Advantages of Using a Mortgage Professional
1. Diverse Options.
When it comes to finding the perfect mortgage lender that aligns with your unique needs and objectives, mortgage professionals have got you covered. Unlike banks, who can only offer their own rates and products, mortgage professionals have access to a wide range of mortgage lenders. This means they can present you with a variety of options to choose from. So, even if your financial situation is distinct, professionals can identify the lender that is most suitable for your particular circumstances.
2. Unbiased Advice.
Mortgage professionals provide unbiased advice because they have access to a wide range of lenders. Unlike bank/credit union mortgage specialists who can only offer information about their own institution's products, brokers can present you with unbiased options. It's important to acknowledge that bias can exist in any setting. While some brokers may be inclined towards products that yield higher commissions, bank specialists are incentivized to promote offerings that maximize the bank's profits. However, a reputable mortgage professional will prioritize your best interests by providing all the relevant information and recommending the mortgage that best suits your needs.
3. Convenience.
Engaging a mortgage professional allows you to conveniently complete the entire process from the comfort of your own home. You can easily interact with them through phone calls, emails, and online platforms, without the need for in-person visits that most banks still require. This not only saves you valuable time but also gives you more flexibility to focus on other activities throughout the day.
4. Free Service.
When using a mortgage professional, you can rest assured that there will be no extra charges. This is because mortgage brokers receive a finder's fee from the lender, which means there are no fees involved for qualified borrowers. However, in more challenging situations where only a private lender can qualify you, the broker may need to charge a fee since private lenders do not compensate brokers. But for borrowers who meet the qualifications, there are no additional costs.
5. Accessibility.
Mortgage professionals are known for their flexibility and availability. They understand that your schedule may not always align with traditional banking hours, so they make themselves accessible during evenings, weekends, and even holidays. With constant email monitoring and a commitment to being reachable, you can count on them to be there when you need them. On the other hand, while some banks have introduced mobile sales teams, availability can vary depending on the individual, so it's best to have a direct conversation with them. If you choose to visit your bank for a mortgage, you may be limited by their operating hours.
6. Competitive Mortgage Rates.
Mortgage professionals, with their wide range of options, create healthy competition among mortgage lenders who are eager to earn your business. The interest rate plays a crucial role in choosing a lender, and lenders understand this very well. That's why mortgage brokers often secure lower rates than banks, and sometimes, these rates can be significantly lower. In fact, a broker may even negotiate a better rate with your own bank than what you would get by visiting a branch in person.
7. Licensing.
Mortgage brokers are required to hold valid mortgage licenses, while bank mortgage specialists do not meet such criteria. Banks have the flexibility to hire individuals who are new to the industry and appoint them as mortgage specialists right away. Brokers diligently renew their licenses every year (depending on the province) to ensure they stay updated with the latest rules and regulations. However, it's important to note that this doesn't automatically imply that brokers are superior to bank mortgage specialists. There are skilled bank mortgage specialists who possess extensive experience and a long-term career focus as well.
