Otherwise, too much choice can lead to overthinking, or simply selecting a poor product fit that can cost borrowers more than needed. This is where the most immediate value of a mortgage broker can be recognised, as their knowledge, connections, and expertise give them a wide understanding of lenders and products in the market. They stay up to date with the latest trends, policies, and should have the necessary experience to help you overcome any hurdles the deal may come across.
However, knowing all these different lending products means nothing if they do not first understand the borrower’s individual scenario. In reality, this is where the true value of a mortgage broker lies. The most effective mortgage brokers prioritise understanding their client’s short and long-term goals, needs, wants, risk appetite, spending habits, and even their family life, plus many more to give personalised advice.
Only with getting to know their client can the mortgage broker effectively suggest lending products under the Best Interests Duty. Borrowers who engage their services can receive the peace of mind knowing that the mortgage broker is legally required to put their interests first when providing them different lending options. This may include negotiating on your behalf for improved loan terms or rates that best suit them.
New borrowers might start to get anxious, as a service this great would surely fetch a hefty service fee that their tight budgets may not be able to accommodate. Here is the catch that many borrowers fail to realise; mortgage brokers primarily earn through trail and/or upfront commissions paid by the lenders – NOT the borrowers.
Readers might be wondering why WLTH, as a lender, would recommend speaking to a broker. The answer is simple. We firmly believe that borrowers would benefit greatly from their services, and of course there are some instances where WLTH is the best match for certain borrowers under their Best Interest Duty.
In the end, mortgage brokers are meant to save you time, hassle and money. They match you with the most appropriate lenders and products, help you conduct a cost-benefit analysis for each, so you make an informed decision. They can even facilitate most of the paperwork required to alleviate the worry. They make the process as seamless as possible with ongoing support to make you feel confident and comfortable.
We recommend finding a mortgage broker you can trust that can dedicate time and effort to find you the best deal available. Be sure to ask them about WLTH and what we can do for you!
Any advice provided is general in nature and should be considered in line with your financial situation, needs and objectives.
