Who Do You Go To For Your Mortgage

Who Do you​ Go to​ For Your Mortgage?
Mortgages are available from a​ number of​ different sources .​
There are specific mortgage brokers as​ well as​ banks,​ building societies and other financial institutions,​ all fighting to​ get your custom .​
This is​ because they make money out of​ it​ and so they all want you​ to​ sign up with them .​
It is​ now common to​ see advertisements for companies who want you​ to​ change your mortgage supplier and who are willing to​ pay the​ costs associated with this for you​ .​
It is​ always worth questioning why companies are willing to​ do this .​
It isn’t because they truly value you​ as​ an​ individual,​ it​ is​ because the​ more people who have their mortgage with them,​ the​ more money they make .​
However,​ it​ can also be beneficial to​ the​ borrower as​ repayments can decrease or​ more flexible terms introduced.
A mortgage broker has access to​ mortgages being offered by a​ wide range of​ financial institutions .​
They can compare offers for you​ and work out which would be most beneficial to​ you​ personally in​ your situation .​
Obviously they have to​ make their own money and so they charge a​ fee for their services .​
However,​ they do save you​ time and possible confusion by searching through a​ large number of​ possible solutions for you​ .​
It is​ vital that you​ ask exactly what the​ broker’s fees will be before you​ commit to​ anything so that you​ can decide whether you​ feel that a​ better value loan in​ the​ long term is​ more beneficial than a​ larger outlay in​ the​ short term .​
These brokers generally do a​ good job and 50% of​ all mortgages taken in​ the​ UK stem from a​ mortgage broker .​
A mortgage banker is​ someone who works for a​ bank and sells mortgages .​
This works on​ the​ same principle as​ a​ bank which also provides mortgages .​
As these institutions are generally nationwide they tend to​ have set interest rates and charges and do not deviate from them .​
This means that they offer more stability in​ terms of​ how much it​ will cost you​ .​
In addition to​ this,​ the​ company where you​ took the​ mortgage out is​ the​ company who you​ will continue to​ deal with for the​ life of​ your mortgage .​
With a​ broker,​ once the​ deal is​ finalised you​ then deal directly with the​ loan provider and do not have further contact with the​ broker.

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