Tag Archive: Mortgage brokers Melbourne

Don’t make these rookie mortgage mistakes

Mortgage Calculator

First-time homebuyer? Not sure what you’re doing? It’s important to not make rookie mortgage mistakes, especially your first time out of the gate. After speaking with some qualified mortgage brokers Melbourne, we’ve compiled a list of the top rookie mortgage mistakes people make and how to avoid them when purchasing your first home.

Common rookie mortgage mistake #1 : Finding your home first!

We all know finding your home is the most excited part of the process! However, the most important piece of the puzzle, as any qualified mortgage broker will tell you, is the financial (and far less fun) aspect. Without a pre-approval or approval, many lenders won’t even consider your bid. It can be incredibly stressful to fall in love with a home and have it slip through your fingers when you’re not approved for a loan or for as much of a loan as you’d need. Save yourself the heartbreak and speak with your mortgage broker first to gain pre-approval, then start looking for homes.

Common rookie mortgage mistake #2 : Not factoring in other potential costs!

There are a lot of mortgage calculators out there that allow you to plug in your income and calculate an estimated mortgage payment. Don’t be fooled! There is a lot more to a mortgage than just the simple payment. Discuss all potential costs with your mortgage broker and they will tell you there are many other, sometimes hidden, fees. Homeowner’s insurance, property taxes, utility payments… all of these things factor into your monthly expense and may significantly increase your cost. Before deciding on a price range, talk to a mortgage broker and figure out what you can afford. Click here for more!!

Common rookie mortgage mistake #3 – Missing documentation!

When applying for a mortgage, make sure to have all documentation ready to go! Start gathering all documentation between 3 and 6 months before applying to make sure you have time to get all necessary information. Good documents to have on hand are recent tax returns and W-2s (past few years), pay stubs, information on all current credit cards and loans as well as bank statements. Try to keep all information current, no more than 120 days old.

Common rookie mortgage Mistake #4 – Making another large purchase before applying!

Just having a pre-approval doesn’t guarantee a mortgage. Something mortgage brokers frequently say is that they see people apply for another large purchase after the pre-approval, thinking that means it is a sure thing. Financing a large purchase can affect your credit score enough to cost you a pre-approval. Once you’re pre-approved, make no major changes.

Common rookie mortgage mistake #5 – Not relying on the experts!

It is so important to work with qualified mortgage brokers, especially as a first-time homebuyer! All of the rookie mortgage mistakes can be avoided with professional assistance. They have been there, done that more and will help you avoid any potential pitfalls. Find a skilled, licensed mortgage broker and work with them closely. See more here: http://www.bestlocationhome.com/5-tips-finding-best-mortgage-lenders/

Please visit www.mortgagebroker247.com.au for more information!

 

5 Tips for Finding the Best Mortgage Lenders

Who thinks about using a mortgage broker when it comes to finding a mortgage lender? Unfortunately for thousands of home buyers they don’t think about a broker and it’s quite easy to see why. Spending money on a broker seems like a waste of time and money and when you’re buying a home, there is a lot you have to pay. However, everyone needs the best mortgage lender so that they get the best deal for their money. The following are just a few tips that may help when it comes to finding the best mortgage lenders.

Understand Your Limits

You absolutely need to know your finances. There is no point in going to a mortgage broker Melbourne without having a fair idea as to what you’re comfortable paying. Understanding your limits really means knowing how much money there will be available to repay the mortgage. Now, you can go to a financial adviser or do this yourself, it’s not too hard. Calculate the current bills you have with your monthly incomes and understand what money will there be leftover to comfortably pay the mortgage and have something leftover to put aside for any necessities. This will give you a great understanding of your finances and what you can actually afford to spend. It will help you later find a good lender.

Use a Mortgage Broker

Mortgage brokers are going to be able to help you find a suitable mortgage lender. These professionals are the very best people to talk to and probably the best avenue to explore as well. Most buyers find it’s a lot easier for them to find a suitable mortgage lender when they use the services of a mortgage broker. It is something you may want to consider and it’s an easy service to find as well. Check here !

Look Locally To Banking Institutes You Know

You can use a mortgage broker Melbourne but it’s a good idea to talk to your local bank or banking institute and find out what they have available. Obtaining a mortgage from a bank is slightly different from a mortgage lending company as the bank deals with a variety of areas. However, if you are a loyal customer to them, you might find it a little easier to obtain a mortgage from them. Look into what the bank has to offer so that you can get a good deal and potentially find the best lender too.

