Question 1

What Is a Mortgage Broker?

Accepted Answer

A Mortgage Broker acts on your behalf throughout the process of obtaining your home loan, investment loan, debt consolidation, and refinancing. Their primary role is to prepare your home loan application, present to you your options, submit your file to the lender, manage communication between the other professionals involved and the banks; as well as sign your papers, educate you, and be by your side from start to finish and beyond.

Question 2

What Does a Mortgage Broker Do?

Accepted Answer

A mortgage broker acts on your behalf (like a real estate agent would when selling your house) to obtain finance for your home loan. They are the middleman between you and the bank. Their role includes educating you on home loans, preparing a pre-assessment, discussing your borrowing capacity and your bank options — with a large panel of 45 lenders to choose from. They package up your application, manage communication with the lender, negotiate, sign your documents with you and coordinate with the real estate agent and conveyancer for settlement. In short, a mortgage broker will save you a lot of time and stress.

Question 3

Is It Worth Using a Mortgage Broker?

Accepted Answer

The world is a busy place, and you are most likely a busy person. Home loans and mortgages are not a thing to rush — it takes a lot of time and understanding. Using a mortgage broker will save you a lot of time, potential stress, and money. A broker can compare many banks for your application, find which bank has the best products for your circumstances, the lowest interest rates and fees — saving you money in the long run.

Question 4

Are Mortgage Brokers Better Than Banks?

Accepted Answer

While there is nothing necessarily wrong in choosing to walk into a lender directly and get a home loan, a mortgage broker does offer more options. They also have the ability to negotiate and often are more available on the phone and email.

Question 5

Are Mortgage Brokers Free?

Accepted Answer

In most cases, we will not charge you for our services upfront. Once you settle on your property your mortgage broker will receive a commission from the lender for giving them business. This will be discussed with your mortgage broker.

Question 6

What Does a Mortgage Broker Need From Me?

Accepted Answer

It depends on your personal circumstances, however as a rule of thumb a broker will generally need a form of ID (driver's licence or passport), evidence of income (payslips, NOA, employment letter, business financials, bank statements showing salary credits), and evidence of funds to complete (bank statements).

Question 7

How Do Brokers Make Their Money?

Accepted Answer

As brokers in most cases do not charge a fee for their services, mortgage brokers make their income through the commission they get paid when a client's home loan settles. The commission amount will be stated on your loan documents and depends on your loan scenario.

Question 8

Why Choose a Mortgage Broker Over a Bank?

Accepted Answer

A mortgage broker simply can give you more value — from more flexibility with lenders to meeting times and the ability to negotiate. Over 70% of home loans are through mortgage brokers.

Question 9

How Can Derwent Finance Make The Home Loan Process Simple?

Accepted Answer

Derwent Finance has branded its office to be an approachable, fun, eye-catching, educational, professional and safe space for first home buyers and their families. We use simplified language, honesty, patience and the highest level of customer service. Every client at Derwent Finance has their very own customer service specialist looking after all communication from the first touch point through to settlement. Our team is made up of Mortgage Brokers, Customer Service Specialists, Lending Assessors and Settlements Officers — each involved in their own specialty area for an easy, streamlined process.

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