When you are trying to secure the best possible finance for your new property, it can be a seemingly long-winded, tedious and infinitely detailed process in which many different options must be considered in order to truly get the best possible credit arrangement. However the majority of people are merely content with whatever their local bank or high street lender would offer them, and while this may seem like the easier, stress-free solution to your financial problems, it’s actually worth your while to see what a locally based home loan and mortgage broker could offer you instead. After all, if there’s a chance of a better deal with just the smallest extra amount of effort then why wouldn’t you take it?
Not only can they potentially offer you a better deal on the interest of your loan and what the terms and conditions are but they can also offer a far higher level of personalization and take into account your personal circumstances in order to formulate the best possible agreement for you. In fact, some agents even base their commission and fees on how good of a deal that they can get you, so let’s take a look at some of the reasons you might choose to go with a local broker as opposed to a big bank.
While most of the time a larger bank or financial institution will deal with other areas other than purely mortgage and home loan providing, but a number of other services such as checking and accounting, business advice services and general ban services to name a few. This is to increase e the amounts of areas that they can draw in business from based on their previous “household name” status. While this can be good for those who only want to deal with a single entity for all of their financial needs, it can be to your detriment when trying to secure the best deal on your new mortgage. And going to see somebody who specializes solely in securing home loans for their clients will confer a number of advantages.
For example, when a bank provides loans and mortgages for their clients it comes directly from the banks own revenue streams and as such they are normally against any amount of fluctuation In the rate they are able to offer you as an individual customer due to the large scale implications of changing the rules set out by the shareholders for one customer. However a broker works with several or even dozens of lenders on any given day to see who can provide the most competitive interest rate and terms for their clients as possible and as such are not nearly as restricted as a big bank that pretty much makes up their own rules and sticks to them, knowing that their trustworthy household name will still get them business either way
However, beside from the fact that these large banks and institutions are very rarely going to try and take your own personal situation and circumstances into account when offering you finance for your new property, often times due to these entity’s being stretched out across the entirety of Australia, it can often lead to them making assumptions and letting the averages of a country as a whole dictate their interest rates in all areas, therefore neglecting a lot of the potential advantages that living in a certain area may have for you and your finances.
Whereas a broker who is focused primarily on their local area as their primary market, their day to day jobs will involve scrutinizing all of the available information and procedures as set forth by the local authorities and financial bodies that control the industry to try and find the very best possible interest rate for you. Also when working with a local provider its far easier to verify just how thorough, professional and knowledgeable the service that they provide is, as their pool of customers will be significantly reduced, you can often find out the past experiences of customers who are a member of your community and are therefore far more accurate and reliable when it comes to forming a picture of an individual broker and what they can offer you.
However you decide to secure your finance, we wish you the best of luck with your future investment and hope that you make the right choice.