Benefits of Using a Mortgage Broker
It is for profit that mortgage lenders do their work. Borrowers, on the other hand, want to get the best deal. Most mortgage lenders will disapprove borrowers with bad credit history. If you are able to prevent lenders to access your credit file until you have found the right one, then this will be beneficial to you. The, your mortgage broker can be the one to apply for the best loan you are eligible for after properly qualifying your needs.
IF you make errors in answering queries about your credit history, then lenders will find you suspicious. To solve this problem, you should have your mortgage broker get your credit report for all parries to the loan before submitting your loan application. Make your mortgage broker write the cover for your mortgage application and to explain why the loan should proceed, ironing out all the wrinkles there may be. If your broker is a trusted party in the home loan process, then you can get your loan application approved.
You will have a problem if the purchase price of the home is more than what the lender’s valuer’s appraisal of the property value. If you use a mortgage broker then this issue can easily be resolved. Your mortgage broker will help you by suggestion some ways to go around this problem like re-negotiating the price of the house, getting the lenders to re-appraise the property, or asking the lender to appoint a new value. Or, you can also look for a new lender who will consider the prucahse price of the home. Or, you may have to find another home that has better value.
Lenders want to make sure that you don’t only have a down payment for the house but also the income and payment capacity. The money you need to complete a home settlement does not only include the deposit. It also includes the conveyance lawyer costs, property tax, and other costs the might include mortgage insurance, property and mortgage stamp duty. You can solve your problem if you actually have the funds to pay for all these costs. If you face this problem, then your mortgage broker can help you out of it. if you can find another lender who has lesser deposit requirements or someone who pays mortgage insurance for you, then your problem is solved.
Many lenders view changing jobs in high unemployment times as a sign of instability that may lead to your defaulting the loan. This is especially true if you are on probation for 3 to 6 months because your income cannot be assessed as proof of income until after the probation period. A mortgage broker can help you by looking for a lender who calculates your repayment abilities favorable or a lender who will take a letter from your employer that your job is secure beyond probation.