What is a mortgage broker?
A Mortgage Broker also known as a Mortgage Adviser, is a specialist with in-depth knowledge of the mortgage market. They will review the mortgages available to you based on your personal financial situation and apply for one on your behalf.
Mortgage brokers can save you time by telling you which lenders are likely to accept you and how to improve your application, and can speed up the process by dealing with the paperwork and “red tape”.
Who can use a mortgage broker?
Anyone getting a mortgage can use a mortgage broker.
Whilst we would always recommend taking professional mortgage advice, getting advice can be particularly helpful if:
- you would like advice on mortgage options
- you are remortgaging and want to check you are on the best deal
- you rely on irregular freelance or self-employed earnings
- you are raising a mortgage on a second property to pay the deposit on the first
- you need a bridging loan
- you need a self-build mortgage
- you have unusual circumstances
- you want a stress-free mortgage application process!
Why use a mortgage broker?
For most of us, a mortgage will be the biggest financial commitment we will ever make, so it’s important to get it right.
But if you’re a first-time buyer or someone who hasn’t used a mortgage broker before then it might be easy to assume that a mortgage broker’s fee is one cost that you could do without.
However, it is important to remember that as tempting as it might seem when costs are tight, choosing not to take any mortgage advice means you take full responsibility for your mortgage decision and could end up with:
- The wrong mortgage for your situation, which could have a serious financial impact in the long run.
- Being rejected by your chosen lender, because you didn’t understand the restrictions clearly or the circumstances the mortgage was designed for.
“Lenders (usually banks) and brokers must offer advice when they recommend a mortgage for you. They’ll assess the level of mortgage repayments you can afford, by looking at your income as well as your debt repayments and day-to-day spending.
This means you should end up with a mortgage that suits your needs” – Money Advice Service
What are the benefits of a mortgage broker?
- Mortgage brokers are trained, qualified professionals with extensive knowledge of the market and the latest mortgage products and deals. We will tell you which mortgages you’re likely to get, and help you take all the costs and features of the mortgage into account, beyond just the interest rate.
- Working with lenders across the market day-in, day-out, our mortgage brokers offer advice and guidance throughout the entire process and will also act as your advocate with the mortgage lenders, making it less stressful, reducing paperwork, and avoiding any unnecessary delays.
- Duty-bound to help you in your mortgage buying decision, we will only recommend a mortgage that is affordable and suitable for you. And if something goes wrong, we are answerable to the Financial Ombudsman.