A specialist mortgage broker can save the buyer from a lot of effort and money. A mortgage broker has many advantages over buying a house on your own, in many cases. Firstly, the mortgage broker will do almost all the legwork for you, leaving you only needing to make one application.
Secondly, using a mortgage broker saves you the time and expense of researching the mortgage market for the type of mortgage you are looking for. Thirdly, using a mortgage broker means you won’t have to do much research, because they already know what they are looking for. Although the advantages of mortgage brokers are many, there are also some disadvantages.
The first advantage of using a mortgage broker is that they will usually be able to find you a suitable mortgage for your needs at a cost that is far cheaper than if you shopped for a property yourself.
Specialist brokers tend to access more lenders than you would do yourself, and so can often find better deals and terms than you would get yourself. This means that the mortgage broker might actually end up saving you money compared to if you chose your own lender. The other major advantage is that they have access to investment strategy advice, and in some cases investment strategy mortgages which the rest of us may not have.
These are mortgages, which are specifically designed for those people who are either already retired, self-employed, in irregular work or on a fixed income.
Another advantage of using a mortgage broker is that they have the ability to secure you a loan at the lowest rates available from the market. This means they are able to secure the best deal for your circumstances.
Usually this comes at a discount, allowing the mortgage broker to offer you a competitive rate. Some brokers will even agree to allow you to make an early repayment. This can really help you to spread your risk and secure the best deal for your circumstances without having to pay fees for entering into these types of agreements.
It is not just the financial benefits that make specialist mortgage brokers such a good option. They can also find you the cheapest quotes from some of the top UK lenders. These lenders normally have much larger investment portfolios than your average homeowner and are able to provide competitive rates on their products. This means that they will offer you the cheapest rate available, and this could save you hundreds of pounds on the interest repayments.
While a mortgage broker can help you secure the best mortgage deal possible, it is up to you to decide which one is the best for you. In order to do this you need to take into account what factors are important to you.
For example, if you want to secure the best deal but do not have a lot of knowledge of mortgages, then using an independent financial adviser is likely to be the best choice.
Independent financial advisers work for themselves and are paid for every single loan they secure. Because of this they have a very clear understanding of how the different aspects of lending work, and can make better choices for consumers.
However, just because a specialist mortgage broker works independently does not mean that they cannot be as successful as other lenders. Many lenders will offer deals to customers who sign up to their services and these are usually quite competitive. Therefore a specialist broker can compete with the big lenders and get you a better deal.
When choosing which lender to use, it is often worth paying a small up-front fee for a specialist mortgage broker. This is because brokers receive their commission from the leading lenders, so it stands to reason that a broker with years of experience will be able to find you the best deals. This is because brokers have access to lenders that are often too small to work with on their own.
The larger lenders will only be able to afford to invest in one or two specialist lenders, which limits their choices greatly. However, a broker can make use of these smaller lenders to get you a loan with much better terms and conditions than you would get by going with the main lenders.