Attaining a mortgage quote is obviously helpful for the people who want to refinance their existing house or purchase a new house in the near future. While in the past this involved sitting through multiple arduous and always unnerving interviews with lending managers, the whole process has become simplified, thanks to the presence of mortgage brokers.
This industry has grown heavily over the last 10 years and will continue to grow with the rise in Australia’s housing demand and current low interest rates. Mortgage brokers have access to hundreds if not thousands of products from a panel of lenders. The amount of lenders they have access to depend on which aggregator group they’re with, but generally you are looking at a minimum of 20 different lenders who can provide you finance. All you need to do is find a broker, obtain a referral or search online for mortgage brokers and organise a phone call or meeting with them. Once you have called or met with a broker, they will process your information and quickly return the several quotes to you as soon as possible. These quotes will enable you to plan your future in a better and efficient manner. You can get extensive information on fixed rate mortgages, variable rate mortgages and other types mortgages. You should receive an analysis of different options available to you. These quotes will unravel the mystery that surrounds the different type of mortgages and free up a lot of your time in research.
Advantages
The advantages of mortgage quotes are many. The biggest advantage, of course, is that you can get the mortgage quote free of cost, giving you a good general feel of what the market is bearing. There are no charges, no hard efforts, and no uncomfortable interviews during work hours with various lending managers. By contacting a broker, you can get a number of free quotes from a wide range of lenders. In doing this, you will be better able to look at the bottom line across many loans and in so doing decide which option offers the best solution for you. The world of lending is riddled with hidden contract clauses and indecipherable language. So without proper and careful planning, you can become lost rather quickly.
Fast and personal service provided by mortgage brokers is another advantage. Once a broker enters your details in to their system, your answers will be immediately matched with lenders along with the products they offer. Typically, you will receive quotes from multiple lenders and there will be no long waiting or visiting multiple banks.
Disadvantages
Like all other things, mortgage quotes have both the positive and negative aspects. Sometimes, it becomes difficult to know whether the rates are competitive and this is due to the which lenders the broker has on their panel. We have to believe the information that the broker provides us is the best available and has all the features we have requested. You should be provided with at least 3 different quotes.
The quality of the lenders may be another reason to worry. To expand their business, new lenders (especially online) may provide lower rates to lure the customer in. While brokers can investigate the history and lending practices of an established bricks and mortar lender, for the newer ones it is difficult to know the quality of their services until you deal with them.
