Mortgage Broker Group operates nation-wide and has a wealth of personal experience and internet resources to assist you with buying and selling property. Whether you’re a first-time homeowner, trying to upsize or downsize, or looking for an investment or vacation property, we’ve got plenty of material to help.
Many people have questions about exactly what a mortgage broker does. Why would anyone select a broker instead of going directly to a home loan lender?
Let’s reveal what brokers actually do.
What is the definition of a mortgage broker?
In Australia, a mortgage broker is a person who is licenced to act as a middleman between customers looking for property loans and the companies (banks, non-bank lenders) that sell them.
While everyone is familiar with the ‘Big 4’ banks and a few other lenders, there are actually over 100 approved mortgage lenders in Australia, offering around 1000 distinct home loan packages. Eeeek!
This daunting and perplexing option is the primary reason that almost 75% of all home loans in Australia are obtained with the assistance of a mortgage broker.
Simply said, brokers scan through hundreds of loans to identify the best solutions based on your individual needs.
What does a mortgage broker do?
Let’s simplify it. Here are the top five things we do for people looking to buy a home.
1. Assess your finances: We review your income, savings, debts, and credit history.
2. Explain the loan options: We describe the various loan kinds, interest rates, and repayment alternatives offered by different lenders.
3. Consider loans: We access a huge number of lenders, compare them, and select the best possibilities for you. By law, we must operate in your best interests.
4. Deal with the lender: We negotiate the terms of your chosen loan, such as interest rates, fees, and loan features. You might be amazed what we can do!
5. Manage your application and financing: We assist in completing the loan documentation and gathering the necessary details before guiding it through the approval process. We’ll confirm your financing and offer continuing support.
Regulation and oversight
Mortgage Broker Group is overseen by the Australian Securities and Investments Commission (ASIC) and must adhere to stringent industry norms and regulations. This involves giving appropriate counsel, revealing commissions and fees, and working in our clients’ best interests.
It’s worth noting that individual banks only need to ensure the loan they recommend to you is the best one they have to suit your circumstances. We are required to do this across a large number of loans available in the market.
How do brokers get paid?
You will never have to pay Mortgage Broker Group for our services. You will never be charged for consultations, loan searches, loan approvals, or continuous assistance throughout the life of your mortgage.
We collect fees and continuing commissions from your chosen lender. And because we have access to loans that are not available to direct customers, we virtually always beat the retail rate lenders charge (and will notify you if we do not).
Other brokers may charge a flat fee regardless of the loan they recommend. Some brokers receive a greater commission for offering specific premium loans. Sometimes a broker will charge you a fee directly. Not us.
Do brokers evaluate all loans on the market?
No.
With so many loans accessible, brokers join ‘panels’ of loans. A professional broker will be able to compare hundreds of loans for you, including from the largest lenders. No broker compares all loans on the market. Mortgage Broker Group works with the largest lenders and may also consider smaller lender solutions.
If you’ve discovered a loan you like, contact us. There is a strong chance we can get you a better offer.
Talk with a broker.
Shopping around is beneficial when selecting any service. With more than 20 years of expertise and thousands of satisfied customers, we embrace competition. Our personalised service is something that our clients value. We believe you’ll return to our expert team at Mortgage Broker Group whenever you have home loan needs.