In this guide we’ll highlight the key areas where a Mortgage Broker can help you arrange a Mortgage vs arranging this yourself directly with the bank.
Over 80% of Mortgages arranged in the UK are via a Mortgage Broker due to the significant benefits of dealing with a Mortgage Expert for one of the largest financial transactions you’ll make.
1. Advice, Experience & Recommendation
- Fully Qualified to provide Advice on mortgage products and ask the right questions to understand what is most suitable for you.
- Experience, it’s not every day you apply for a mortgage application but for a Mortgage Broker this is what they do everyday. Dealing and working with lenders to help customers arrange mortgages.
- Recommended the right mortgage based on your requirements, Advisers can help steer your decision-making utilising their expertise to avoid you making a rash decision on products that might not be suitable for you.
2. Researching a number of lending options suitable for you
A broker will take all the information collated in the fact-find and research a mortgage product Bespokely suited for you and your requirements, all lenders have their own policies and criteria and therefore your Adviser will check the following to ensure you have your mortgage approved before making a Recommendation:
- Affordability from your income and outgoings
- Income types, contract types, how long you’ve been in your role
- Property suitability for the lender ie. Flat, Construction Type
- Mortgage type ie. maximum loan to value for certain loan types (debt consolidation, home improvements)
- If you have additional properties what new lenders are willing to lend and how they’ll view your properties in the background
- Credit History, have you had any credit blips and if so if this is acceptable to the lender under their policies?
- What documents will need to be provided for the application to be approved
NB This is a non-exhaustive list and there are many other areas a broker will need to check prior to making a Recommendation for you.
3. Exclusive Mortgage Rates
Many brokers work under Mortgage Clubs or Networks, these clubs or networks have strong relationships with mortgage lenders and as a result design bespoke exclusive products only available via brokers that you wouldn’t be able to secure via the bank directly giving you a cheaper mortgage deal or mortgage flexible features like Free Valuation or Cashback on your mortgage deal.
4. Making & Managing the Application on your behalf
A Mortgage Adviser will make the Application to the lender on your behalf, taking the hassle away from you completing an Application form you’ve never completed before and worried whether you are completing it correctly that might impact the lender’s decision to approve your mortgage.
Here are some of the key areas:
- Completing the Lender Application for you
- Familiarity of Lender processing and what they require to get the mortgage approved
- Sending the documents to the lender in the right format and only providing what they need in order to not delay the application
- Access to Business Development Managers to help with case escalations
- Experience in dealing with Mortgage Underwriters
- Keeping you up to date, avoiding you having to chase the lender yourself
5. Support with third parties in the process
A Mortgage Adviser will do much more than the above, often there to ‘Hold your hand’ through an anxious period of your mortgage approval whether that’s securing the right rate, raising capital for your extension or purchasing a new home. These important financial decisions to make during these processes and having an Adviser to guide you is worth their weight in gold. They’ll also help with managing Solicitors/Conveyancers, Estate Agents and Surveyors – your Mortgage Adviser is the anchor point and glue or all those in the value-chain.