Mortgage Broker Nottingham

What exactly is the role of a mortgage broker?

The first part of the role is to find lenders and insurance protection that meets the requirements of the clients. We also advise on the process of buying and how each mortgage works, and finally, we actually submit the applications to the lender on behalf of the client.

We also have an admin team who make sure that all mortgage and protection insurance applications are submitted correctly and reach the right providers.

What’s the difference between going to a mortgage broker versus going to a local bank?

Most people can obtain a mortgage, but what a Mortgage Broker does is help them to obtain the right mortgage for them. Banks advertise certain deals for their own account holders, or their absolute cheapest rate, but the cheapest doesn’t always mean the best. Some lenders will charge arrangement fees and valuation fees. There may be a deal that is slightly more expensive but has a free valuation, or you get cash back when you move in, which could potentially make it a better deal overall.

If a First Time Buyer is paying £800 a month in rent, speeding up the application process might save them money in rental payments, so speed may also influence what the best deal is for some applicants.

Mortgage Brokers have access to small local lenders or specialist lenders that only go through mortgage brokers, which you wouldn’t otherwise find. Ultimately, approaching a lender directly is not going to result in them telling you whether other lenders might be more cost effective or be able to offer you a more appropriate deal. They’re only going to sell their own products, whereas a Mortgage Broker will be able to show a client a list of lenders and give reasons why each lender might be most cost effective or not.

What else can you offer as a mortgage broker?

Particularly for First Time Buyers, Mortgage Brokers can be helpful in informing them about the professional bodies that they need to talk to, such as estate agents and solicitors. You should also bear in mind that the estate agent always acts on behalf of the vendor, and Mortgage Lenders act on behalf of the buyer.

Estate agents might want proof that a client is able to proceed, and we can provide evidence that the person’s information has been checked and that they will be able to proceed with the application. There are also occasions when surveyors go out to properties and find a difference in the valuation, in which case there might be a need to renegotiate the purchase price or speak with solicitors in terms of an amendment to purchase prices and to get a revised mortgage offer out.

So as much as a client needs advice on, we will provide that advice. If they need help finding a solicitor, we can help them find a solicitor or structural engineers, damp specialists, whatever it is that they need to get the mortgage offer approved and ultimately get them into the property.

When should I see a mortgage broker?

The sooner, the better. For example, if you’re a First Time Buyer, it makes sense to get advice as early as possible. You can’t actually decide on the Mortgage Lender, product or interest rate until you’ve found a property, because not every lender will lend on every single type of property. Interest rates change all the time, as do lender criteria’s. However, it does make sense to know how much you can borrow, so that you know which type of properties to look at.

Different lenders look at things in different ways, some may take additional income, such as overtime or benefit income or allowances into consideration, that other lenders may not, which might enable somebody to buy a slightly bigger property. A Mortgage Broker can help you ensure you are fully informed and are able to make best use of your income.

If somebody is moving house, it’s advisable to speak to a Mortgage Broker before they put their property on the market for similar reasons. They need to establish if they can actually afford to buy what they want to buy, which will help determine the value of their asking price. So again, as early in the process as possible for both First Time Buyers and home Movers.

Clients looking to remortgage when they are coming to the end of their current mortgage deal, it’s probably sensible to seek a Mortgage Broker five or six months before the end of the ,to make sure they know what the options are.