Buying a home is one of the biggest financial decisions you'll ever make. Whether you're a first-time buyer or an experienced homeowner, navigating the world of mortgages can be overwhelming. That's where a mortgage adviser comes in. While some people prefer to go it alone, many turn to a mortgage broker to help them find the best deal and navigate the application process. In this article, we'll explore the benefits of using a mortgage adviser and why it may be a good choice for you.
What are the benefits of using a mortgage broker?
I’ve written before about my poor experience with a mortgage adviser and why I will be trying to find our next mortgage by myself next time. Amongst friends this has caused a divided opinion as many of our family and friends totally rely on their mortgage brokers to find them the best deal and wouldn’t be without them. I think I just need to find a new one!
So what are the benefits of a mortgage broker and why do people rely on them when their fixed deal comes to an end, or when sourcing a mortgage for the first time? I will explore the benefits of using a mortgage broker in this article.
Of course I am aware that despite my experience, using a mortgage broker can offer many benefits when you are searching for a new mortgage. I will explore the advantages of using a specialist online Mortgage Broker in this blog post.
A mortgage broker will offer financial advice based on your situation and they have a legal duty of care towards you as a borrower. This means they will only find the most suitable lenders and loans for you based on your individual circumstances. Whether you're researching "Getting a Mortgage After a Divorce", looking for a self-employed mortgage, or even buying a second home, they'll know the best mortgage for your situation so you can stop your research and ask them for their advice.
They also understand mortgages inside-out so they can explain everything to you in a way you’ll understand as well as be able to answer all your questions.
Assistance with complex applications
If you have a complex financial situation, such as being self-employed, a mortgage broker can help you navigate the application process and find a lender that will work with you. They have experience dealing with different types of applications and can advise you on the documentation you will need to provide.
You’re protected legally
A good reason to use a mortgage advisor is because they have this legal duty of care towards you as I mentioned in the last point. Because of this, they are only allowed to recommend a suitable product. If they don’t give you the correct advice then you are legally allowed to complain and seek compensation for a missold mortgage. If you search for a mortgage by yourself then you won’t have this protection if you make a mistake and choose a deal that’s not suited to your circumstance.
One of the biggest benefits is that a mortgage broker will save you time. They will trawl through all the deals to find you the best one. They will make the application on your behalf. They will arrange all the legal side of things. They may simply bring something to you to sign and request documents to photocopy, but otherwise they’ll handle all the searching, negotiating and admin. If you are too busy to do this yourself then a mortgage broker could be worthwhile just for this reason alone.
They’ll find you the best deal
They will already know the market and have lots of contacts, so they’ll be able to find you a great deal quickly, or they may even know the best deal for you right away. They’ll also access deals from many different lenders and not just one bank. If you simply go to your bank then they’re not going to compare deals with other banks!
They may even be able to find you a deal that you are unable to find by yourself so using a broker could save you money.
Access to exclusive deals
Mortgage brokers have access to a wide range of lenders and deals that may not be available to the general public. They often have special relationships with lenders that can lead to exclusive rates and terms that you may not be able to get on your own.
Help with credit issues
If you have a poor credit score or other issues that could make it difficult to get a mortgage, a mortgage adviser can help you find a lender that is more likely to approve your application. They can also advise you on steps you can take to improve your credit score, understand your credit score and how it impacts your mortgage application and increase your chances of getting approved.
A mortgage broker can provide ongoing support even after you have secured your mortgage. They can help you understand the terms of your mortgage and answer any questions you may have about the repayment process.
While some mortgage brokers do charge a fee for their services, many are paid by the lender, meaning you may not have to pay anything out of pocket. Additionally, a mortgage broker may be able to help you find a better deal than you could on your own, potentially saving you money in the long run. There are lots of costs to prepare for when buying a house so take into account whether you want to pay for a mortgage adviser or use one who is free.
Final word on the benefits of using a mortgage broker
Using a mortgage broker can definitely make sense for a lot of reasons. If you are pushed for time, hate doing the legwork, want to ensure you get access to a great deal with financial advice, then using a mortgage broker to find you a lender could be the right option for you. Overall, while there are potential downsides to using a mortgage adviser, there are many benefits to consider as well. It may be worth exploring the option to determine if it is the right choice for you and your specific financial situation.
Before you go...
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