What do mortgage brokers and gardeners have in common?
If you’re a green thumb: you know one plant species from the next, you have a sense of landscaping styles, as well as the skill, equipment and time, then you don’t necessarily need a gardener. But if you’re lacking time, knowledge, the requisite skill or maybe just don’t want to get your hands dirty, then you’re going to get a far better outcome with an expert.
This spring, both gardeners and brokers will be in demand. Spring is typically the high-season for property sales, but a multitude of factors are likely to impede the traditional rush of homes to market in all their spring-time resplendence. The latest property data shows that five of the eight capital cities have had only modest increases in July.
Pundits are tipping this spring to be relatively muted in terms of vendor activity while more and more buyers are knocking at the door (excuse my pun) after patiently getting through the winter where property stock numbers were incredibly limited.
“Potential home buyers are set to face fierce competition this spring, with the number of new listings set to hit the market tipped to be more subdued than in previous years,” said News Limited papers this week.
…”because there are fewer vendors on the market, [there are expectations that] competition from buyers [will] push some auctions far above their reserve price.”
Frustrated buyers will need to have their finances pre-approved in order to be competitive at a time when demand is thoroughly outstripping supply. In the midst of historical low rates, more home loan products available than ever before and the real estate market as perpetual topic of conversation for all Australians, if your clients are thinking of buying or selling this spring having the knowledge and experience of a mortgage broker is more important than ever:
Familiarity with interest rates, terms, conditions, bonus offers, honeymoon rates, freebies and other inducements, establishment fees and application criteria, suitability of fixed rate versus variable rate, interest only versus principal plus interest. Knowing and applying all of this to your clients specific situation is part of the skill-base of a mortgage broker.
Does anyone have time to review hundreds let alone thousands of home loans, and tens of thousands of loan features; pawing over a myriad of contracts, terms and negotiations? Yes, brokers do.
The finance industry has become complicated. The broker forms a picture of the buyer based on a fact find before going to market. The benefits of your clients using an expert like a Loan Market mortgage broker - truly independent, family owned, and driven to deliver - include saving time and energy, and being matched with loans that have a lower cost and better features, to ultimately achieve the most suitable financial outcome for your clients individual situation.
Brokers are the clients of banks and lenders. So banks look after the clients of brokers. That expert intermediary gives the borrower leverage. With over 150 ADIs offering tens-of-thousands of home loan options, the everyday borrower does not have access to the industry software and individual IP to compare these in real time and to negotiate adjustments to suit their circumstances. Sure, there’s a flurry of simple digital comparison sites, but they’re hardly comprehensive, seldom truly independent and certainly lack any form of comprehension or understanding of the specifics of your clients personal situation.
Set your clients up for perennial growth this spring by ensuring they know their limit, have their pre-approval in place, and are ready to bid in a competitive environment.