The best Christmas gifts are not the ones sitting under the tree. As banks put the squeeze on lending criteria, and the finance industry becomes increasingly complex, the best Christmas gift you can give yourself is to speak to a broker and join the 55% of Australians who have used a mortgage broker for their home loan.
Navigating a new lending environment
As banks tighten their home loan lending standards following the Banking Royal Commission, potential borrowers will find the home loan market a very different place to what it was even 12-18 months ago. A few of the ways lenders have limited the amount of lending to potential borrowers include closely scrutinising living expenses, and assessing your ability to service your loan at a higher interest rate than is currently offered.
The impact of these new restrictions is being felt by not only new borrowers but existing borrowers too. Borrowers who previously took out loans in a more relaxed market are facing an uphill struggle to refinance into better deals without the right advice.
The good news is that banks still want your business; they rely on it. The new lending landscape just means that it’s more important than ever to enlist the help of a home loan expert from Vision Property & Finance who helps borrowers navigate the complex process of applying for a loan.
Finding the loan that’s right for you in a sea of choice
There are more than 140 deposit-taking institutions – banks, building societies and credit unions – in Australia and literally thousands of home loan products. That’s a mountain of interest rates, terms, conditions, fees and application criteria to come to grips with.
A mortgage broker makes the whole process easier and can do some of the heavy lifting for you. We have access to a wide panel of lenders and shop around the home loan market for you, saving you time. More importantly, we explain how various home loan features work, and by taking the time to understand your complete picture, we help you choose the loan features that will be of most benefit to you now, and in the future.
Looking beyond the headline rate
With interest rates at their lowest for more than 50 years, there’s no doubt that there are some great rates available. When you’re in the market for a home loan it can be tempting to look for the loan with the lowest interest rate, but the lowest rate can often be at the expense of the best-value loan which offers all the features you need.
A Vision Property & Finance mortgage broker knows the ins-and-outs of the loan products available – the different types of lenders and deals, and any strings attached that can turn a ‘great deal’ into a financial misstep. Your mortgage broker will find a competitive deal that is right for your needs and guide you away from potentially choosing a more expensive or unsuitable loan.
Advice beyond product selection
As a home loan expert, your Vision Property & Finance mortgage broker knows what it takes to get your home loan application over the line with the right lender. We’ll show you how to tidy up your finances before applying for a loan, and identify any potential red flags that could work against you.
Even if you’re not quite ready to start applying for a home loan, speaking to one of our mortgage brokers should be at the top of your to-do list. We’ll help you figure out exactly how much you can afford to borrow based on your income, assets and liabilities, meaning that you’ll start your property search with a clearer picture of your home buying budget.
Brokers are with you for the long haul
Consumer confidence in brokers is at 95 per cent. Compare this with flagging consumer confidence in banks and it paints a stark picture of who the banks work for and who brokers work for. The team at Vision Property & Finance believes the difference in consumer confidence and satisfaction can be explained by the time taken by brokers to build personal relationship with people; something that can’t be replicated by banks.
At banks you can sometimes feel like ‘just a number’ as bankers come and go. We take the time to build a relationship with you so we can understand the deal that’s right for you. We don’t care which bank is named on your loan – we care only that the loan suits your needs and we will work with you over the life of your loan to ensure that it’s moving you closer to your financial goals.
The bottom line is that, with a skilled broker in your corner, you’ll be capably guided through one of the most important transactions you’ll make in life. And that’s one Christmas gift you can’t put a price on.
If you’re looking to take out a new home loan or refinance an existing loan, talk to us about how we can help you find the right property loan. Call us on 02 8354 3000 to reach Sydney’s office or 02 4014 1999 to talk to someone in Newcastle’s office. You can also contact us here.
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