How Many Choices Does Your Mortgage Broker Give You?

Does your mortgage broker have your best interest at heart when making loan recommendations – or is he or she more intent on trying to fit you into a loan package that may not be the best solution for your situation?

Whether you are in BC or Florida, a good mortgage broker will have multiple loan options for you that will take your wants, needs, and financial goals into consideration.  Otherwise, you’ll run the risk of not reaching your financial goals nearly as quickly.  

To help prevent this from happening, there are a number of steps you can take as a smart borrower:

• Ask Questions – You may feel a little uncomfortable asking your mortgage broker tough questions, but as a smart loan consumer, you owe it to yourself and your financial future to get the right answers before making the decision to move forward with a home equity loan.  

Why is this loan a good idea for me?

 Why a 15 year term instead of 20?  

Do you work with several lenders – or just one?  

How many loans have you written for this lender?  

You may wonder what right you have to ask questions of your mortgage broker, but remember:

“A good mortgage broker will have the answers to all of your questions.  You deserve the right answers to ensure that you get the very best home refinance or home equity loan for your situation.” 

• Work With a Pro – An experienced, well-trained mortgage professional will always put your needs above his or her own.  Some loan packages can net the mortgage broker a few hundred more commission dollars, but if the loan package isn’t in your best interest, you could wind up paying thousands more dollars in interest, fees, and other charges.  

These additional costs will take place over a period of years, so the difference may seem inconsequential to you at first. Keep in mind, though, an extra dollar on the front end of a home refinance or home equity loan can cost you several dollars before it’s all said and done, so make sure you’re not spending more than you have to.  

• Stay on Top of Your Credit – Make it easier for your mortgage broker to give you multiple lending choices – and that you can qualify for the best loan package available.  Before applying for a loan, make sure that your credit report gives potential lenders an accurate picture of your financial situation.  If your credit report is loaded with errors or has lots of negative entries, it can be much more difficult for your lender to match you with the best loan for your situation.

If you haven’t seen your credit report this year, order a copy. There are many companies in Canada such as equifax.ca and transunion.ca Read through it carefully and make sure it puts you in the best light possible.  You’ll be glad you did, because you’ll improve your approval chances and your odds of getting the best interest rate you can qualify for.

A good mortgage broker will do a good job for you and will keep your needs first and foremost in his mind. Make their job easier by following these tips and by being honest about every question you’re asked. You’ll be glad you do each month when you’re writing out a check to your lender, especially when you’re in the right loan for your situation.

Need to unlock your home's equity - but have a few questions? Why not consider a free private email consultation with me, Darrin Roseborsky? There's no obligation or commitments to worry about. Just helpful answers to your questions. Use the short form in the top-right corner to get started. And in a few minutes, you'll have the answers to all of your questions.