When You Should Speak To A Mortgage Broker

If you are trying to refinance your home, or purchase a new home out right, speaking with a mortgage professional is something that you must do. These are loan officers for different companies that provide mortgages for homebuyers, as well as homeowners that are looking to refinance or obtain a home equity loan. Trying to sift through all of the advertisements that you will find online can be problematic. You will not know which company you can trust. There are also specific reasons that you will need to speak with a mortgage professional, many of which will require speaking to only the best ones.

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Why Do People Contact Mortgage Professionals?

There are many reasons that you may need to currently speak with a mortgage professional. First and foremost, you could be tired of renting. You know that your monthly payments are merely allowing you to live in your rental or apartment, and you would prefer making payments on an investment such as a home that you can purchase. Another reason is that you may have children that are going to college. You will need to take out a home equity loan to pay for their tuition. Additionally, you may have a couple decades of equity built up and you may need to utilize that for a home renovation project. For all of these reasons, speaking with a mortgage professional will be imperative.

How To Find The Best Mortgage Company

If you currently work for a business that has a credit union, they will likely have connections to discount mortgage lenders. By saving a single percent on the interest-rate for your mortgage, you may end up with payments that are hundreds of dollars less. Additionally, you may have friends or family members that have recently purchased a home and they were able to get a good rate. If they have already been successful, and the mortgage company that they used has stellar reviews, you may want to speak with a professional at that company to get your mortgage or home equity loan.

How To Know You Have Found The Right Company

You will know that you have found the best business based upon three factors. First of all, they will be offering home loans that are at a very low interest rate. Second, the payments that you will make will be more than affordable for you. This could be on a 15 or 30 year mortgage. Finally, they will make the entire process extremely easy. The loan application should be painless to complete. Additionally, this business may also have a reputation for providing the home equity loan, refinance loan, or the home mortgage in just a few days. All of these factors will contribute to working with this particular company.

If you are ready to contact a local mortgage broker, you now know how to find a business that can offer you excellent deals on home loans of every possible type. Whether you need to refinance your loan to get a better interest rate, or take advantage of the home equity that you have built up, you will locate one of the best home loan providers locally or online. By taking the extra time to do this research, you will never have to worry about whether you are making the right decision. You will know that you are getting a fantastic deal on a home loan that can help you purchase your first house, or simply allow you to access home equity that you have built up over the years.

admin / April 23, 2019 / Mortgage Brokers

Why Do Mortgage Rates Go Up and Down?

A simple guide to understanding why rates go down or upThinking of buying a home? Interest rates related to mortgages are known to go up and down frequently, changing each week and even fluctuating dramatically as the decades roll on. Why is this?

1. The Federal Reserve

The Federal Reserve is responsible for keeping the balance between the nation’s unemployment rate and inflation. When the economy begins to not do so well, and a higher number of American citizens are unemployed, rates lower. On the other hand, when the economy shows signs of progressing well, mortgage rates are higher in order to protect this balance.

2. Competition Between Lenders

In some areas, the number of borrowers is lower or the market is known as “a buyers’ market.” Those who are selling homes, or lenders offering loans tied up with mortgage rates, are dealing with far less potential clients and a higher amount of competition with each other. This is when mortgage rates will be shown as lower in these areas. On the contrary, when there are far more buyers than there are lenders or other means of home loan competition, mortgage rates may be seen as higher.

3. The Nation’s Economy

As mentioned earlier, mortgage rates and their fluctuation largely depends on the economy and keeping a good balance throughout the nation. Therefore, the state of the economy is a very significant factor in interest rates at any given time. The number of unemployed individuals contributes to the economy and rate fluctuation, as does the amount of individuals demanding a home to live in. Simply put, if citizens are not doing well financially, they are far less likely to buy a home. And if fewer individuals are able to purchase a home or are seeking to apply for home loans, mortgage rates will differ than when more citizens are seeking to buy a place to live.

