessibility to easily contact your Finance Broker with any questions, concerns or maintenance that may need to be undertaken on your loans, they do the ‘shopping around’ and everything else in between for you. This is opposed to waiting on hold for what might become hours reaching a call center, perhaps not even in Australia which may become frustrating.
If you are currently seeking Finance for your home loan or this is a goal for your future, make sure you choose the service which is best tailored to your needs.
