Is Going with a Mortgage Broker Right for You?

Let’s face it: shopping for mortgages is tough. There’s a lot of information to sift through and a long checklist waiting to be done. You’ll use the excuse that you’re too busy and keep procrastinating. This will lead you to making the wrong decision by going with your bank or a mortgage broker who may not be offering you the best deal. But, mortgages don’t have to be tough. Or boring. Think of it as paving the way for a new life or leading your company into the great unknown.

So, is going with a mortgage broker best for you? Walk with me…

Assess What a Mortgage Broker Does

Canadian mortgage brokers are licensed and must maintain their accreditation. This means they are always in the know of the latest information on the Canadian real estate and mortgage financing market. Canadian mortgage brokers provide you with expert advice according to your requirements, the market updates, rules, and regulations.

Canadian mortgage brokers have more contacts among lenders because some them only work with brokers to get good clientele. Because mortgage brokers work with so many lenders, they help you get offers from exclusive lenders and protect you from shady ones.

Mortgage loans can have fees attached to them set by the lender, such as:

  • application fees. This type of fee is upfront and is for the lender’s efforts of processing the application. Sometimes, it’s combined with the origination fee.
  • origination fees. This type of fee acts as a payment for delivering the loan.
  • appraisal fees. This type of fee is for an appraiser to evaluate the property you want to purchase.

The good news is, a Canadian mortgage broker works with lenders to waive these fees, which can save you hundreds and even thousands of dollars.

What You Should Do

Get to know your mortgage broker by asking them about their years of experience and qualifications. It’s also best to do some research into lenders and the market for the latest information so you can see if your mortgage broker has been maintaining their accreditation.

Mortgage brokers are usually paid a finder’s fee by the private lender, which may be based on the mortgage amount they offer you. This means mortgage brokers may not secure the best deal so you need to shop around to confirm that, as well as use a mortgage calculator.

Keep your eyes and ears open for the term, “good faith estimate” (GFC). If your mortgage broker uses this term, this means that they think the lender’s offer will include the final terms of the deal. In reality, this does not always happen. When lenders receive your application, they may change the terms and you will be forced to pay additional fees or a higher mortgage rate.

Talk to Unbeatable Mortgages

Our door is always open to discuss the loan you need or to help you found out more about our processes. Unbeatable Mortgages is focused on our customers as individuals so we do our best to save you money while providing an ideal rate. We’re located in Alberta, so get in touch with us today by phone at (403) 637-0140, or fill out our online form.

If you want to get started, apply now!