7 Amazing Benefits of Choosing a Mortgage Broker Instead of a Bank


The first question that might come to your mind while seeking a mortgage from Australian Mortgage Lenders is whether you should approach a broker or a bank directly. After thorough research, it has been established that over 70% of Australians prefer brokers to get their loans.    

It's the latest market trend. Presently more than 2 out of 3 loans are done through brokers. The number of people preferring brokers instead of directly approaching a lender for their mortgage is increasing yearly. 


Reasons Why Brokers Are Preferred 


Now let us find out the reason for this increasing popularity of brokers over the years. Arranging a loan is a huge responsibility and requires much paperwork. 
The primary reason is the overall personalized experience you get from brokers in the process, which can be difficult, and complicated. Most of the authorized brokers have a sound knowledge of the industry. Many of them have an average industry experience of over 10+ years and cater to more than 50+ lenders and more than 100+ products 


Ways a Broker Can Help You 


A broker plays a significant role in the entire process from needs analysis to submission to settlement. The process is dependent on your financial needs and the requirement of the bank.  Let’s find out how a broker can help: 


  • A mortgage broker gathers all the information to understand your needs, and analyses the information to suit the best products and lenders as per the requirements of the customer. 

  • Once they complete analysing, you will be provided with the latest updates on various lenders and their rates for you to choose from. Then you can decide on which lender you wish to go with for your loan. Accordingly, the mortgage broker can help you with the lending process. 
  • It’s a mortgage broker’s responsibility to carry out all the legwork on your behalf from beginning to finish and be a middle negotiator with lenders according to requirements. 
  • Usually, mortgage brokers work for themselves, and don’t charge any fees for their services. They are primarily focused on getting loans settled with the best rates they can offer from various lenders. 
  • Usually, mortgage brokers work for themselves, and don’t charge any fees for their services. They are primarily focused on getting loans settled with the best rates they can offer from various lenders. 


As we had a fair idea about the role of a broker in securing a loan now let us take a look at the benefits of engaging a mortgage broker in your lending process rather than directly going to a lender or a bank for your loan to be approved. 


Benefits of Choosing a Broker: 


  • A mortgage broker will understand your requirements and can accordingly tailor a loan as per your requirement.  
  • A mortgage broker is more like a one-stop-shop where they have access to more than 50+ lenders including banks and non-bank small lenders. Many of their rates are not available online. Only a broker can suggest the best rates for you. 
  • As mortgage brokers are locals, they understand the local market trend and they are convenient to approach. 
  • Mortgage brokers are experienced with multiple lenders, and products and are up to date with the latest requirements. A mortgage broker will complete all the paperwork for you after collecting your documents. 
  • Whenever you are in a hurry to get a loan; it might be best to approach a broker as they have better knowledge about which lender can process the loan quicker. 
  • You need not have to pay fees to mortgage brokers. The lender will pay the brokers for the loan offered to you. 
  • It is a broker’s responsibility to provide ongoing service to you until the loan ends. 

Conclusion 


Only a broker can help you get in touch with the best mortgage lender in Australia according to your requirements. 

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