What should I ask my Mortgage Broker?
Start with 'Are you a member of MFAA?'
A good accredited Mortgage Broker can help guide you through the Mortgage market to find the Home Loan appropriate to your situation. But, before you start working with a Home Loan Broker, there are a few questions you should ask.
Are you a member of MFAA?
The Mortgage & Finance Association of Australia (MFAA) is the peak industry body in Australia, representing more than 12,500 Mortgage & Finance Professionals across the country. To be accredited by MFAA, Mortgage Brokers must satisfy rigorous criteria on education, experience and ethics. So if you want to work with an accredited Home Loan Broker - someone you can trust - the first question you should ask is, "Are you a member of MFAA?".
Mortgage Brokers: education & experience
In most states, anyone can claim to be a Mortgage Broker. But to help you negotiate the complex Mortgage market, you need someone with knowledge and experience. So ask your Mortgage Broker about their credentials.
What fee is your Mortgage Broker charging?
Since most Brokers receive a commission from the Lender, they generally offer their service free of charge to the borrower. But don't assume this. Ask your Mortgage Broker if they charge a fee, and how much.
What commission is your Mortgage Broker being paid?
Don't be afraid to ask a Broker what they are being paid for their Home Loan recommendations. MFAA's Code of Practice requires its Mortgage Brokers to reveal the commissions they are being paid by a Lender on a particular Home Loan product. To borrow with confidence, only deal with an MFAA-accredited Mortgage Broker. Talk to an MFAA member today.
Want another Mortgage & Home Loan tip?
Mortgage Repayments: Home Loan Early Pay Off. Check out Essential #21