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Mortgage brokers are essentially loan experts, and can give you sound professional advice suitable for your needs and set you up with a lending solution for your situation. As loans or mortgages are often the biggest expenses people have, it is worth seeking professional assistance and advice.
Mortgage brokers have access to a wide variety of products, and are accredited by a lender to offer their product. As they earn a commission from various lenders for writing loans, some will not charge a fee for advice, but this will vary from broker to broker.
A great mortgage broker, regardless of their business model, will save you time, effort, and money in selecting a suitable home loan or commercial loan. Seeking advice from a broker will help you take out a loan you won’t regret, and help you plan for a better mortgage.

What does a Mortgage Broker do?
Mortgage brokers will assess your financial situations to find a suitable loan for your situation, manage your application, and provide advice through the entire process. As there are a wide range of products on the market, it is worth employing a mortgage broker who will know the ins and outs of the products and ease the process for you.
Responsible lending obligations under the National Consumer Credit Protection Act require mortgage brokers to ask adequate questions about their client’s financial situation, requirements and goals in relation to the credit contract. Based upon these inquiries, brokers will assess whether a credit product is unsuitable for the consumer, and only proceed with applications if the credit product is appropriate, giving the client a copy of the assessment if requested.

Assess your financial circumstances

Mortgage brokers will discuss your needs and financial situation with you, allowing them the opportunity to determine the most suitable loan.
You will need to provide them with documents supporting your identity and financial situation, including a 100 point check list for identification, personal bank statements to demonstrate savings where applicable, payslips, tax returns, outstanding loans, statements, etc. Your mortgage broker will inform you of what information they need to assess your situation fully.

Your mortgage broker will then discuss with you various loan products available that suit your situation. They should also offer you product comparisons, and inform you of proposed mortgage repayments and any upfront and ongoing fees.

Find a suitable loan for your situation

Once your mortgage broker has assessed your goals and financial needs, they will search their database of loan products provided by many different lenders, including major banks, smaller banks, credit unions and other lenders. 

This database is constantly updated and will contain details of all the latest deals from the lenders. Occasionally, your mortgage broker may have access to exclusive loan products not available anywhere else.
Brokers use specialised software to help with the task of choosing loan products for you, and usually a comparison table and/or graph is created for you to consider a few products side by side. Your broker will use these tables and results to recommend products they believe suit your needs best.

You may also be provided with a copy of the lenders comparison rate, which include both the interest rate and fees and charges involved with a particular loan product. This tool will help you identify the true cost of a loan, and works as a tool to help compare loans more simply.
Manage the process
Your mortgage broker will assist you in completing necessary paperwork should you wish to proceed with a loan, and will liaise with the lender on your behalf. This includes completing and submitting your home loan application, and the continuing communication between you and your lender until your home loan is approved and finalised. 
Your mortgage broker is also required to inform you of their complaints process. This is referred to as an Internal Dispute Resolution procedure.
Provide advice at every step
The loan process can be complicated and involved, and professional mortgage brokers can help you every step of the way, from getting pre-approval to the final settlement. Great mortgage brokers will provide home loan health checks later on too, after which they may be able to help you reduce your repayments, unlock the equity in your home, or consolidate debt. Should your goals or financial situation change, they can also assist with your refinancing needs.

The earlier in the process you contact your broker the less time and effort you will waste. For more information, speak to one of our consultants on Live Chat or call us on 1300 558 887.

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