Compare Lenders Online

Monthly mortgage costs vary from lender to lender but in terms of the type of mortgage a lender can offer or provide it usually remains the same. It would be very important to compare what online lenders have to offer so that you can know whether they have the right mortgage for you. You can even as your mortgage brokers to do this or do this yourself. It is quite easy and you might find a few surprising details as well. It’s worth looking into nonetheless.

Research the Potential Mortgage Lenders

It’s not always easy to find the very best mortgage lenders whether you’re using a broker or going solo. There are many and it’s tough to know where to start but there are a few things that can be done to help if you are going solo. It would be wise to research potential lenders. This might sound boring but it’s very important and it will give you an idea as to their reputation and what they may potentially offer you. You can go through a mortgage broker and still research the lenders for yourself. It isn’t a bad idea.

Only the Best

Every home buyer wants their money to go far and buy a beautiful home. However, a mortgage is necessary and dealing with lenders comes with that too. Most dislike the idea of dealing with lenders but it can be a lot easier. Finding the best will make buying a home simple and smooth for everyone involved. Talk to a mortgage broker Melbourne to get some assistance in finding the best lender. Find out more in this site : mortgagebroker247.com.au

Choosing The Right Mortgage Broker Melbourne

Mortgage Broker

Buying a home will be one of the biggest and most important purchases you will ever make. When it comes to financing the purchase mortgage brokers can help you get the best deal. But wait; to get the best deal first you need to pick the right broker. Finding the right broker isn’t as easy as it seems. There’s a long list of mortgage brokers Melbourne, how do you go about picking the one that’s best for you? Applying for a home loan itself is a scary task. Searching for the right broker just adds to the torture. But we have just made this task easier for you. A mortgage broker is an invaluable member of yoursquad; we won’t let you go wrong with your choice regarding him/her.

Here’s what you need to watch out for:

  1. Their experience and reputation:

To ensure that you pick the most suitable deal yourself your broker should have several years experience and should be well qualified. You may ask your friends or people around you who have had a pleasant experience with any mortgage broker Melbourne. Alternatively, you can meet few brokers face to face to evaluate the broker market. You can also ask them to allow you to read their previous clients’ reviews as this would give you an insight into their relationship with their borrowers.

  1. Accreditation:

You should always check the mortgage broker Melbourne youare dealing with is    licensed. Your broker should be certified under the National Consumer Credit Protection Act, have a Certificate IV in financial services. It is also preferred that he/she has Diploma in Financial Services Mortgage Broking.

Moreover, it is mandatory for them to be anaffiliate of the Credit Ombudsman Service Ltd or any other external dispute scheme permitted by the ASIC. (They serve as a complaint body in cases of dispute)

  1. Their Lending Panel:

Check if they have a reputable lending panel. Ask for all the information regarding the lenders they have on board. If they are repeatedly using few particular lenders for most of their clients, don’t hesitate to ask reasons. Make sure you aren’t missing out on a better deal. Moreover, demand a hardcopy of all the documents, factsheets and contracts to ensure everything is going according to the plan. Save yourself from nasty shocks!

  1. What are their charges:

Most brokers don’t charge fees from consumers and are paid a commission by the lenders.  If fees are charged, ask them what commissions or profits they receive. Under the new legislation, brokers must reveal the commission paid to them by lenders, so you have all the right to demand this information. Make sure the fee you pay is fair and reasonable.

In addition to broker’s reputation and experience; their integrity and reliability are also strong indicators of their worth. If we had to recommend you a broker, it would certainly be http://www.mortgagebroker247.com.au/. They’re the most reliable brokers in town with the best offers. makes sure you’re not missing out on the best deals. With a panel of specialist lenders, they match your needs to the best deals.

The New Developing Mortgage Market: The Scrap Mortgage Debt Market

fixed rate mortgage

Occasionally during times in your life things don’t go according to plan, the loss of a job, illness or children going to college or university. These factors can take a crippling toll on your finances and ability to keep up with your mortgage repayments.visit the top article!

The first thing to do if you are in this situation is speak to your lender, there may be a clause in your terms which allows for provisions should these instances occur.

Most will assist by giving you some kind of payment break if you can rectify the situation within a few months. However, they won’t be lenient for too long, they want their money back one way or another. Banks are not as open to loan modifications and re-mortgages as they once were, having been burnt before, therefore if you find yourself in a dire situation your options do seem limited.

