If you're in the market to purchase a home, or you have a home mortgage that is up for renewal, and you're thinking about connecting with your financial institution directly, save yourself money and frustration by reading this information first. Here are 4 things that your bank won't tell you, accompanied by four reasons that discuss why working with an mortgage expert remains and always will remain in your best interest.

Banks Have Limited Access To Mortgage Products

Currently, if you're dealing with a bank they are only able to offer you mortgages from their product catalogue. This means that you'll be restricted to their terms and conditions which are generally quite rigid. Dealing with a bank or a single institution limits your options considerably.

On the other hand, dealing with an independent home mortgage expert, you will have vast accessibility to products from over 200 lenders, consisting of banks, monoline lenders, credit unions, finance companies, different types of lenders, institutional B lenders, home loan Investment Corporations, and private funds. Working with an independent mortgage expert will certainly offer you many extra options to secure a far better mortgage that will be uniquely suited to your needs and personal future goals.

Banks Use Salespeople, Not Mortgage Experts

Financial institutions do not employ home mortgage specialists; they employ salesmen. Financial institutions pay and incentivize salespeople to market their products. There is a basic imbalance of values here. If the bank incentivizes a lender to make a profit for the bank, exactly how can they at the same time advocate for you and your best interest? They can't.

Banks do not have your benefit in mind. The more money they make off you, the better it is for their profits. Nevertheless, when you work with an independent mortgage expert, you get the experience of a person who understands the ins and outs of home mortgage financing and will certainly advocate in your place to get you the best home mortgage. It's in our best interest to assist you in locating the mortgage financing that has the very best terms and conditions that suit you.

Once your mortgage completes, we get paid a standardized finder's cost by the lender for preparing the funding. So, although we make money from the lending institution, that loan provider has to compete with other lenders to earn your business. When you deal with an independent mortgage expert, everyone benefits. You obtain the best mortgage rates, terms and conditions readily available; we get paid a standardized finder's cost, and the loan provider gains a new borrower.

Banks Rarely Offer You Their Finest Terms Upfront

Financial institutions remain in the business of making money, and they're usually pretty good at it. Therefore, financial institutions will hardly ever offer you their best terms and rates. This is specifically true if you're looking to refinance your existing home mortgage. With over fifty percent of Canadians excepting the renewal deal they get sent in the mail without question, financial institutions don't need to put their best offer up front. Rather, they rely upon you being oblivious to the process which is basically them taking advantage of your trust in them.

When you collaborate with an independent mortgage expert, we don't play games with rates or terms. Our objective is always to choose the lender who has the most suitable mortgage for your situation, and if there are any arrangements to be had, we manage them for you. There is no reason for us to do otherwise. The better we assist you, the more likely it is that you'll be truly happy with our services and consider referring your family and friends.

Banks Promote Restrictive Home Mortgage Products

As if it's not bad enough that banks do not supply their best terms upfront, they really promote home loan products that are limiting in nature. The small print in your home mortgage contract matters a great deal; understanding it can be difficult. Individual institutions do what they can to make it hard for you to leave. Now, if you've ever before heard stories of shocking fines being billed, this is what's called a Rate of interest Differential Penalty (IRD). Each lender has its own method of determining the IRD. Chartered banks are known for their rigid terms and high IRD charges.

When you deal with an independent mortgage professional, we put in the time to pay attention to your goals and examine your mortgage needs based upon your life circumstances. The best home loan is the one that lowers your total cost of borrowing. Not only will we walk you through the cost of financing, but we will also clearly outline the costs involved should you need to break your mortgage before the end of your term. This might be the deciding factor for you to be able to truly end up with the mortgage that suits your individually unique circumstances.

Working With An Independent Home Mortgage Expert Is Very Much In Your Benefit

Banks have limitations when it comes to the mortgage products that they offer. Collaborating with an independent mortgage professional provides you the maximum amount of home mortgage choices! Bankers work for the bank's benefit; they are incentivized to earn money for the bank as their main priority. An independent mortgage professional advocates on your behalf to secure you the best home mortgage that's currently available.

Financial institutions seldom offer their ideal terms upfront; they leave negotiations in your hands. An independent mortgage professional goes over the best terms from several lenders at the start of the process. Financial institutions promote restrictive home mortgage products that make it hard to leave them. An independent mortgage broker will certainly outline all the costs connected with different mortgage products and suggest the mortgage ideally matched for your future.

So if you wish to talk about the very best home mortgage options currently available for you, you are in the right place! It would certainly be our pleasure to speak with you.