An independent mortgage advisor, also known as an independent mortgage broker is someone who provides you financial advice and financial support on various home loan options based on your individual circumstances. They have a legal duty of care for you, allowing them to provide you unbiased information as they aren’t tied to a specific bank. Independent mortgage brokers will often work with several different lenders and insurance providers. This ensures that they have the breadth and experience of knowledge required to identify suitable home loan options for you.
You can find independent mortgage advisers locally, advertised in newspapers and via the internet. Although there are a variety of brokers available, fees charged for advice can differ considerably. If you’re trying to find impartial advice about your mortgages, you should try to get several quotes for free. Most reputable brokers will advise you to contact several different brokers. The more quotes you get, the better able you will be to compare different rates and options and therefore saving money both now and in the future.
When you receive an independent mortgage advisor’s free initial quote, you will usually have to agree to a ‘firm appointment’ with them. In order to secure your quote you will need to book yourself a consultation appointment with a mortgage broker first. Some lenders and home mortgage brokers will not allow you to obtain a quote directly from their website, however you may be able to email them a selection of questions. By arranging to have your mortgage broker visit you in your home, you will give them the opportunity to assess your circumstances and make suitable recommendations for you. Ideally you should see at least one mortgage broker when you initially apply for a mortgage; however this may not be the case.
You can find impartial mortgage brokers who specialise in helping clients with adverse credit mortgages, self-certification mortgages, variable rate mortgages and online applications. These brokers are often independent firms who work for themselves, rather than for a lender. However they may still pass on advice to you regarding your mortgage application. The cost of such advice varies and can include some promotion and advertising costs. This is money that you should avoid as much as possible as it can be exorbitant.
Independent brokers will normally only recommend to you those lenders that are in their ‘firm’ or are members of one of their associations. They do not pass on any information regarding the financial situation of any lender to you. However they can provide valuable advice when it comes to your current mortgage or any alternative financial situation that you could be facing.
There is also the fact that each broker will work on a ‘fee for service’ basis. This means that you pay a specific fee every month for receiving their advice. As the mortgage industry is highly competitive, fees are usually kept fairly minimal, with no yearly or monthly fees. However you may find that the advice given is of great value, so if you opt for a fee for service broker then make sure you check out several brokers before making your decision to use one particular in order to get the best advice for your needs.