The question is worth asking, as it is often difficult to choose the mortgage best suited to your situation and to know who to contact. This decision is all the more important because mortgage payments represent the largest expense for almost all Quebecers.
It is therefore necessary to be well informed to ensure that you obtain the best conditions for your loan and to benefit from advantageous interest rates. A mortgage broker can help you assess your needs, choose the best solution for you and negotiate the terms of your loan, which can save you thousands of dollars during the term of your contract.
Here are 7 good reasons to use a mortgage broker.
Choosing a mortgage loan raises many questions:
- Who can best meet my needs?
- Which lender can make me the best offer?
- What are the differences between mortgage options?
A mortgage broker will provide you with answers to your questions. Its field of expertise and its extensive network allow it to both advise you and find solutions adapted to your needs. He will help you by explaining the particularities of the different rates and mortgage loans.
A personalized service
A mortgage broker will analyze your overall situation to provide you with personalized advice. With his advice, you will make the right choice and be sure that the mortgage he has negotiated for you will meet your specific needs. In particular, it helps you to understand the consequences of choosing a type of mortgage rate or option (amortization period, choice of maturity, analysis of loan conditions such as early repayments without penalty, etc.).
The difference with most banks is that the mortgage broker provides you with personalized and objective service and advice. Your broker takes the time to understand your financial needs and your particular situation to save you money; it is an independent professional who works for you.
Your broker’s success: your satisfaction
The success of a broker depends on your satisfaction. Your mortgage broker is your partner because he has the same interests as you: to meet your needs in a personalized and efficient way under the best financial conditions.
To do this, he or she pays particular attention to your mortgage financing experience and accompanies you through the various stages of the loan application process, helping you to understand the options that are most advantageous to you.
Access a wide choice of competitive rates
Mortgage brokers have large loan volumes (about 30% of the mortgage market in Quebec) that allow them to negotiate advantageous terms with lenders. Access to a large network of lenders allows brokers to negotiate competitive rates.
Indeed, this broad network of lenders, which includes major banks as well as credit unions, alternative lenders and private lenders, allows mortgage brokers to have solutions tailored to each individual need. Even if you are having credit difficulties, a broker can help you find a loan that is right for you to change this situation.
Save a lot of time – in addition to saving money
In addition to saving you money by negotiating the rate and terms of your loan on the best terms, a mortgage broker saves you a lot of time. He or she is available according to your schedule, travels to your home, helps you gather the documentation required by the lenders and prepares your loan application file. A mortgage broker does this work for you.
It searches and compares the mortgage and financing options offered by the various lenders, and takes care of the administrative procedures, often free of charge, while you go about your business.
Your broker works for you
A mortgage broker works for you and not for the lender. He or she is responsible for negotiating with the lender on your behalf and dealing with unforeseen circumstances and obstacles in your loan application. It ensures that these processes, which are often long and difficult when managed alone, go well, while taking into account your reality. Your broker is always at your side during all the negotiations and necessary steps until the loan is signed and the funds are paid out!
A partner and ongoing support
Your broker is a true partner because it is in his or her best interest to ensure that you get the best response to your needs in order to have a good reputation and keep his or her clients. For a bank, you are usually just one of several file numbers that changes with the rapid turnover of staff. For a mortgage broker, you are a unique partner that he or she will support over the long term.
That’s why the services of a mortgage broker don’t stop when you sign your loan. He continues to provide you with his services by remaining available and in contact with you to advise you or answer your questions.
What is the purpose of a credit simulation?
An online mortgage credit simulation is used to compare the different offers on the market, taking into account the borrower’s situation. It allows the borrower to choose the formula best suited to his needs and the financial institution that offers it. Carrying out a loan simulation does not commit the future borrower, who is free to subscribe to the loan or not.
There are different ways to perform a simulation. This can be done with a loan broker or with an advisor from a financial institution. Online credit simulation tools are also a practical and time-saving solution. It should be noted that it is possible to carry out several simulations, even if the project is in progress.
What are the advantages of a mortgage simulation?
The online mortgage loan allows you to finance various projects. However, it should not be forgotten that the borrower may have his mortgage resold in the event of non-repayment. Mortgage credit simulation is therefore useful to the future borrower to get a preliminary idea of the market and to make the best decisions. It thus incurs a minimum of risks. Then, thanks to the simulation, you will know if the mortgage loan is suitable for financing your project or not.
In addition, the mortgage credit simulation has the advantage of providing important information to the future borrower. These include the amount and term of the loan, monthly payments and the mortgage rate. This will make it easier for you to negotiate with lending institutions once you know these elements. Finally, you should be aware that a simulation can be performed for different types of mortgages (secured mortgage, commercial mortgage, bad mortgage, mortgage repurchase, etc.).