Now comes the rise of the new developing mortgage market – the scrap mortgage debt market. They will approach the lender and offer to purchase the debt at a reduced rate. Once they have obtained the debt and the bank have signed off on it, all they want to do is foreclose on the property.

They are able to reap sizeable rewards because they purchased the debt below market value, selling at the market rate nets them a tidy profit each time. The bank is also able to collect on the loss though insurance funds, they have no desire to modify a mortgage for the customer as they can make the money back in other ways. So, the owner loses their home because they had an unfortunate run of luck and the lender and mortgage debt buyer both profit.

The market is increasing rapidly and there are no provisions to slow it or quash it. It could spiral out of control, with a deflation in home valuations and a huge problem with people being rendered homeless.read other info coming from http://www.bankrate.com/finance/mortgages/mortgage-analysis-063016.aspx

For customers faced with a foreclosure and challenging a scrap mortgage debt buyer, there is legal advice you can take. Don’t be backed into a corner if these people get aggressive – remember short-term profit is their game. Keep that in mind and know your rights – it’s never over until you look at and discuss all of the options with your mortgage broker or defense attorney. Your mortgage broker, depending on their relationship with your lender may be able to vouch for you and explain your situation rather than it just going through the banks standard process. It may work, it may not, but every option is worth a try if you have reached this stage. They can also go through your entire loan contract terms with you, there may be a clause you have missed which allows you to stay in the property until the situation is resolved.

fixed rate mortgageWith one in ten homeowners late paying their mortgages, this is a scenario which looks only to get worse. The scrap mortgage process is hardly ever going to sit in favor of the homeowner with everybody else standing to make a profit when the property is sold. It’s a complex process and can be difficult to understand – do your research, discover what your rights are and challenge, if you have the time and know how to do so. Once an attorney gets involved in the process in certain circumstances you may not be evicted from your property until the matter is resolved – by this time you may be back in work or recovering from illness and be able to put the matter to bed once and for all.

Relying On a Mortgage Calculator Can Be Risky

Mortgage Calculator

Mortgage calculators are a great way to take into account your borrowing capacity in a couple of simple clicks. Add the amount you want to borrow into the calculator, followed by the length of the mortgage term, plus the interest rate incurred gives you a ball park figure of how much you will have to repay to the lender each month.

But can you rely fully on the mortgage calculator for accurate results? It’s a difficult question, because even though you have chosen your dream property and now you know how much you can afford for your mortgage each month – it should be a walk in the park, yes?

Unfortunately, relying on a mortgage calculator alone isn’t a great idea, the fields are limited plus your lender takes other factors into account. For example, it is unlikely any lender will offer you a mortgage if your credit history is less than perfect. If you have defaulted on payments in the past but managed to pay the debts off and haven’t had any problems since, you may scrape through. You have to be able to prove you are a reliable and trustworthy candidate for them to even consider lending you the funds. The use of a mortgage calculator however accurate, and credit worthy you are today, will not automatically guarantee your loan approval.

Another downside of relying on the mortgage calculator alone is its inability to take into account varying rates over the loan term. For example, you may be offered a 3 year fixed APR at 3.8% but after that it reverts to a variable rate. If at the end of your fixed term, the variable rate is sitting at around 4.5% it can hike a large increase onto your monthly repayments.

This should always be considered. Using a qualified mortgage broker will help you determine what you can afford and also calculate with you how the amounts will alter over time, taking into account your circumstances and loan offer. They will also assist you in completing the paperwork, one small slip in annual earnings, omitting a zero in error will have your entire dreams crashing down around you. Double check all of your paperwork prior to submission and ensure the information you are giving to the lender is 100% accurate.

Mortgage CalculatorMortgage brokers are also beneficial for other reasons, if they have been working in the industry for a while you will find they have good relationships with specific banks and lenders. If this is the case they will perhaps have a loan agreement for a limited period which is unique to them, meaning you won’t achieve the same terms elsewhere. They also become aware of how the lenders credit score your application. Each lender has a specific algorithm which profiles their ideal customer, some are more lenient than others and will offer a mortgage to you if you have a less than perfect credit history. Your mortgage broker will know this and can assist you, taking away any stress of searching for weeks just to be turned down after going through the entire paperwork process.

So, yes, using a mortgage calculator is fine, if used to give you an indication of what you could possibly borrow and the repayments, but remember there are many more factors to consider before you sign on the dotted line. Mortgage brokers Melbourne have been assisting with the customer lending process for years, contact them via www.mortgagebroker247.com.au and they will be able to talk you through everything you need to know.