When you’re shopping around for a mortgage, it makes sense to work with someone who understands the industry and market conditions. A mortgage broker is that person; someone who acts an intermediary between you and the lender working on your behalf. In your search for the right mortgage broker, we recommend you ask these 3 questions.
1. Are you a licensed broker?
It’s vital you check your broker’s qualifications and credentials to ensure they hold a credit licence or are a member of a finance association. While it may not necessarily guarantee a particular level of service, working with a broker who is a member of a professional body means they must adhere to a code of ethics and that disciplinary processes can be followed when things go wrong.
You may also want to check how much experience your broker has and the sort of lending they’ve been involved with previously, so do ask them how long they’ve been in the industry and the types of loan structures they’re familiar with. As a further check, you may want to ask them to provide client testimonials.2. How many lenders do you work with?
In order to provide you with the best deal, your broker should have access to a large pool of lenders. Find out how many lenders they work with, so you know how much choice you have when it comes to comparing and choosing the right finance package.
It may also help to know how your broker matches clients up with the right lender – your broker should be able to assess your requirements and then demonstrate how they rate each lender to find the best fit for your needs.3. How do you get paid?
While it may be a tough question to ask, it’s still an important one. Most brokers don’t charge the borrower, although some may charge a fee for their time. Brokers are generally paid a commission by the lender once the loan application is approved. They must disclose all payments and commissions they receive.
Once you’ve decided which broker to work with, your broker should provide you with a checklist of documentation the lender will require to assess your application. Your broker should remain in touch with you throughout the loan application process to ensure you understand your obligations and requirements throughout.
If you are considering working with a broker, get in touch with Mortgage Express and we’ll refer you to one of our local brokers. We have access to a wide panel of lenders and our team are experienced in finding the best deal to fit each of our client’s unique requirements.
While all care has been taken in the preparation of this publication, no warranty is given as to the accuracy of the information and no responsibility is taken by Finservice Pty Ltd (Mortgage Express) for any errors or omissions. This publication does not constitute personalised financial advice. It may not be relevant to individual circumstances. Nothing in this publication is, or should be taken as, an offer, invitation, or recommendation to buy, sell, or retain any investment in or make any deposit with any person. You should seek professional advice before taking any action in relation to the matters dealt within this publication. A Disclosure Statement is available on request and free of charge.
Finservice Pty Ltd (Mortgage Express) is authorised as a corporate credit representative (Corporate Credit Representative Number 397386) to engage in credit activities on behalf of BLSSA Pty Ltd (Australian Credit Licence number 391237) ACN 123 600 000 | Full member of MFAA | Member of Credit Ombudsman Services Ltd (COSL) | Member of Choice Aggregation Services.