Mortgage broker tips that could save you thousands!
It doesn't matter if you're investing for the first time, or if you have tons of property investing experience: You need some mortgage broker tips. Your success can sometimes hinge on finding the right expert to support you with your needs.
Most often, finance will be the single largest expense involved with your rental property investment, but simply using any old mortgage broker that comes around may not be the wisest choice. What you really need is a Mortgage Adviser (these usually have accounting qualifications) rather than a broker. Their guidance, rather than their sales pitch, is what holds real value.
Levels of professionalism can still be variable, so it pays to go looking with these mortgage broker tips in mind:
Tip 1: For you to know: It's easy to get lost in the sea of information provided by accountants, financial planners and real estate agents, but it should be remembered that at least two of these (the planner and the estate agent) are only generally interested in how much money they will get out of the deal.
As a rule, you should only deal with members of the Mortgage & Finance Association of Australia (MFAA). This membership shows you that the adviser has met at least minimum professional standards in the field, and you should beware of anyone who doesn't have this membership.
Tip 2: A good quality mortgage broker or adviser should have at least 20 lenders on their panel of available finance options, and they should be accredited to represent them. Ask to see this list
Tip 3: You should look for companies with a track record of at least 10 years in the business because it demonstrates consistently good service to their clients over a long period of time.
Tip 4: A truly professional Mortgage Adviser should be able to disclose exactly how much commission each lender they offer will be paying them if you accept them. Always ask for this information, and if they are unwilling to provide it, be cautious.
Tip 5: Complete transparency is vital in a mortgage adviser. You should also be able to ask for a written, plain English explanation of the reasons why the recommended product meets your unique personal circumstances, because everyone is different!
These tips should all go together to help you find the best advice possible!
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