Our partners Mortgage Advice Bureau, Bingley, tell us why it’s a good idea to speak to a broker when looking for a mortgage.
1. More mortgage product options
Perhaps the most useful thing a broker can do its the key service they provide, after all is offering a wide range of mortgage products. Lenders often have a range of broker-specific deals and, in addition to that, brokers often have access to more lenders than those on the high street, offering borrowers a wide spectrum of deals to suit their requirements. MAB, for example, have access to over 11,000 products from over 90 different lenders - thats a big choice!
2. A market perspective
A mortgage broker has the industry knowledge and experience to give a detailed and accurate analysis of the industry. That doesnt just mean the perspective of the industry in its current form, but reliable predictions on the state of the market in the future. A good broker can also give you their professional opinion of what other economic changes are liable to impact your mortgage repayments in the future.
3. Impartial advice
You can never really be sure you can trust the information coming from a company trying to sell you their product. Thats why getting a second opinion especially on large investments like a mortgage is crucial. Brokers go one step further and offer you impartial, reliable advice before theyve even spoken to a lender.
You can trust a broker to put your best interests first, but if they dont or let you down in any way, you could be compensated. Its in the brokers best interests to offer you fair, honest advice.
4. Spotting new deals as soon as they're available
Shopping around for what you want always has the same problem, no matter what its for. You will look at all the best deals in one area and then move on. Except when youre looking at the next area, theres no telling what new offers have come out where you were just looking! Thankfully, for mortgages at least, a broker can help out, because part of their job is to identify the best deals as soon as they become available. This could offer new avenues for buyers looking for a mortgage.
5. Checking your paperwork
This is vital, its one of the more frustrating aspects of mortgages because a small mistake can mean the difference between approval or rejection. Looking through it and being certain everything is present is a pressured and thorough process, but a mortgage broker can take that pressure off your hands.
6. Research and preparation
What youre really buying when you hire a mortgage broker is convenience. Applying for a mortgage usually means a huge amount of legwork and research that can overshadow everything else in your life. Brokers are happy to take the reins on your mortgage application, do all the research, and then explain the best options for your situation. Removing that burden will make for a more pleasant buying process with minimal stress.
7. Keeping your credit rating intact
As weve discussed already, brokers are great for making sure that your application isnt rejected, both by ensuring you are applying for the right deal and double-checking your application documents. One great advantage of this is that, because brokers know which lenders are most likely to offer a deal, there is less chance of your credit rating taking a hit due to repeated rejections from lenders.
Brokers dont just offer mortgage deals many of them offer a range of services relating to property ownership. One example is insurance. MAB has many contacts offering great deals on both life and home insurance. Since property insurance is usually necessary to get a mortgage, you will need to look into it. But with buying a house as your top priority, insurance can fall down the to-do list. Your broker might be able to help out with the burden of hunting down insurance deals take a look at our Protection page to learn more.
9. Specialist mortgages
Your mortgage requirements could be more specific than a traditional mortgage. There are many options of lender for a first-time buyer or a buy-to-let, but an overseas mortgage or a large development mortgage requires specialist lending with loans from those who are familiar with specialist mortgages. These are very difficult to find without broker assistance and, in some cases, its even necessary to contact the lender via a broker. A good broker will have a host of specialist lenders and private banks who are experts in these kinds of mortgages. You can find out more about the range of mortgages we can help with on our Specialist Mortgages page.
Lastly, if your application is rejected for any reason and you have been applying independently, you will need to restart your application process with another lender. Brokers, on the other hand, can take your application and reapply it directly to a new lender, saving you time and effort and, potentially, making sure you dont miss the window of opportunity to secure your property!
To request a call back from our Mortgage partners, click here.