Prospect Tree Mortgages

Why you should hire a local independent mortgage broker

Mortgage Options

Securing a mortgage on a home may often seem like a daunting task because there are so many different ways to secure a mortgage. Most homeowners who want to get the best deal that they can and this is where it can become quite confusing. The two principal ways of getting a mortgage for your home are by using a bank or a mortgage broker. Obviously, there are pros and cons for every situation and the homeowner will have to make a decision on which type of mortgage institution will provide them with what they need.

This article will compare some important information about obtaining a mortgage by using either a bank or a mortgage broker. A broker is somewhat like a middleman. They work for the homeowner and will try to obtain a mortgage from either a bank or a mortgage lender. A bank on the other hand is a financial institution that will work directly with the homeowner. The bank basically finances a mortgage on a retail level whereas the mortgage broker finances a mortgage on a wholesale level.

As mentioned previously, there are pros and cons to both a bank’s retail mortgage and a mortgage broker’s wholesale mortgage. The majority of people will choose a bank because they feel comfortable using their primary banking institution. Anyone who has trouble qualifying for mortgage however may find that a bank is very difficult to deal with. The best option for these type of people is to use a mortgage advisor.

When it comes to competitiveness, a broker – advisor can be as competitive as a bank. In fact, you will find that wholesale interest rates from a mortgage broker are quite a bit lower than the retail interest rates that most banks offer. It is interesting to note that most banks have a retail and a wholesale mortgage division. The retail mortgage division has higher rates than the wholesale mortgage division but you will only be able to obtain a wholesale mortgage rate via a mortgage broker.

A homeowner who is securing a new mortgage or refinancing an existing mortgage may turn to their bank in the beginning because of their previous relationship with the bank. The bank knows every detail about their client whereas a mortgage broker will have to verify important financial information. This verification of important financial information will have to be approved by the homeowner.

The disadvantages of working with a bank is that they normally have very conservative loan programs. The lending process is very bureaucratic and lengthy. They have a tendency to make false promises and they often overcharge you. Many of the loan officers in a bank are poorly educated in regards to the home loan process and therefore mistakes can be made.

A mortgage broker is a better choice because they will work on your behalf and do all of the legwork. They will be able to provide wholesale mortgage rates from a large selection of lenders and banks. The wholesale interest rates that they receive will be lower than the retail bank’s interest rates. You will get more options and a mortgage broker can also finance a mortgage even if you have financial question marks. Finally, they are less bureaucratic and easier to deal with. So if you are looking for an independent mortgage broker in Ashford Kent, then you should consider giving us a call. We will discuss with you all your requirements etc and match the right deal to your needs.

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January 11, 2017 at 12:56PM

Why Use An Independent Broker

Buying a home is undoubtedly one of the biggest purchases you are likely to make so it is important to get the best deal on your mortgage. Hiring an independent mortgage broker rather than going through a direct lender has numerous benefits. You can get the best deal by taking this approach and finding the right home loan will be less hassle. To help you make the right choice, here are some more advantages of hiring a mortgage consultant.

An independent mortgage advisor is an intermediary who will find the right deal for you. There are various offers that are available from lenders. You have the option of using a tied, multi-tied, or whole market broker. In general, it is best to opt for whole market brokers as they have a vast knowledge of all your loan options and can advise on the best product without being restricted to one lender or loan type.

An independent advisor is licensed and regulated by the FSA. Some brokers work on commission basis and provide you advice for free. They are compensated by the lenders directly after arranging a loan through them. The FSA regulations ensure that these independent brokers offer their clients independent advice without being influenced by a particular loan deal.

Some consultants may charge the customer a fee for their services as well as commission from a lender. In this instance, they will offset some of the earned commission against the cost of your home loan. Hiring a broker is therefore, a convenient way of getting the right loan package that suits you without committing to many hours of searching.

When you use this service, you will save yourself time and hassle in finding a suitable home loan. Perhaps the biggest benefit is that this service will not cost you anything. An experienced consultant will browse through a wide range of deals on your behalf before recommending the ones with best interest rates.

Once you have agreed to take up the suggested loan offer, all you are required to do is fill out a simple application form before the consultant forwards it to the lending company. If you choose an established loan advisor, he or she will have contact links with a large number of lenders. By ensuring that you find the most experienced broker, you will be able to get the best home loan that caters to your particular needs.

Borrowers who have a poor credit rating and are looking for an affordable home loan should also turn to a qualified advisor. This consultant will most likely know which lending company offers affordable loans despite their bad credit rating. If you are one of those people with poor credit rating and are looking for a bad credit home loan, you can save yourself the hassle of going through different applications by hiring an independent advisor.

Using a home loan advisor is a great way to get a good deal that meets your personal circumstances. This is a good solution to finding the right loan without working hard for it. The assistance of a professional consultant is priceless when it comes to getting an affordable home loan.

Here at Prospect Tree Mortgages we are independent brokers who currently focus on the Ashford Kent and surrounding areas. If you live in and around Ashford Kent and are looking for a new mortgage, to remortgage, or simply want free independent advice, then simply call us on 0800 0443833

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January 09, 2017 at 12:34PM

The Benefits Of Getting a Large Financial Company And Becoming Pre-Approved

When you are searching for any mortgage to purchase your ideal home, there’s two fundamental methods to proceed. A typical strategy is to visit your bank and speak with financing officer that may only write loans in one source, that bank. Another choice is to go to a home loan broker that may broker the loan through any one of several various kinds of banking institutions. There are several benefits and drawbacks to doing the work in either case, it depends upon your circumstances too.

When You Attend The Financial Institution Your Choices Are Restricted

Most banks have fairly set criteria they use to find out if you’re able to be eligible for a certainly one of their loans. They cannot make any exceptions for you personally, your house, your earnings or other things. For those who have a house that’s a quite different, perhaps a rv, floating home, dome home, large ranch, miniature home, or anything just a little unusual, they probably will not help you.

They can also get more strict policies regarding earnings and earnings verification. Should you possess a business or are self-employed, you might want to show the back taxes. But, if you are like plenty of small company proprietors, you’ve taken watch write-from the IRS enables to make certain you do not pay almost no taxes. Well, when the time comes to be eligible for a home loan that will work contrary to you. Most banks have a problem with other kinds of earnings too, like certain investments, along with other odd incomes won’t be able to become counted,that will limit the quantity you can borrow.

Why You Need To Employ A Large Financial Company Rather

If you live in the Kent area, a local mortgage broker based in Ashford, may have a multitude of lenders he can write loans for. Each one of these may have certain kinds of qualities and people they choose to make loans to. Many will focus on manufactured homes, while some like farms.

Additionally to that particular, for those who have some poor credit marks inside your history, there will likely be a method to deal with this problem too. Some lenders simply want to see earnings, from whatever source, while some will need assets with equity rather. You will see a multitude of options that the broker may have available, and he’ll get right at work once you take proper care of the documents.

The greatest advantage that the broker has on the bank’s loan officer is helping you save time and effort trying to get loans you have absolutely no way of qualifying for. You complete the applying with him, and that he will either know immediately who’ll write the borrowed funds, or he’s advisable where you can check. You will save considerable time and energy by heading to some broker first.

Even before you start searching for any home, i suggest you go to a large financial company and obtain pre-approved for the loan. This way when home of your dreams comes up, you will have a obvious path toward possession, and may bargain for any good cost from the position of readiness