The benefit of a mortgage broker for Canadian homebuyers

Jul 11

The benefit of a mortgage broker for Canadian homebuyers

If you’re a first-time Canadian homebuyer, the process can be a bit overwhelming.  It’s not just the fact that your home is likely going to be the single largest purchase you will ever make that can be daunting, although that’s certainly part of it.  The right mortgage, however, can make the difference between making a good investment by buying a home and making a big financial mistake that will affect your finances well into the future.

Because of what’s at stake when you look for a mortgage, it’s a good idea to look for a Burlington mortgage broker to help you through the process.  They have the ability to shop around on your behalf for the best mortgage product to suit your particular situation.  They can connect with you with all kinds of mortgage lenders – not just banks.

Below are a few of the best reasons why Canadian homebuyers should consider hiring the services of a mortgage broker.

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First, they have the inside track on the mortgage industry and the real estate market.  A good broker will stay current on the lending sources across the country so that he or she can continue to offer clients the best option for their situation.  That means they will have a broad and deep knowledge of the products that are available, making them better able to match their clients to the mortgage products that are available.   By contrast, if you seek a mortgage directly from the bank, you will miss out on the opportunity to explore borrowing options from other types of lenders, such as trust companies and private investors.

Second, mortgage brokers are like tour guides through the confusing mortgage industry.  This is of particular importance to a first-time homebuyer.  Why?  Because the mortgage process can be confusing and intimidating, particularly for newcomers to the scene.  Mortgage brokers can help answer all of the questions that a first-time homebuyer may have and can help them negotiate the right mortgage product for their situation.  They can help you connect not only with a lender who provide you with the kind of mortgage you are looking for, but also to help you to negotiate the best terms from that lender.

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A mortgage broker is an advocate for your needs.  They put your best interests at the foreground when they look for mortgage products for you.  A bank, on the other hand, doesn’t always do that.  In many cases, you won’t get the best deal from your bank even if you are loyal bank customer.  In fact, many first-time homebuyers end up getting a less-than-stellar deal on their mortgage because they assume their bank is getting them the best deal possible, which isn’t always the case.  This isn’t because the bank is looking to jilt you out of a good deal.  Banks want their customers to be happy, too.  The problem is, banks don’t have the liberty of offering an unlimited variety of mortgage products.  A bank’s mortgage specialist can only offer the set of products offered by the bank.  That can be limiting when it comes to finding the right fit for every client.