When should I Engage a Mortgage Adviser?
In short, the answer is “Now … at the start of your home-buying journey.” A mortgage adviser can serve as a valuable ally!
Embarking on the exciting journey of homeownership is a significant milestone in anyone's life. Whether you're a first-time buyer or a seasoned homeowner, the complexities of the real estate market can be overwhelming. One crucial decision that often arises during this process is whether or not to engage the services of a mortgage adviser, and when.
Firstly, why would you use the services of a Mortgage Broker?
Mortgage advisers are usually free and can save you a lot of time and money. Not all banks have the same lending criteria and whilst one bank may decline your loan another may approve it. Having a mortgage adviser working for you means that you only need to complete one application and then leave your adviser to shop around the banks to get your home loan pre-approval.
And in order to get the best rates, you really do need to shop around. Again, your mortgage adviser will do this for you! Whilst rates are important, ensuring that your home loan is structured well can save you thousands of dollars too!
TIP: If you decide to use the services of a mortgage adviser, check their credentials and experience to make sure you have an adviser who is qualified to help you. Mortgage advisers are now required by law to be registered. You can check to see if your adviser is registered by going to the Financial Service Providers Register.
Note: A broker should also disclose, how they get paid, and that they are governed by the Privacy Act which means that your personal information will only be disclosed to relevant parties as part of the application process (ie Banks/lenders/Credit Agencies)
So, when is the optimal time to engage a mortgage adviser, and how can their expertise streamline your path to homeownership?
Let's dive into the world of mortgages and discover the advantages of seeking professional guidance at various stages of your home-buying adventure.
STAGE 1: EARLY PLANNING
If you're just starting to think about buying a home, a mortgage adviser can help you:
understand your financial situation
assess your eligibility for a mortgage,
provide insights into how much you can afford, and
understand what your hurdles are.
They can also advise you on other help for first-home buyers such as KiwiSaver withdrawal, First Home Grant, First Home Partner, and First Home Loan.
TIP: Get in touch with our First Home Buying adviser today for a free planning meeting!
For help guiding you through the journey to home ownership, get in touch with us today for a Home Ownership Plan tailored to your needs.
Our First Home Buyers planning meetings provide advice on:
Saving for a deposit
Preparing and applying for a home loan
KiwiSaver Withdrawals & First Home Grants
Home Loan Pre-Approval
Low Deposit Option: First Home Loan and Partner
Book a free 15-minute chat with a First Home Buyer's Club adviser
STAGE 2: PRE-APPROVAL STAGE
Before you start house hunting, getting pre-approved for a mortgage can give you a clear idea of your budget. A mortgage adviser can guide you through this process, helping you understand the documentation required and explaining the terms of different mortgage options. They will take care of the paperwork for you and help move the process along. For more info, check out So what exactly is a Pre-Approval?
A mortgage adviser is the go-between you and a lender, helping you during the entire process — from identifying your needs to the back-and-forth with your chosen bank. Your home loan expert’s sole purpose is to support you through the process.
STAGE 3: CONFIRMING A MORTGAGE STRUCTURE
Mortgage advisers have access to a wide range of lenders and mortgage products. They can help you compare interest rates, terms, and conditions to find a mortgage that best fits your needs.
Mortgages come in various types, including fixed-rate, floating rate, interest-free and more (see Structure of your home loan). A mortgage adviser can explain these options, helping you choose the one that aligns with your financial goals and lifestyle.
Navigating Special Circumstances: If you have a unique financial situation, such as being self-employed or having a low credit score, a mortgage adviser can provide valuable advice on how to improve your chances of approval and secure a favorable mortgage.
STAGE 4: SETTLEMENT
During the settlement phase a mortgage adviser can manage the handover, ensuring:
all loan documentation is in order
all necessary paperwork is in order
final steps are completed
enabling settlement to go smoothly.
DISCLAIMER: The content provided is for informational purposes only and should not be considered as professional advice. While we strive to ensure the accuracy and reliability of the information presented, we make no representations or warranties, express or implied, regarding the completeness, suitability, or availability of this information. Any reliance you place on such information is strictly at your own risk. We disclaim any responsibility for any loss or damage resulting from the use of the provided information. It is advisable and recommended you seek professional advice relevant to your specific circumstances before making any decisions based on the information provided.
