Why should you refinance with a Mortgage Broker?
A good mortgage broker will be your best advocate when it comes to a refinance home loan.
In fact, a well-rounded and service-focused broker will partner with you throughout your entire mortgage journey.
From getting your savings in order 12-18 months out from borrowing to two years into your loan and beyond, the transactional brokerage is an outmoded concept with long-term partnerships now setting the industry benchmark.
In the ever-evolving landscape of personal finance, making informed decisions about your mortgage is crucial. One avenue that stands out is refinancing, and partnering with a mortgage broker can be the key to unlocking substantial benefits. In this guide, we’ll explore why refinancing with a mortgage broker is a smart move, focusing on the friendly, professional, direct, and informative approach they bring to the table.
Friendly Expertise:
Imagine embarking on a financial journey with a trusted friend who understands the intricacies of mortgage refinancing and genuinely cares about your financial well-being. A mortgage broker brings this friendly expertise to the table, making the process less daunting. They take the time to understand your unique situation, financial goals, and preferences, creating a personalized experience that prioritizes your needs.
Navigating the complex world of mortgage rates, terms, and lender options can be overwhelming, but a friendly mortgage broker serves as your reliable companion. They communicate in a language you understand, breaking down complex concepts into digestible information. This approach fosters a comfortable and collaborative environment, ensuring you make decisions that align with your long-term financial goals.
Professional Guidance:
When it comes to financial matters, professionalism is paramount. Mortgage brokers bring a high level of professionalism to the table, backed by their extensive knowledge and experience in the industry. Their commitment to ethical practices ensures that your best interests remain at the forefront of every decision.
A professional mortgage broker acts as your advocate, negotiating with lenders on your behalf to secure the most favourable terms. Their expertise in the market allows them to pinpoint the lenders that align with your financial profile, saving you both time and money. By streamlining the process and leveraging their industry connections, they ensure that you receive competitive rates and favourable terms, ultimately enhancing your financial stability.
Direct Solutions:
Finding the most direct path to your financial goals is essential in a world inundated with choices. Mortgage brokers excel at providing direct solutions tailored to your specific needs. They cut through the noise by assessing your financial situation and understanding your objectives, presenting you with options that align with your goals.
A direct approach means no unnecessary detours. Mortgage brokers streamline the refinancing process, guiding you towards the most efficient and effective solutions. This saves you time and ensures that you make decisions based on a clear understanding of your options.
Informative Empowerment:
Knowledge is power, especially in the realm of finance. Mortgage brokers empower you with the information you need to make informed decisions. Through clear communication and transparent discussions, they demystify the refinancing process, providing you with a comprehensive understanding of each step.
Being well-informed gives you the confidence to make choices that will positively impact your financial future. A mortgage broker doesn’t just handle the logistics – they educate you on the intricacies of mortgage refinancing, enabling you to navigate the process with clarity and assurance.
When is the best time to refinance?
That’s where the role of said advocate comes into play.
It’s your broker’s role to combine your goals with market activity and help guide you as to when refinancing is financially prosperous.
In a nutshell, your broker should regularly look at current industry rates and loan features, and if these are tangibly competitive, they can negotiate with your current lender on your behalf and encourage them to match the most appropriate market solution for you.
If the current lender doesn’t budge, the contingency will be to see what other lenders in the market can offer.
Ultimately, your broker should not encourage refinancing unless it benefits your back pocket and aligns with your objectives.
Reasons Why People Refinance
If the market permits, a savvy mortgagee can work with their broker and refinance every 2-3 years.
So, what are the reasons people refinance with a mortgage broker?
Generally speaking:
- To obtain a more competitive interest rate and loan features
- To leverage an equity release for renovations, a holiday, a new car, another property, to buy some shares etc.
- To consolidate other personal debt (credit cards, personal loans etc.) and get the best possible interest rate on all loans combined.
There are exceptions to this list, and reasons vary from mortgagee to mortgagee.
Inovayt’s Senior Mortgage Broker Melbourne, Kathy Stammers, speaks to this, “we have clients with many different scenarios. Our job is to guide them through what’s available and advise if we think it’s better to hold off refinancing.”
If refinancing is beneficial, your broker should present you with the pros and cons of various loan options, such as an offset, basic, or fixed-term loan.
For example, a new family about to juggle a new addition with maternity leave may wish to go on a fixed-term loan, “it’s about working with and alongside our client’s goals from the outset”.
Like any lending process, there are commonly affiliated pitfalls, such as getting the wrong valuation advice or refinancing when above 80 per cent, which means having to pay mortgage insurance again.
According to Kathy, the most common mistake though is “not checking market interest rates enough. Over the course of a mortgage, this can amount to thousands not saved. It really does pay to get the right advice.”
Use our refinancing calculator today to discover the potential savings benefit from refinancing with a mortgage broker.
Refinance with a mortgage broker at Inovayt
Refinancing with an Inovayt mortgage broker is a smart move that combines friendly guidance, professional expertise, a direct approach, and informative empowerment. This collaborative and personalised approach ensures that your financial journey is efficient and aligned with your long-term goals. As you embark on the path to financial freedom, consider the invaluable support and expertise an Inovayt mortgage broker can provide – turning a complex process into a rewarding and empowering experience. Take the first step towards optimizing your mortgage by reaching out to Inovayt today. Your financial goals deserve the dedicated attention and tailored solutions that our expert team is ready to deliver. Don’t just refinance; refinance with confidence through Inovayt – where your financial well-being takes centre stage.
