24 Apr Resisting The Lure Of ‘The Big 5’ When It Comes To Mortgages
Banks can invest huge amounts of money into advertising campaigns to lure consumers into investing with them, and when you’re purchasing a home and searching for a mortgage deal, they can prove to be exceptionally alluring. However, when you steer away from the pull of The Big 5 and move towards experienced, independent mortgage brokers, you gain access to a wide range of mortgage options that no single lender could ever offer you.
When you shop around for great mortgage deals on the Canadian market, you’ll usually save yourself money, increase your flexibility and get better terms and conditions, too. Read on to know more about some of the mortgage options available to you that The Big 5 may not make you aware of or encourage you to choose:
Contracts that are transparent:
When you partner up with an experienced, independent mortgage broker, you’ll have access to a wider market that can give you contracts without the myriad clauses and conditions often found within those offered by The Big 5, potentially saving you a whole lot of stress and money.
If you’re a self-employed borrower:
Lenders outside of The Big 5 generally have more flexible options that can help self-employed Canadians confirm their income. You will need to have a solid credit history and mortgage rates may be higher (although not unreasonably so), but when done right – with the help of an experienced broker – this flexible lending can help the self-employed get a mortgage that most banks would have denied them.
More mortgage options for rental investors:
If you’re a rental investor, you’re strongly advised to thoroughly explore all the mortgage options available to you (and there are many), and with the help of an independent broker, you can get yourself a mortgage that offers you flexibility with income, expenses, vacancy rates, zoning and more.
Other advantages of working with an independent mortgage broker:
The Big 5 may have the money to spend on opulent advertising campaigns that promise customers a fantastic working relationship with your best interests at heart, there is little chance that you’ll be able to build a lasting relationship with them, unlike if you work with an independent broker. Brokers are in it for the long haul, since they’ve often spent a lot of time, sweat and tears building their business, they want it to last and be successful, and they can only achieve this by working closely with their client base. When you need mortgage advice again, years down the line, chances are they’ll still be proudly serving their customers and will happily
add you to their client list again.
Independent brokers also spend many years advancing their training in financial planning or general finance and can demonstrate their skills and knowledge by applying it to your long-term financial plans.
Banks are of course not to be feared or avoided, necessarily, but it’s vital that you explore your options thoroughly before making your mortgage choice, and to remember that independent brokers can give you a variety of non-biased, flexible options that The Big 5 may not be able to give you.