Although a lot of our business is from existing and returning clients who have experienced how we work and what is involved, we do also get quite a few new clients who are recommended to us. Based on some of those conversations, I thought it would be a good idea to write a blog about how we could help you, including some of the behind-the-scenes things that we do. This blog is written from our personal perspective. Other brokers may have different processes and work in different ways.
What Is A Mortgage Broker
A person or a company who is qualified to give advice and arrange finance for you by applying to the lender on your behalf, once they have assessed your financial situation and made a recommendation. Sometimes called an ‘intermediary’ as they are the go-between, making sure both sides get the information they need to get the deal done.
Some Of The Things You Should Expect From A Mortgage Broker
In depth discussions regarding your personal circumstances to establish your goals and preferences.
Collecting and assessing the relevant information and documents to establish eligibility with any prospective lender, including assessing affordability.
Providing mortgage advice, personalised quotes, and a mortgage illustration.
Getting a credit backed agreement in principle secured – which is a lender agreement to proceed.
Liaising with accountants, estate agents or solicitors.
Submitting a full mortgage application, including contact with underwriters and lender chasing.
Instructing the survey or valuation.
Chasing the lender and obtaining a mortgage offer.
Dealing with any post offer enquiries, including any amendments that may be required.
Future reminders for any mortgages rates that are due to expire.
Reasons You May Want To Use A Mortgage Broker
Problem Solving & Expertise
If you have one of more things that are classed as ‘non-standard’ then a mortgage broker should be able to help by using their knowledge and experience of the industry to solve any issues or queries quickly. An experienced broker will be able to establish the best deals for your specific circumstances and save you lots of time by going to the right lender first time.
General Support
If you have limited knowledge of the process and need guidance throughout, a good broker will be a good asset. This might include all aspects of the process, not just the mortgage, for example, speaking to solicitors, estate agents and accountants for you.
Speed & Convenience
If you need a quick turn-around then a mortgage broker will be best placed to accommodate this. They are able to assess the options from all lenders in one go and place the application for you.
Other Things To Consider
Cost
Some mortgage brokers charge a separate broker fee to anything that you pay the mortgage lender or solicitor so you should ask for details of this and how it is worked out. Not everyone will need to use a mortgage broker. If your mortgage is very simple or if you are simply picking a new deal and you don’t want any advice, you may save money by going to the lender directly.
’Recommended’ Mortgage Brokers
Be aware of some estate agent’s tactics to push their own or ‘recommended’ brokers. You are not obliged to use any services that you don’t feel comfortable with. Please ensure that you do your own research on a broker before committing to use their service.
Qualifications & Permissions
Each mortgage broker or company needs to hold certain qualifications and permissions. You can easily check out a broker’s credential on the FCA register, meaning that you also have some recourse if the advice you have received is not suitable. Some brokers may not hold the relevant qualification or permission for certain more complex applications, such as Equity Release mortgages. You can check the FCA register to ensure that the broker you are dealing with is able to assist with exactly what you need.
Recommendations / Reviews
It’s worth speaking to people you know have had good experiences with specific brokers or doing some due diligence, for example by using Google Reviews.
So, in summary, a mortgage broker acts as an intermediary between you and lenders by advising and arranging finance, based on your personal situation. Hopefully, whoever you choose to work with can become a useful resource.
At MRG Private Clients we want to build long-lasting client relationships. We take the time to understand your individual circumstances and help you achieve your financial goals.
Please feel free to book some time in my diary to discuss your mortgage needs in more detail.
At MRG Private Clients, we believe in providing our clients with personalised guidance and support when it comes to making important financial decisions. We are based in Medway, Kent but offer our specialist mortgage services nationwide. Learn more about our specialist mortgage services >
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