Buying Property: Questions to Ask Your Mortgage Broker (When Searching for A Broker)
If you’re looking to buy a house then you should understand just how important it is to find the right broker for you. To do this you want to be asking the right questions from the start.
If you’re looking to buy a house, then you probably understand that it is one of the biggest investments you will make in your lifetime. By asking the right questions, you can ensure that you select the best mortgage broker, and one that will best prepare you for this huge leap.
Are you a regulated broker?
Before letting anyone source a mortgage for you, it would be smart to double check your brokers qualifications.
All brokers are required to be regulated by The Financial Conduct Authority, so you should always do your background research. You will definitely want to avoid any issues from arising further through your mortgage process, so always check the FCA Register to ensure that your broker is regulated.
Do you work with all available lenders?
Some mortgage brokers will only work with one or a select group of lenders, whereas others will give you access to all of the lenders in the market – but what does this mean for your mortgage?
Although a specialist broker will have an in-depth knowledge of their specific lenders, which can obviously sound very tempting, it is also important to consider which broker will give you access to the best options. With a whole market broker, you get access to the whole lender market, as they are without loyalties to certain lenders, meaning they will always find the top deal on your mortgage.
How much will you charge me and when is the fee due?
You will often be charged by a mortgage broker for their services, which is usually charged as a set fee and can cost you anything from 0.3% to 1% of the loans size. You should always check that your broker isn’t exceeding this to prevent you from being overcharged.
Be upfront with your lender, ask when the fee is due and how they expect to be paid. Remember: you should never be asked to pay anything upfront, and all fees should be collected from the lender or charged after the mortgage application has been accepted.
However, don’t be disheartened by the idea of further costs!
There are many mortgage brokers out there that don’t charge a fee. Instead, the brokers income will come from taking commission or a procuration fee from the lender.
How Can I Help You?
If you are looking for to speak to someone with bundles of knowledge on the home buying process, you’re in the right place. I’m Gareth (also known as Big G), and as an estate agent and mortgage adviser, I can help you with advice on getting a mortgage, as well as helping you understand how to find the best deal on your mortgage.
Just give me a call on 01905 426000, and we can start finding the best lender for your mortgage requirements.
Written by Gareth Evans, Mortgage Adviser & Director