Many prospective home buyers still believe that they must recruit the services of a traditional bank to obtain the mortgage needed to move forward. However, this is a belief that is quickly dying out. This is, in no small part, due to the stinginess of modern financial institutions and the often-disagreeable terms that they lay out to consumers. As a result of this, more and more Canadian home buyers are seeking out the services of a mortgage broker.
Why a mortgage broker? There are lots of reasons to use these services in lieu of banks. Some of them might even surprise you!
Below is a list of five very compelling reasons to work with a mortgage broker (source https://askross.ca/second-mortgages-toronto-and-gta/ ).
Your Time and Money are Valuable:
A mortgage broker does a lot of the legwork for their clients, which is a world apart from the time-consuming nature of getting a mortgage loan through a bank. Instead of applying at numerous banks and potentially hurting your credit score in doing so, let your mortgage broker handle the process. They may even be able to find you a lender with a great, low rate – and this can save you thousands!
Negotiate Your Way to a Better Mortgage Rate:
Mortgage brokers act on behalf of their clients, trying to help them obtain the lowest interest rate possible on a mortgage. Because they have access to a high number of area lenders, they can shop around for you and negotiate with lenders to get you the best mortgage terms possible.
Unbiased Advice Will Help You Along:
It is imperative that a mortgage broker receive client referrals. It is for this very reason that these professionals strive to provide their clients with the best service possible. A good mortgage broker won’t try to get you into a mortgage that gives them the higher finder’s fee if it isn’t advisable for you, the home buyer. You can expect their advice to be unbiased and client-centered.
Most of the Time, it Costs You Nothing:
Because mortgage brokers are paid by the lenders they work with, it’s very likely that you will not be saddled with any fees for working with a mortgage broker. The only circumstances that may require you to pay are when you are entering a private mortgage, or the chosen lender will not pay the broker fees. Your broker will alert you if these circumstances arise.
Save Yourself from Too Many Hard Credit Checks:
Applying for a mortgage loan at many different lending institutions can seriously damage your credit score. How come? Well, it’s because these institutions will run a hard credit check every time you apply. Credit scores can be drastically lowered if you subject yourself to too many hard credit checks. Applying through a broker’s service, on the other hand, doesn’t require this of you and can save your credit score.
These are only five great reasons to work with a mortgage broker. Once you recruit the help of one yourself, you may figure out a few more to add to this list!