There are many different types of mortgage brokers, and not all can offer the same mortgage services. In this article, we identify the types of consultants you can meet and highlight the key differences between them to help you get the best mortgage deal for your new property. Since the law was amended in 2005, mortgage brokers fall into three categories and must tell clients what services they can offer.
The first and most limited type of broker you can turn to for mortgage advice is the Linked service. Associated mortgage broker Melbourne may only guide you on particular mortgages. An instance of a similar mortgage service would be the bank or a construction company. While these agencies will give you the most suitable mortgage available, they may offer better deals elsewhere that people can not advise you. They can’t tell you on this transaction because their company will not benefit from this. You will have to look for alternatives for yourself.
An average offer is a multi-link broker. This type of mortgage service will be able to offer you mortgage services from a wider but limited range of mortgage companies. Many realtors work as a versatile mortgage service, offering deals from a group of lenders with whom they have agreed to do business. Although there are more options than a connected broker, you still can’t get the full picture with a multi-linked broker, and you may lose the best deal for you. A multi-connected service can be called a “whole market” if the group with which works represent all creditors.
The most recommended type of mortgage service is a “Whole Market” broker. These mortgage brokers tend to have a great deal of experience in finding the best mortgage deal for your situation and have access to the entire mortgage market so that they can offer you a full range of potential deals that will suit you. They are not affiliated with anyone or more companies, so they must be impartial in their advice. They often do brokerage transactions with some of the mortgages they work with and therefore can offer you a better deal than brokers who cannot offer the same level of choice.
Regardless of the level of a mortgage broker you choose (although, of course, we recommend that you visit an mortgage broker and not any other kind), make sure you fully explain their fees and also how they shall be charged. Some mortgage brokers may charge their fees through a commission from the mortgage provider, and others through a combination of fees and commissions. Before you start negotiating, save your time and the service provider by making sure you fully understand the financial implications and feel comfortable with them. All this should be explained to you at the first meeting, but do not hesitate to ask if something is not clear to you.