Once you are set on becoming a homeowner, you must decide how you are going to approach the purchase. You might want to dive into the process yourself, or you might be considering the use of a mortgage broker. While most of us have heard the term mortgage broker a few times in our lives, many of us only have a vague understanding of what one actually does.
So, just what exactly is a mortgage broker? A mortgage broker is, in the simplest of terms, the go-between for a borrower and a lender. The borrower could be an individual, group of people or a business. The lender could be a bank or other lending institution.
When you decide to use a mortgage broker, you are authorizing them to provide a variety of services for you. The primary service is to find a lender that offers the type of loan you are seeking at a good rate. Mortgage rates in Calgary vary from bank to bank, as they do everywhere else. One of the biggest advantages mortgage brokers have is that they can work with wholesale lenders, often netting them access to the best rates, access you cannot obtain on your own.
If you go it on your own, you will need to do all the legwork yourself. That means visiting multiple banks and lending institutions until you find one that meets your wants and needs. This process is time-consuming, and you risk problems with your credit rating when too many institutions run credit checks on you. When you use a mortgage broker, all of this is taken care of for you and your credit rating will not be harmed.
When negotiating directly with the lender, chances are you will not be able to negotiate the lowering or the removal of fees. Mortgage brokers have experience in doing this and often have personal relationships with the lenders which they can exploit to your advantage. In addition to the lower rates they can get for you, this can net you a nice savings.
During the process, the mortgage broker is the only person who is really there for you. While the lenders are out for their best interest, the brokers work directly for you and your best interests. This means that they will refuse deals which do not suit you and they will find deals for even the most difficult individuals. Even if you have a poor credit rating, a mortgage broker will be able to locate and secure a loan for you. They have intimate knowledge of the industry, and they put that knowledge to work for you.
If you are interested in hiring a mortgage broker with many years of experience and an intimate knowledge of how banks work, fill out the form on the right, contact us or call/text (403) 870-2669 and get started on the road to homeownership.