An Interview with Vision Mortgage Broker, Preben Warren

The Australian Mortgage Industry can be an exhilarating roller coaster ride; constantly changing, ferociously competitive, and always exciting. In the last few months alone Mortgage Brokers around the country, and especially in NSW, have witnessed change at a breakneck pace.

Keeping Informed About Industry Changes

Staying on top of these changes is crucial for success as a Mortgage Broker.

This is a challenge familiar to Preben Warren, an Accredited Mortgage Broker with Vision Property & Finance, based in their Newcastle office. He finds keeping up-to-date with credit policies, lender products, and developments in the ever-changing financial sector, a constant thrill.

Though, it hasn’t always been this way. He remembers his first experience consulting with a client vividly. It is a memory far removed from today’s confident, effusive and knowledgeable broker.

“My first memory of speaking with a client was one of fear. I was so nervous. I wanted to be sure I was doing a good job of helping the client, but at the same time, I was aware of not trying to give advice I am not qualified to.”

Giving you the Right Advice

Very often clients are so excited at taking action on their home ownership dream they will ask their broker other questions about real estate and investing in property. Strict rules mean mortgage brokers must limit the kind of advice they give.

“I’ve had situations where people have asked me to look at the contract for sale on the property. In another case, I was asked whether a particular area was good to invest in. In these circumstances as a broker we do need to be careful about giving real estate or legal advice, however, usually if we can’t answer the question directly we know where we can get the client the help they need. Certainly, when it comes to the question of whether you can do better with your home loan product, how to manage it better, and questions around what is the right product for the client, this is something we can definitely help with and find something that is perfect for the client’s needs.”

The recent changes announced by both Federal and State governments has kept Preben busy as Vision has seen an influx of people interested in becoming a home owner for the first time.

“We have seen an increase in people wanting to find out if we can help them get into the market. Changes from the Federal and State governments, especially with the introduction of the First Home Buyers Superannuation Saving Scheme, and Stamp Duty exemptions, have definitely given people a push to find out more.”

Good Brokers Can Handle Any Inquiry

Preben’s five years with Vision has given him wide-ranging experience dealing with clients from all kinds of backgrounds and having different property investment goals.

“I’m not really a specialist dealing only with one narrow area or market segment. I have seen and dealt with most kinds of things you see in a mortgage brokerage. From veteran investors with big portfolios, to developers, people who have paid off their first home and are looking for an investment property and First Home buyers. I’m able to handle pretty much any inquiry.”

Every so often Preben will see something that takes all of his knowledge and skill to succeed. With Preben’s help, they have been able to achieve a good outcome.

“One of the more challenging situations I have experienced is where a client had starting building but hadn’t received approval for Finance yet. It was a race against time to get everything organised, though somehow we did it.”

Preben’s 3 Tips for Home Loan Success

For people who have never been through the process of applying for a home loan, it can seem daunting. Preben has some recommendations for First Home buyers experiencing this for the first time.

Maximise Income, Minimise Expenses & Reduce Debt

“Firstly, you want to maximise your income and minimise your expenses.  If you can earn a little more income that is great; otherwise, you need to take a look at what outgoing expenses you can cut. Do you really need to eat take-away food several times a week? Can I eliminate debt by paying it off sooner?”

“There really isn’t any good debt when it comes to applying for a home loan. You really want to reduce or eliminate any debt you have before applying.”

Can You Save Quicker Than the Market Rises

“The next recommendation I have is around saving. Should you wait longer and save more? If you can save quicker than the market grows it might be beneficial to hold off buying now and save more. If you can’t it can work out better to try and get into the market now because if you wait the market may rise faster than you can save and you will end-up paying more.”

Educate Yourself

“Finally, I would recommend that people educate themselves as much as possible. Buying a home is usually the largest expense someone will encounter throughout their lives. It’s important to get it right, and there are literally thousands of information sources out there people can use to learn about the housing market, the area they want to buy in and the right kinds of  financial products available for their needs.”

Are you interested in owning your very own home? You can speak with Preben about getting started in home ownership by calling Vision Property & Finance on 1800 004 663.