What Exactly is a Mortgage Broker?

What exactly is a mortgage broker?

In simple terms the definition of a mortgage broker Belfast will be a certified mortgage advisor who arranges your mortgage on your behalf. They’ll look over your details such as your current employment status, the amount of income you earn and other pertinent information and help you choose the most appropriate mortgage for your needs. If you’re pleased with what they have to say, they’ll handle the mortgage application on your behalf.

In this guide , we’ll take a review the advantages and disadvantages of hiring mortgage brokers while identifying which types of buyers will benefit the most from their services.

Benefits of working with a mortgage broker

Exclusive mortgages that aren’t normally available

How? Mortgage brokers have excellent relations with lenders. They manage mortgages daily and, as a consequence certain mortgage lenders reward them by establishing exclusive mortgages specifically for their clients. This may include a lower rate of interest or a more favorable mortgage terms.

It’s absolutely free until your mortgage has been agreed upon

How? The majority of mortgage brokers won’t make a charge until your mortgage agreement is completed and done. That means you won’t have to pay anything until your mortgage term starts. This is crucial when you’re unsure whether you’ll get a mortgage in the initial instance – for example, if you’ve recently relocated or have a bad credit score. There’s no obligation to pay anything until your broker is able to obtain a mortgage contract.

It’ll cut down on time.

How? The process of applying for a mortgage may take a long time. Even if, you’ve done the research by using mortgage calculators and mortgage comparison sites – and discovered the perfect loan for your needs, you’ll require a mortgage lock.

It’s not a secret that getting a mortgage requires many documents including bank statements that are current and pay slips, as well as accounts, self-assessment SA302 year-end computations of tax… The list is endless. In the case of buying a home the time of application is essential.

If the dream house you want to buy has multiple offers You’ll have to move quickly. In most instances, sellers would like to see the mortgage contract in its entirety before they can officially agree to your offer and remove their property from the marketplace. A mortgage broker is able to speed up the process. In fact our mortgage brokers in-house have been known to make an agreement work within one day. If you’re in need of an immediate decision, work to the help of a broker.

Advantages of working with a mortgage broker

A mortgage broker may be charged a fee

If you consider all the hours an expert mortgage adviser spends on your application, it’s right that the service have a cost. However, the cost is typically minimal, particularly when you consider it against the amount of money you’ll save through the affordable rate of mortgage they’ll negotiate for you.

What are the best times to use an agent for mortgages?

Anyone can make use of an agent for mortgages – and because of the reasons mentioned previously it’s a good idea to give them an initial call to get advice on mortgages for free.

However, there are certain loans that can be more complex to deal with than others. That’s why it is better to leave them to professionals.

This could include:

Non-traditional structure mortgages

If the house you’re looking to buy is unique in any way, for example or if it’s wood frame construction or is listed as a property, you may have to obtain a special kind of mortgage that covers this. Non-traditionally structured properties aren’t a simple sell and, should your house ever be demolished the mortgage lender could struggle to find buyers for it, therefore, the majority of lenders won’t want to take on the risk.

The positive side is that mortgages are available for these types of non-traditional structures. A mortgage broker is experienced in the details in introducing you to most reputable lenders that offer the best rate and payment options to suit your needs.

Mortgage for self-employed

No matter if you’re a sole-trader or a contractor, director or partner in a company the mortgage application process will require somewhat different documentation than conventional mortgages. A mortgage broker will guide you navigate the process, revealing the specific requirements that must be included with an application for a mortgage.

Buy-to-let mortgage

If you plan to rent out your home when you’ve completed buying it, you’ll have in order to get a Buy-to-Let mortgage. In the same way, if you wish to transform your home into a rental then you’ll have to swap your mortgage for a mortgage that is buy-to-let. In any event the mortgage broker is able to assist and advise you if necessary.

Remortgage

If it’s to help with debt consolidation or just to make funds to fund the necessary home improvements Remortgaging can be an excellent solution and may even save you money. A mortgage broker can assist to simplify the process for the consumer, helping you understand your options to help you make an informed decision on the next actions.

First-time buyers mortgages

Okay, so first-time buyers’ mortgages are fairly easy to get arranged in the event that you are also in any of those categories mentioned. If you’re the first time buyer it’s likely that you’re unfamiliar with the process of applying for a mortgage. A mortgage broker can help simplify this for youby walking you through the options available and providing the information required to begin taking your first step on the ladder to homeownership.