FAQs

What does a mortgage broker do?

Mortgage brokers are professionals in the finance industry. They work with you to determine your needs and objectives and how much you can borrow. Brokers help to ensure that you don’t take out a loan that is not right for you.

Like your solicitor, accountant or financial planner, we are specialists in what we do and will provide you with the right solutions.

Brokers have access to a wide variety of lenders. This means your broker can find a loan that’s just right for you.

Do you Charge fees for home and investment loans?

Some mortgage brokers charge a fee for their services and some don’t. When you take out a loan via a Mortgage Broker – it does not cost you more. Brokers get paid commission by the lender for bringing new business to them, this does not impact your interest rate or level of service.

Some brokers charge a fee for their service. They must disclose this fee upfront to you so you know what you will be up for if you engage their services.

Don’t you just recommend the lender who pays you the most commission?

Absolutely not. First of all, there is very little difference between the commissions paid by the various lenders. There is also legislation in our industry, called the National Consumer Credit Protection Act (or NCCP), that is designed to protect consumers and ensure ethical and professional standards in the finance industry. We tell you upfront what commission we will be getting from the lender. Our job, our only job, is to find a competitive loan for your needs and objectives.

Isn’t it more expensive to use a Broker?

Some Brokers charge a fee for their service which they must disclose to you up-front before you engage their services. However, the costs of the loan are the same, depending on the loan you choose.

How much can I borrow?

There are specific factors that need to be considered when determining how much a customer can borrow, such as income, employment position, the deposit saved, current living expenses and any liabilities. Give us a call and we can go into your options in more detail, or check out the loan calculator page of our site.

Should I go fixed or variable?

A mortgage broker will recommend a product based on what you say is most important to you – for example, “pay my loan off quickly” or “guaranteed repayments”. We do however, live by the following; “if you want flexibility take a variable rate loan, if you want budget certainty take a fixed rate loan, if you want both, then do both.”

I am not in your area, can we still work together?

Absolutely, our In-home consultants will come to you at a time convenient to you.

Which lenders do you deal with?

We are Connective Brokers. This means that we have access to many lenders that we hold accreditations with. This means we can source you a loan from a variety of lenders to provide you with options that are suitable for you and your situation.

Who sets interest rates?

The Reserve Bank of Australia meet on the first Tuesday every month to determine the official cash rate for the country. The lenders then use this information to set their own rates. Mortgage brokers do not set rates.

Why should I use a mortgage broker if I can go with a bank?

Lenders will only sell you their own products., Each bank (or lender) has various loan options – low doc, package loans, re-draw facilities, plant and equipment loans, fixed, interest only, interested in advance, variable, introductory variable… the issues you face as a consumer is ‘which loan is right for me?’ And that is where a mortgage broker comes in. If you go direct to the bank, you will only be offered the loan options available through that one lender. As your mortgage broker, we do all the leg work for you. We are across many lenders and all of their loan products and our sole purpose is to find the right loan for your needs.