Getting loans for property purchases and investments are now getting tight, since the banking royal commission. The banks to improve themselves, is now making loan application and criteria harder, whereby any individual or couple can afford a home loan, could have approval a few years ago, but not now, due to a higher expectation in equity, credit history and other credit performances.
More and more people are using a mortgage broker, soon need to pay for such finance seeking professional services, to make mortgage professionals, true professionals, and not “car sales type brokers” for bank lending loan products. At times, with the same bank, an individual goes to their own bank to apply for a property home loan, get knocked back. Then strangely enough, then go to the mortgage broker and application through the broker, gets the property home loan approved, when its is their bank in the first place. Property owners with mortgages (loans with the bank or finance provider) also after a few years, engage a mortgage broker, to help shop around and get a better loan for the existing property, which reduced the interest and fees – big savings long run.
Mortgage professionals these days offer a higher level of service, to help their client, to shop around for the best home loan deal, especially on fees/charges and the interest rate. Key areas they can help shop around, includes first home buyers, people with property wanting to re-finance, construction loans, property investment loans, self-managed super fund home loans, company title loans, commercial property loans and property loans for seniors (such as reverse mortgages).
Important before making an appointment to engage a mortgage professional, is to save for that deposit (10% or negotiated other percentage amount), show a good savings pattern/record through your bank account, keep credit card/s and their credit limited to a minimum, clear all debts and keep expenses under control, not showing any defaults. Very important, not to apply for any home loans, till you see and meet with a mortgage professional, as too many credit/loan applications can freeze up your credit file and rating.
Very important these days, is to speak to a mortgage professional, before applying for any property loans for purchase, investment or re-finance, to get good advice, for good property decisions.