4. The Economy of the Globe

A surprising contributor to the fluctuation of mortgage rates is the global economy. If foreign concerns, such as outside fuel costs, contribute to the boosting of our nation’s economy mortgage rates are likely to increase. Of course, the opposite is true – if foreign affairs contribute to the fall of the economy’s success rates are likely to drop.

In conclusion, there are a variety of factors that determine whether or not mortgage rates rise or fall. Therefore, examining the economy and the rates in your area will aid you in selecting the right time to purchase a home.

Article donated by https://mortgagebrokermareeba.com.au/

admin / April 16, 2019 / Mortgage Brokers

What is a Mortgage Broker

What Is a Mortgage Broker and Why Should You Use One?

Are you planning to purchase a house with the assistance of a mortgage broker but are on the fence because you do not know about their role and whether they can be beneficial? Well, if you have decided to purchase a house and would like to qualify for a loan that meets your needs, then this read will give you a better understanding on the array of benefits that come with using a mortgage broker.

What is a mortgage broker

So, what is a mortgage broker?

Simply put, a mortgage broker is a middle person who brings mortgage lenders and borrowers together. Over the course of a loan process, the specialist handles the whole correspondence between you and the lender and ensures that it runs without hiccups. In other words, you’ll have no direct contact with the lender and the entire communication will be channeled through the broker.

The mortgage broker does not rely on their funds to lend you the money, but rather compile the required paperwork from you and pass it to a bank or lending institution for underwriting as well as approval.

Now that you have learned the role of a mortgage broker, here are some reasons to use their services.

Benefits of Using a Mortgage Broker

They Give You Choice

An excellent mortgage broker has a huge panel of lenders and numerous varying loan types for you to choose from. This gives you the ability to pick one that is best suited for your needs.

Save You Time

Given the numerous options available in the mortgage world, it can become quickly overwhelming trying to figure out which is best for you. Of course, you can conduct research on the subject, lender and their products on your own, but if you are looking to save time, then it’s best to work with a mortgage broker.

Help Avoid Pitfalls

Most mortgage products out there seem to offer excellent deals but have hidden fees, charges and penalties that may not be easy to spot if you do not have knowledge of the field. Also, some may not offer flexibility in the future, which may put you in a hole that hard to climb out from. A reputable mortgage broker can help you avoid taking a mortgage loan that you might regret down the road.

Find The Ideal Loan

The best deal isn’t usually the one that comes cheap. Your mortgage broker will take a look at your situation and future plans and use them as a basis to recommend the loan that its ideal for you. Having an ideal mortgage that works for you can help you build wealth and even save money.

They Handle Everything

One of the most appealing things about working with a mortgage broker is that they will prepare your application, submit it and then work with the potential lender throughout the entire process up to settlement. All you will have to do is submit the required documents and sign the papers.

These are the many benefits of using a mortgage broker. Hope this read has been helpful.

admin / March 12, 2019 / Mortgage Brokers

Mortgage Insurance – What It Is And How It Works

Once you purchase a house, and you have a mortgage, you are going to need to get mortgage insurance. This is a type of insurance that is mandatory depending on what country you are in, one that is used to pay off the totality of the loan, which includes the principal amount plus interest that has accrued. You can typically get this from the insurance company that you are working with for your car insurance, or any other insurance that you have. It is recommended that you get multiple quotes from different companies just to make sure that you are getting the right price. Let’s discuss what mortgage insurance is, how it works, and where you can find the lowest possible price on this type of insurance.

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An Overview Of Mortgage Insurance

As mentioned earlier, mortgage insurance is designed to pay off a mortgage in the event that someone is not able to do so. In some cases, this could be the death of the individual that owns the house, and is also the person that is on the mortgage insurance itself. In the event that the mortgage needs to be paid off, the insurance company will pay the loan off, leaving the house free and clear. The other reason that mortgage insurance may be activated is due to a default on the mortgage loan. What you will need to do is find a company that is well-known for not only offering low prices and premiums for the mortgage insurance, but a business that is also reputable and will pay off the loan when the time comes.

