Whether you are looking to purchase a house, refinance your home, or buy an investment property, a mortgage broker can help you find the right mortgage for your real estate needs. However, many people are not exactly sure what a mortgage broker is and why they need to work with one when they are buying a property.
Mortgage brokers in Toronto help with your putting your financial interests first and by negotiating the best mortgage for your situation. They do so by utilizing their industry knowledge and resources that are not available to the general public. Here are answers to a few commonly asked questions that explain the benefits of using a mortgage broker and what they do.
What is a mortgage broker?
Mortgage brokers in Toronto are licensed professionals who will work with you to understand your financial situation and compare mortgage options from a variety of lenders to negotiate the mortgage that will best suit your short-term and long-term financial needs.
Can’t I get a mortgage without a broker?
It’s no secret that you can approach mortgage lenders directly to get a mortgage. However, every mortgage lender has its own eligibility requirements and uses its own pricing model, so the rates and terms can vary dramatically from one lender to the next.
So how do you know you are getting the best mortgage to address your financial needs?
Mortgage brokers work with dozens of lenders (including lenders that do not work directly with applicants) to find the best rates for you. More importantly, they will review the terms of each option to help ensure you are getting the best deal. For instance, there may be an option for a mortgage with a low interest rate, payment flexibility. Mortgage brokers are able to customized a mortgage fitted to suit your needs, whether it is low interest rate or flexible payments, a mortgage broker can help get the job done.
Can’t I just contact multiple lenders myself to compare options?
Yes, you can apply for a mortgage directly through several different lenders and choose the one that appears to be best for you. However, it is a very time-consuming process, and you will need sufficient expertise to obtain the most favorable terms for your individual situation. Rather than taking a risk that can have serious financial consequences, you can benefit from the deep industry knowledge and unbiased recommendations of an experienced mortgage broker.
Additionally, if too many lenders pull your credit report over a short period of time, your credit score will decrease (which can negatively impact your interest rate). By using a mortgage broker, your credit report will be pulled only once, which will not impact your credit score.
How much does it cost?
Mortgage brokers generally get paid by the lender for successfully negotiating your mortgage, so there is no cost to you. However, you should pay close attention to your agreements to make sure there are no surprises.
How do I make sure I have the right mortgage broker?
Partner with me to take advantage of the many benefits of using a mortgage broker in Toronto. Contact me today to get a mortgage through a lender with no hidden fees or last-minute changes.