Why You Can Profit From Good Mortgage Advice

February 16, 2018
Taryn Lee-Johnston

If you pay any attention to adverts, you may have noticed something of a running battle between price-comparison sites urging you to use their services to get the best deal and companies urging you to go directly to them for the same reason.  Actually, there’s a very good case for arguing that the best way to get the best deal is to get the best advice first.  Let’s look at five reasons why.

A good mortgage adviser will look at the bigger picture

Getting a good deal is not necessarily about getting the absolute, lowest possible price, not even with a large-scale financial product such as a mortgage.  It’s about getting the deal which is most appropriate for your situation, even if that costs a little more.  For example, you may have a strong preference for the security of a longer-term fixed-rate mortgage and be prepared to pay a little extra for it.

A good mortgage adviser works on your behalf

Mortgage advisers can receive their payment in different ways, some charge up-front fees, others work purely on commission, others use a combination of fees and commission, but the basic fact remains that mortgage advisers can only hope to run successful businesses over the long term if they keep their customers happy and that means delivering value.  Even though using a mortgage broker creates an additional cost which must be paid one way or another, this cost can be recouped and then some by the fact that they can help you to avoid the expense and inconvenience of taking out a mortgage which is inappropriate for your situation.  When considering this topic, it’s worth remembering that mortgages tend to carry high up-front costs due to the need to have a home valuation, plus there is the time required to complete the relevant paperwork, both of which facts serve to highlight the importance of making the right choice to begin with.

A good mortgage adviser will understand the mortgage market

In very simple terms if you “go direct” to a mortgage lender, you will have the choice of the products they offer (or at least of the ones for which you qualify).  Similarly if you “go compare” you will have the choice of products offered by the companies which work with that particular platform.  A good mortgage adviser, however, will be familiar with the overall market from the big players to the niche lenders and will therefore be in a strong position to steer you in the right direction, even if that direction might initially take you somewhat by surprise.

A good mortgage adviser will be by your side throughout the whole process

There are basically two aspects to getting a mortgage.  The first is agreeing that the home you intend to purchase is worth (at least) what you have offered to pay for it.  (In times gone by it was sometimes possible to get a mortgage for more than the value of a home, but that is highly unlikely these days).  The second is confirming that you actually can afford to pay for your mortgage over the long term.  Both of these points can involve a fair amount of paperwork and a good mortgage adviser will guide you through it.

Some mortgage advisers can advise you on protection for your mortgage and home

Mortgages and life insurance go pretty much hand in hand, since having the latter is usually a condition of getting the former.  Because of this, some mortgage advisers can go the extra mile and offer advice on life insurance and even home insurance, thereby making your life simpler and giving you the opportunity to save more money.