The Benefits of Working with a Mortgage Broker as Opposed to a Bank
A Mortgage Broker Offers Help That No One Else Can – Here’s How
So, you’re ready to buy a new home, and you are trying to decide between working with a mortgage broker and heading straight to the bank. Both of these options provide different benefits, but only a mortgage broker will dedicate their efforts towards getting you the best deal possible. Mortgage brokers work independently and have access to plenty of lenders and loan options. Read below to learn why a mortgage broker can help you in ways that your bank cannot.
What is a Mortgage Broker?
Mortgage brokers make real estate transactions easier. Their job is to act as a middle-man between the lender and the customer seeking a mortgage loan. They work independently, meaning their sole goal is to find you a deal that satisfies your needs.
At Chris Allard Mortgage Team, our job is to understand your financial picture, share mortgage knowledge with you, and find you the best rates, terms, products and lender available to you. We have access to discounted, preferential rates with over 50 lenders including banks, credit unions, mortgage companies, and more. Rest assured, if you qualify for best rate mortgage products, our services are free, because lenders pay our team for bringing them business.
Once we have your financial profile, we will review various financing options with you. With our guidance, you will be the one to decide the mortgage you find most suitable.
How Does Working with a Broker Compare to Going Directly to the Bank?
Banks and mortgage brokers both provide loan options – but banks don’t provide the same level of service that mortgage brokers do.
Banks often have target profits to meet, and it’s rare that they will recommend a competitor to you, even if you will benefit. Meanwhile, mortgage brokers want to find you the best deal possible. Mortgage brokers have strong connections to professionals in the real estate industry, and they work independently, meaning they have no ulterior motives.
It’s important to understand that, while mortgage brokers work between borrowers and lenders, they are not simultaneously paid by both parties. In most cases, mortgage brokers are compensated by the lender.
Benefits of Working with a Broker
They Will Shop Around with Different Lenders for the Best Rate
By using a bank, you’ll be limited to non-negotiable rates from a single lender. A mortgage broker, meanwhile, will run a comprehensive search to find the right lender for you. Your broker will collect information from you to determine what loan works within your budget and circumstances, and will advocate for you in communications with lenders.
They Do All the Legwork for You
Securing a mortgage loan can take a lot of time, and bring forth a lot of stress. Luckily, a mortgage broker can make the entire process easier by taking care of complex documents and meeting tight deadlines. They can also explain parts of the process to you to simplify them.
There is No Cost to You
In most cases, you do not have to pay the mortgage broker. Instead, the lender pays a commission to the broker after your deal is finalized. As a result, using a mortgage broker is generally a free service to you
They Can Help You Determine Your Budget
Mortgages are complicated, and you might not always be certain what options actually work for your budget. Your mortgage broker will help you go through the process of determining what mortgage plan you can realistically afford before approving one.
They Provide Independent Expert Advice
A mortgage broker is completely independent. Employees of other financial institutions, like banks, have goals that serve their company. On the other hand, a broker will dedicate their work to ensuring your satisfaction, and can provide plenty of unbiased information and reliable advice.
They Can Find You a Mortgage Even with Poor Credit
No matter what your financial circumstances are, a mortgage broker will help you find the best rate. People with poor credit, plenty of debt, or struggling to find employment are often able to find success with the help of a mortgage broker.
READ MORE: How to Get a Mortgage When You Have Bad Credit
They Can Help Facilitate a Private Lending Investment
Are you interested in becoming a private lending investor? A mortgage broker can help. Brokers have all the expertise in this area, and can help you determine whether this avenue would benefit you should you be interested.
READ MORE: Borrowing to Invest in Real Estate
They Can Help You with All of Your Mortgage Needs
Securing a mortgage takes a lot of steps – and your broker will support you at every single step. From communicating with lenders to understanding your budget, your broker will be able to provide expert advice throughout the entire process, and can even give you long-term advice after your mortgage is complete.
READ MORE: Understanding the Ins and Outs of Private Mortgages
Ultimately, finding a mortgage plan that works for you doesn’t have to be difficult. Using the services of a mortgage broker is the best way to do this. Unlike banks, mortgage brokers work independently, and advocate for you with no strings attached. A mortgage broker will assist you no matter what your circumstances are, and they’ll give you access to mortgage plans that no one else can.
Chris Allard’s experience in the field means he can get you offers with over 50 financial institutions lending in Ottawa. Every lender has many mortgage products they offer, which means Chris and his team will make sure a mortgage caters to your needs while also ensuring you get a competitive rate. Chris Allard is a proud mortgage broker of Smart Debt Mortgages, independently owned and operated. Smart Debt broker #12236.