It doesn’t take much to be a hero!
Just by listening to your family and friends, you may be able to identify opportunities for them to save money on their home loan, simplify their finances, or even find solutions to problems they’ve given up on.
Keep your ears open for these 5 telltale signs that you should refer a friend to a mortgage broker. They will thank you for years to come.
1. “I’m Not Sure My Bank Is Giving Me The Best Deal”
Did you know that by refinancing their home loan and shaving even 0.5% off their interest rate, your friend could be saving thousands of dollars per year in interest. This is extra money they could use to pay off their mortgage faster.
As a rule of thumb, home owners should be reviewing their loans every 2-3 years. This is because the lending landscape shifts rapidly and even those who secured a great deal when they took out their home loan, may now be paying too much.
Although banks work hard for new business (read offer great promotional rates to new customers), they often take their existing customers for granted. So by having an open mind to taking their business elsewhere, your friend can have a good mortgage broker shop their home loan around for the best deal currently available.
2. “We’re Planning To Move Houses”
Moving houses raises a whole heap of really important questions!
- How much can I afford to borrow?
- What are the costs associted with purchasing my new home?
- What does all this mean for my budget?
- How will the timing of selling my current home and buying the new one work?
If you refer a friend to a good mortgage broker, they will not only be able to help answer these questions, but may be able to identify solutions that will make the transition between their current home and new home seamless and stress-free.
3. “I’m Thinking Of Buying An Investment Property”
If you thought mortgage brokers were adding value in the situations above, throwing an investment property into the mix takes it to a whole new level!
A large part of this is that banks, by nature, want to protect their security position. So if your friend was to approach the bank directly, there is a good chance that they would try to take as much security as they can get their hands on.
As where a good mortgage broker will always have their best interests in mind and structure the deal in a way that protects them.
4. “I’m Finding It Hard To Manage All My Payments”
If you hear this, there is a good chance that your friend has built up a number of personal debts, including credit cards, personal loans and car loans.
These facilities often attract high rates of interest and can cause stress in managing the repayments.
If your friend owns property, they may be able to consolidate these debts into their home loan, improving their monthly cash flow and taking the administrative load off their shoulders.
5.”My Home Loan Was Rejected”
Mainstream lenders have strict criteria for home loans If your friend is saying this, chances are they don’t tick all the boxes for their bank’s idea of a perfect customer.
This may be because they:
- Have a bad credit history
- Are a discharged bankrupt
- Have recently started a new business
- Have outstanding ATO tax debts
- Have made many applications for credit
But that doesn’t mean that there isn’t a solution out there for them.
If you refer a friend to a good mortgage broker, they will be able to help identify a “non conforming” or “specialist” loan, which may allow them to secure the finance required to make their dreams a reality, now.
The broker can also assist with mapping out a pathway to refinancing the new loan to a mainstream lender once the issues have been resolved.
There are a whole heap of reasons that it’s a good idea to use a mortgage broker. So if you hear any of these telltale signs, make sure that you offer to connect them with a reliable and knowledgable mortgage broker.