Jun 15, 2021 11:24:05 AM

Use a Mortgage Adviser or Go Direct to Your Bank?

Topics: Mortgage Advisers, First Home Buyer, Buying a home in NZ 0

Mortgage Express branded mortgage advisers are often asked the question, “Is it better to work with a mortgage adviser or go direct to my bank?” And because we know your home is quite likely your single largest purchase – and certainly your biggest financial commitment – we believe that working with a mortgage adviser may provide you with options when it comes to finding the right home loan. Here are some of the benefits to using a mortgage adviser instead of going direct to your bank.

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1. Personal advice

As a first home buyer, working with a mortgage adviser is invaluable. Mortgage advisers are experts in the mortgage lending space, providing advice and guidance around accessing and using KiwiSaver First Home Withdrawal, First Home Grants, or family guarantors, to help first home buyers make the most of these deposit options.

Mortgage advisers work closely with you to understand your financial situation. Using this information, along with their own knowledge of the market place, a mortgage adviser is then able to match you up with a lender that will be prepared to lend based on your financial situation. Finding the right lender is understandably a big part of ensuring the success of your home loan application.

Because mortgage advisers are experienced in the entire process of finding and applying for a home loan, they can answer your questions, assist you with completing your home loan application, and help save you money by finding the best home loan deal available to you.

And when your home loan is approved, a mortgage adviser will help you set up the right mortgage product, from a fixed or floating interest rate, or a combination of both, to revolving credit or an offset account, all of which will help you manage your finances to your advantage.

2. Access to multiple lenders

Unlike a bank or lending institution which is guided by its own lending criteria and specific mortgage products, mortgage advisers have access to multiple lenders and lending solutions, and are committed to finding the best home loan to fit the borrower’s needs.

Because of this, a mortgage adviser is often able to find a lending solution for clients who otherwise may not meet banks’ specific lending criteria. In particular those who are:

  • Self-employed
  • Looking to refinance or refix existing home loans
  • Looking for construction finance
  • First home buyers
  • Struggling with bad credit
  • From New Zealand but currently living overseas
  • Property investors

3. Help with home loan applications

A mortgage adviser can help you with every aspect of your home loan application. From finding the right lender, to providing a checklist of the documentation you’ll be required to present, to writing a motivation that will help improve your application. And if your application is turned down, a mortgage adviser may be able to find an alternative lender – either a bank or non-bank lender – that is prepared to lend to you.

The right mortgage adviser for you

When choosing a mortgage adviser, we recommend you:

  • Shop around and do your own due diligence checks
  • Be up front
  • Obtain information about their fees, remuneration, and conflicts of interest they may have
  • Understand what they can and cannot advise you on
  • Find the right fit for you

Using a mortgage adviser saves you both time and money, and can be invaluable if you’re new to the property market. If you’d like to find out how a Mortgage Express branded mortgage adviser can help you, contact Mortgage Express today.