Now is the time to take a good, hard look at your current financial situation and stop paying more than you should be on your Home Loan. So you want to refinance your home loan to get a better interest rate, but where do you go? The bank down the road looks like they have a good rate but you’re self-employed and had heard it was difficult to get a home loan. You may be right, but how do you know that you’re getting the best option available to suit your needs? Or you have a few debts that are getting out of control with rising interest costs. How do you try and improve your finance situation? That’s how a Mortgage Broker can help you.
Finding A Lender To Suit You
A Mortgage Broker can help you filter out the Lenders that don’t suit your personal situation. Asking your friends or on a Facebook group will only provide you with the lender that is right for that person, and it probably only suited them at the time they applied. If they were to apply again six months later, they may find they are better off with a different lender altogether.
Each Lender’s credit policy is different and while one lender may be happy to lend to the self-employed, others can make it more difficult or may prefer PAYG applicants. Some will happily lend for properties in regional areas, other lenders may only lend against securities in metropolitan areas.
Time or Features – what’s more important?
Time can also be a factor when deciding which lender to go to. If you are looking to purchase a house, you may need a lender that is approving loans quickly. If you are refinancing, that may not be an issue and having the right rate and product features is more important. Mortgage Brokers are in touch with lenders every day and know which ones are able to respond quickly and which ones are taking a bit longer.
Fast Refi
If you are refinancing and time is of the essence, after all you want to be paying the lower rate as quickly as possible, there is a product called Fast Refi that some lenders offer as part of their process. Often it is your current lender that can hold up the process and delay settlement, meaning they get to receive your repayments a little longer. Lenders who offer the Fast Refi process bypass asking your current lender to transfer the title of your property before releasing the money to pay out your current loan. They simply repay your current loan and then request the current Bank to discharge their mortgage and transfer the property title to them. Not all lenders offer this but your Mortgage Broker will know which ones to deal with if that is an option you wanted to pursue.
Medical Practitioners/Professional Packages
Did you know that if you are in a certain occupation, some lenders will offer you extra benefits? For example some lenders offer to waive the costs of Lender’s Mortgage Insurance on loans where the applicant needs to borrow more than 80% of their property value. Some of these occupations include Doctors, Nurses, Paramedics and Dentists as well as Financial Planners, Accountants, Lawyers and Vets. If you think you might be eligible for this type of loan, a Mortgage Broker will know which lenders to approach on your behalf.
BID – Best Interests Duty
Mortgage Brokers are required to always put your needs first and to consider each loan based on your personal requirements. This means you can be confident that, even in the long term, the loan you get will be in your best interests and will have taken into consideration your current plans as well as future ones. If you simply walk into a bank, even if they know their product isn’t the best one for you, they can only offer you their product, which could cost you dearly.
As a mortgage broker we act in your best interests. A lender has no obligation to do so. At SHL Finance we have always acted in our clients’ best interest and would love the opportunity to help you too. Please call Reece Droscher on 0478 021 757 should you want to discuss your finance requirements.
