Why more people are using brokers

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The question?

We’re seeing more and more Australians working with mortgage and finance brokers when they’re purchasing property – in fact more than 50 per cent of home buyers choose to use a broker.

Many industry experts have predicted this will continue to increase in 2016 and expand to commercial and business borrowers. Here’s why:

Changes in lending

There’s no doubt that 2015 was a transformative year for lending with the Australian Prudential Regulation Authority (APRA) implementing rules around investment lending, and many banks responding to the regulation by increasing interest rates on certain home loans and residential investment loans.

After seeing so much change in the past 12 months, the goalposts may have moved for many buyers and they’re going to brokers to understand what these changes mean and how it impacts them.
There’s also another question some people are asking, and that is: are more changes coming? And how do I retain a relationship with my finance professional?

Working with a broker educates borrowers and gives them peace of mind when making one of the most significant decisions of their lives. And a broker is with you for today and tomorrow.

Australians are time poor

Let’s face it – we’re all busy and we’re only getting busier. So when it comes to finding a home, investment or commercial loan that works for your individual situation, many Australians choose to use a broker to save themselves time…and money.

Having someone there to do all the research, paperwork and negotiation with lenders means that borrowers not only save countless hours – they also get access to more options. And the reality is, as brokers do this for people every day – they know what’s happening across a portfolio of lenders…in my case I have access to 34 lenders.

The outcome is that our clients benefit from this industry knowledge and as a result our clients will be introduced to a finance package that is aligned to their individual needs and aspirations.

We can simplify

When you dive into the world of lending, you can easily get lost. Why wouldn’t you want someone who knows the landscape working on your behalf?

When borrowers first start out, financial jargon can be confusing and, let’s be honest, downright intimidating. Some people can be hesitant to enter into something they don’t fully understand – and you can’t really blame them. One of the most important things a broker can do is break down all the complex terminology into everyday language, making it easy to understand…we call this the KISS principle.

That means Australians can be armed with more information to make a more informed decision and can move quicker when they wish to negotiate the purchase of property or business.

Service for Australian Expatriates

Congratulations, you are living the dream…and I do know how rewarding this can be…personally and professionally.

This is all good, but what happens when you wish to borrow money to invest in property in Australia? I know first-hand, the difficulties you can experience when you are living outside Australia and earning income other than Australian Dollars.

Your former personal banker has moved onto greener pastures and there is no-one to talk to. How do you explain the currency difference and potentially the differing taxation environment?

Your finance professional has relationships with lenders that specialise in lending to Australian expatriates and will be well placed to introduce you to a finance package that is dedicated to you…

This means that you can continue ‘living the dream’ and leaving a lasting legacy in your chosen expatriate jurisdiction…with confidence.

The answer

By using a mortgage broker you can save time, money, be more informed and receive a finance package that is aligned to your individual needs… Why wouldn’t more Australians and Australian Expatriates choose a mortgage broker?

Should you wish to discuss your individual financing needs, please do send me an email: gayle@stapletonpacific.com