It pays to choose carefully when looking for a mortgage broker as their experience can impact your property investment success for good and bad.
When choosing a mortgage broker it’s important to remember that their role is
- to secure you the best deal on finance, and
- help you understand just what it is you are signing up for.
A good mortgage broker can be invaluable to your success in property investment.
Here are some tips to help you choose wisely:
- Look for a broker with experience in the area that you will be dealing in. The skill and knowledge of a broker dealing largely with first home buyers will differ from a broker who deals exclusively with investors of multi-property portfolios. Make sure your broker has experience in your niche.
- Ask for referrals from friends or family who have had positive experiences with a broker.
- Ask questions such as: What lenders are on your lending panel? How many lenders are you likely to recommend? How long have you been a mortgage broker? Which is your favourite lender and why? How do you make your recommendations? Do you charge a fee?
- Do your research. Compare how your broker recommended product stacks up with an on line comparison tool. If you think there is something better, be upfront and ask why your broker didn’t recommend it.
- Brokers should be interested in your specific needs – are you looking to live in the property or rent it? If they are disinterested, it is probably best to look for another broker as you won’t be getting a product targeted to your specific requirements.
For the full article by Jennifer Duke of Property Observer, which includes an excellent list of questions to ask your broker, go here.