Making a successful purchase of a home requires the alignment of several factors, and one of the least-mentioned but most important is your relationship with a mortgage broker or bank loans officer.
Ensuring you have found the most suitable financial product for your purchase is critical. A combination of rising real estate prices and a mobile workforce means you’ll probably need a sufficiently flexible deal to cater for your professional and personal lives.
You should know whether a loan product includes financial penalties if you pay it off early or decide to switch mortgage providers. You should also look at the cost of your Private Mortgage Insurance (PMI) if you cannot make a 20% downpayment.
A bank loans officer will help you navigate the offerings of their institution, and they’ll be able to tell you quickly the size and type of loan that might be offered to you.
A mortgage broker can provide information on a comprehensive selection of banks and lenders. It is the key reason why brokers arrange more than half of all American mortgages taken out.
Here are six reasons you might want to consider the assistance of a mortgage broker. Be aware that their services are free to you, and they make their commission from the institution that secures you as a customer.
Experience counts
A broker will conduct multiple loan transactions every week. So, their knowledge is essential in helping you avoid any mistakes and explaining the transaction process.
The widest choice
The USP of a broker is choice, of course. They won’t be able to sell you every mortgage under the sun, but they’ll have a portfolio of products from different institutions. The broker should be able to match one of these with your needs.
Investment
Every real estate purchase should be seen as an investment. Buying a home is one of the best ways to build your personal wealth.
Paperwork pain
You cannot avoid paperwork. However, a broker should have automated systems to remove any anxiety and confusion from this part of the transaction process.
Consistency
If you find a mortgage broker you like, keep them on your team. When the time comes to upgrade, refinance or become a property investor, they will know your situation and aspirations.
NOTE: The information in this article is general in nature and provided as a market overview only. Always consult your financial advisor or accountant for advice specific to your personal circumstances.