How To Get The Best Deal On Mortgage Insurance

To get the best possible deal, you need to work with a broker that can sift through the many different companies that offer this insurance to find those that are offering the best deals. What you are specifically looking for is a company that will cover the total cost of the mortgage you have taken out, and offers you the lowest premiums available. Once you have found that, you can take out this insurance and feel confident that your mortgage will be fully protected.

After you have done your research, or if you are working with a mortgage insurance broker, you will soon have a policy that will cover the loan on your home. This is something that you should do in advance to purchasing a house. It is mandatory that you have this before you move in, requiring most people to spend at least a week contacting different companies in order to find the best possible insurance premiums. If you do work with a mortgage broker, or if you use a website online that can provide you with quotes, this will certainly speed up the process.

If you are based in Sydney we highly recommend Mortgage Brokers Northern Beaches.

admin / October 17, 2018 / Mortgage Brokers, Mortgage Insurance

The best time to sell your home

The best time to sell your homeWhen Is It The Best Time To Sell Your Home?

Selling your home is not just a financial decision, but an emotional one that can negatively impact your stress levels if great care isn’t taken during the selling process. Bear in mind that it’s important to evaluate certain factors before making the final call to list your home for sale. When it comes down to it, you have to ask yourself: what is the local real estate market like? You may be ready to let go, but buyers may not be willing to pay your asking price.

When To Sell During The Year

Careful consideration must be given to when you’re looking to list your home for sale, and many studies support the idea that people will first start looking for homes in spring when the weather isn’t so bad. It’s common sense that listing your property during the warmer months of the year will yield better results than looking to unload during a snowstorm. Of course, experts do agree that taking the time to research local real estate trends does help as your locality may still have a booming market in the fall!

Zillow is a great website that you can use to search for sold listings in your city and to help draft an idea of when to list your home. Best of all, the website provides cold hard facts and you don’t have to go with your gut feeling to know whether it is or isn’t the right time to list. Don’t forget that if you live in an area with a year-round warm climate, your selling window may significantly increase.

When The Time Is Right For You

Listing your home for sale is also an emotional process and not one that can be readily analyzed by looking at Zillow data. You need to consider financially and emotionally whether or not the decision is right for your family. For example, if you need to relocate for work or your family is growing, it makes sense to sell your home as soon as possible, but in some instances, you may not even have a timeframe in mind.

Only you can personally determine how much of a connection you have to your home. If you grew up in the house or watched your children leave the nest, it may be harder to let go— and that’s okay! You can give yourself plenty of time to sort through your emotions and to rid yourself of accumulated clutter over the years.

Does the home still work for your personal needs? If you’re an empty nester, you may not need all of the space. It’s important to look at what a home has to offer in terms of potential when considering whether or not it’s the best time to sell.

Selling a home and getting rid of the past can be an emotionally draining journey. It’s doubly hard if you need to make the choice due to finances and not necessarily because you want to. At the end of the day, listing the home during the warmer months of the year and sorting through your emotions can help you gauge when you should sell.

In Sydney and ready to buy? Mortgage Broker Northern Beaches can help you to find the right loan for you.

admin / November 28, 2017 / Mortgage Brokers, Property Investment, Residential Loans

The Benefits Of Using A Home Loan Calculator

Loans of any kind are one of the biggest sources of stress for anyone. Keeping up with them and getting them paid off can be incredibly daunting. All of the fine print and interest rates do very little to make it any easier. There may be none more important than a home loan, but fortunately there are home loan calculators to help you keep track of exactly what you need to pay and how long you’ll need to do so. With just a little information at the ready, you can greatly diminish the stressful nature of making sure your home loan payment is being dealt with properly.

