Whole of Market Mortgage Brokers in a Credit Crunch

Unless you have been living on a remote island during 2008, the effects of the credit crunch will be very apparent. The knock on effect of high oil prices, increasing utility pricing and even the cost of food on the supermarket shelves means that everyone has less money in their pockets to spend.

The biggest commitment most people are ever likely to have is there mortgage. The monthly cost of a mortgage can be as high as 35 to 40% of an average persons monthly salary, so careful management of that cost is important to ensure the loan remains affordable.

If you feel suitably confident, you can manage your own mortgage debt. The internet provides an excellent tool for the research and application of mortgage finance. But do you research and compare enough information to ensure the lender and scheme you select are the best possible option? Best Buy tables can give an indication of what rates to expect, but very often do not provide an easy comparison between, for example, Early Repayment Charges, or arrangement fee’s, or whether the scheme you are interested in offers a remortgage package should you be moving your mortgage.

This is where a Whole of Market Mortgage Broker could save you a lot of time, and importantly money. A broker doesn’t need to trawl best buy tables, or search the internet to find the best deals from lenders websites. They use specialist industry software that quickly allows them to filter through rates to narrow the search to find the most suitable scheme for any given client. And being Whole of Market, the results will include lenders that may not have a presence in your local High Street, or even lenders you may not have heard of before!

If you are happy with the brokers recommendation, an application form will require completing. Once the application has been submitted to the lender, the broker will monitor its progress carefully and keep the client informed at each stage of the process. Having a single point of contact for your application can be invaluable, rather than having to deal with the call centres now operated by the majority of banks and building societies.

It is clear a broker is useful for a straight forward mortgage application, but what about more complicated cases? Separation and divorce requires specialist mortgage advice, as does bad credit history, foreign nationals and unusual properties. These types of mortgages can be very hard for the general public to pinpoint, but are far simpler for a broker to find through industry experience and the appropriate software.

So how much does this expertise cost? The good news is that whilst many brokers charge a fee, a good number of Whole of Market brokers do not. Therefore, before putting on your best trainers to walk up and down your local High Street, or keeping the kettle warm for the hours spent researching deals on the internet, give a Fee’s Free Whole of Market Mortgage Broker a call and see what they have to offer. You may just be surprised at what a broker has to offer.

All UK lenders and mortgage advisers need to be regulated by the Financial Services Authority (FSA). Mortgage Brokers are professionally qualified and you should check to ensure that they have the appropriate qualifications

Article by: Chris Baigent 29.07.2008

The articles on this site solely reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of Smaart Associates Limited. All comments and opinions are made in good faith, and neither Smaart Associates Limited nor the author will accept liability for them.