So you need a mortgage but where do you go directly to a Bank or do you need a mortgage broker ?
As recently as 2012 the majority of mortgages were taken out directly from a Bank or Building society. Fast forward a few years and things have changed dramatically, a combination of a growing loss of faith in Banks and Building society’s ability to give sound advice and much more complicated rules in the mortgage market have lead to 60% of mortgages now being taken out through a broker with many experts expecting this number to keep rising.
It’s pretty simple, Banks and Building society’s are always competing for your business after all lending money is how they make a living and for the most of us a mortgage is likely to be the biggest loan we will ever take out. As a result the mortgage market is constantly being flooded with great fixed rate, variable rate and cashback deals.
Your local Bank will only have access to their own range of products, in some cases it might be the best deal on the market but in most cases it won’t. Just recently 03/11/2016 a well known high street lender went on the warpath their goal was to increase their share in the mortgage market by offering fantastic rates and £2,000 cashback on all mortgages over £75,000 t&c’s apply. Now wouldn’t you feel pretty sick if you signed with someone else and missed out on £2,000.
A mortgage broker has access to hundreds of different lenders, we use the latest software to search through them all in order to find the best deal for you. We are constantly in touch with local Bank managers who keep us informed of any new products that are due to be released because lets face it we bring them a lot of business and on top of all that we never charge our clients a fee for our services.
It’s not just money a good mortgage broker can save you, lets talk about stress, time and effort. In order to illustrate the problem we will take a typical example.
Peter and Susan are first time buyers, they have found their dream home a new build property, they have paid £1,000 to book the site. The market price of their property is £100,000 and between them they have scrimped and saved a £5,000 deposit so now they need a 95% mortgage in Northern Ireland.
They book an appointment with a well known high street lender but there is a 2 week wait, eventually the time comes they sit down to explain their circumstances and the appointment is over in 5 minutes when the Banks representative tells them ” sorry we don’t offer 95% mortgage on new build properties.
Had Peter and Susan contacted an experienced mortgage broker first who had in-depth knowledge of each lenders criteria they would have known to apply to a lender who did offer 95% mortgages on new builds saving them a lot of time stress and hassle.
There are dozens more examples we could use just like this. If you have been turned down by your local Bank or Building society or just want to check the market for the best deals contact us today, we will assess your circumstances, find the best option for you and we never charge a fee.