First of all, these days there are plenty of home loan calculators available for download right on your phone or laptop. As long as you know your total amount owed, the interest rate, and the current term, you can simply plug them in and get immediate access to all of the pertinent details. Alongside simply knowing what you’re going to need to pay next, you’ll also be able to look at projections that will give you the full scope of the necessary expenses ahead of you as you continue to deal with your loan in the future. This is all literally a click away, and it allows you to know exactly what you’re dealing with at every turn.

The value of the detailed information possible with a loan calculator can’t possibly be over stated. The data available to you will allow you to check out a fully realized picture of your home’s affordability, the principal, interest, and even total paid and remaining amounts owed at any time, and how much you’ll actually spend should you opt for minimum payments vs speedier payment plans. You can even look at how the expenses look over a certain set of time. For instance, if you want the exact report of what you’ve paid for the last year compared to what you’re expected to pay over the next, it’s going to be right there for you to review.

Having ready access to all of this data regarding your home loan is simply invaluable. Never again will you be left in the dark on exactly where you stand and what you’re expected to pay at a given time. Once you have the full picture in front of you, you can also more easily prepare to start putting it all behind you once and for real.

That old saying about knowledge being power couldn’t possibly be truer when it comes to finance. If you know exactly what’s going on with the oft-stressful staples of home ownership like mortgages, it’s going to be considerably easier for you to meet the corresponding financial responsibilities. If you’ve been struggling to deal with your home loan payments for some time now, it’s time to give yourself the chance to finally see the finish line. Do yourself a favor and invest in a home loan calculator. Even if you only download a simple app, it cannot possibly be recommended enough.

Follow this link for a simple Home Loan Calculator.

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admin / July 8, 2016 / Mortgage Brokers / 2 Comments

Why NOT Using A Mortgage Broker Can Be The Worst Decision You Could Make

Mortgage Brokers

Buying a home is by far one of the most important purchases you’ll ever make. Most buyers spend weeks, maybe even months looking for the perfect house. But when it comes to financing that purchase, all too often, the buyers are willing to take the first loan that comes along.

This mistake can cost thousands of dollars in over paid fees and interest over the life of the loan.

Many buyers make the assumption that if they go into their local bank, they are more likely to get a loan approved because they are a current customer. They may think that local bank are faster. Both of these assumptions are also costly mistakes.

The truth is that a savvy buyer pays more attention to the loan than they do the house itself.

What options do buyers have? What is the difference between the local bank and a mortgage broker?

To sum it up, the difference is CHOICE and OPTIONS.

When you walk into a bank, whether it be a small credit union or a well known, nationwide bank, you are negotiating with one employee that is authorized to make you a mortgage offer. They’ll pull one credit report and decide whether they want to offer you a loan or not. If they choose to offer you a loan, they’ll most often give you one set of terms, and you can take it or leave it.

Mortgage brokers, on the other hand, do not work for a bank.

They work for you, the buyer.

Since mortgage brokers do not represent any one bank, this works in your best interests. How so?

Let’s take for example a buyer with a very good credit score and a down payment. A mortgage broker can shop around, so to say, for you, with literally dozens upon dozens of different banks, so that you get the best offer.

If your credit is not that great, you MUST use a mortgage broker! It would take you countless hours to go to all the local banks applying for a loan, not to mention it would pull your credit down even further with all of the credit inquires! In addition, you wouldn’t even know about nation wide banks that are willing to lend. However, armed with your mortgage broker, they can do all of the work for you, and your chances of getting a loan increase dramatically.

Why can we say the NOT using a mortgage broker could be the worst decision as you buy a home? Simply put, because you need to hire a broker to get you the best loan. You DON’T need a bank employee that represents the bank.

Using a mortgage broker will save you money, time, and frustration. And at the end of the day, you’ll be able to feel confident that you made the right choice.

admin / April 13, 2016 / Mortgage Brokers / 2 Comments