Why Hire The Services Of Our Mortgage Broker Cedar Creek?

Located roughly 41 kilometers from Brisbane, Cedar Creek is a picturesque waterway that starts from the high points of Mount Glorious in the D’Aguilar Ranges and ends in the low-lying areas of the South Pine River. Cedar Creek is filled with waterfalls, rock pools, awesome picnic spots, and home to a wide range of Australian flora and fauna including platypuses, wallabies, and kookaburras. It’s the absolute go-to spot for people who love hiking or just to have an exciting and memorable family time overall. Think you belong to an adventure-filled place like this? Then go ahead and contact a mortgage broker Cedar Creek right now!

What Can You Use a Mortgage For?

Mortgages are a financial term that refers to how to get loans with collateral as security. These play a huge role in the financial market, which is why more and more people are getting into mortgaging to help others secure loans to fund their next project.

Generally, mortgages are given based on your property’s worth as payment for your debt. These can be offered by several sectors too, including banks, financial institutions, and other financial sources.

There’s a standard method for getting mortgages but interest rates and other formalities may vary per bank. The majority of mortgage loans are used to buy or construct houses or commercial properties, but you can also use them to fund your business, education, etc.

What are the Mortgages Offered by a Mortgage Broker Cedar Creek?

Buying a house isn’t possible for most people without the help of banks and lenders. If you’re thinking of buying a property but don’t have the whole purchase price upfront yet, then consider home loans as your next best friend.

However, since there are various types of home loans available today, it can be confusing to pick what’s right for you. That’s why today, we’ll talk about the types of loans and explain each type a bit further.

Variable Rate Loans

These loans are the go-to option of most homebuyers. These depend on the Reserve Bank of Australia’s ever-changing cash rates and constant rise and fall of interest rates. So, you can have low payments in one month and high payments the next.

You may see this as a gamble. But, those mortgage broker Cedar Creek clients prefer this loan as it allows them to pay in a variety of ways. Plus, switching to a new loan isn’t a hassle since most lenders won’t charge an additional fee for refinancing your loan.

Fixed-Rate Loans

Compared to the previous loan, these loans have a fixed amount you have to pay every month. These lock-in your home loan interest rate for a given number of years, with rates that are usually higher than the current variable.

And since it’s a fixed rate, you don’t have to worry about the current movement of the market. This is why a mortgage broker Cedar Creek proposes this loan if you’re on a budget since you have a clear idea about whether you can repay the loan or not. However, aside from the higher rates, changing to a different loan provider is pricey since most lenders charge a break-cost fee.

Interest-Only Loans

As the name suggests, these loans allow you to skip paying the principal and just focus on the interest—for now. A quick break from traditional loans, these are ideal if you’re a property investor looking for negative gearing or someone who wants to make a profit by reselling your property (as long as it won’t depreciate.)

A mortgage broker Cedar Creek will also recommend this loan if you have low income or a young home buyer who doesn’t have much yet in your bank account. This loan normally lasts for 7 years before going back to the “traditional route.”

Line-of-Credit Loans

If you’re thinking of renovating your house, your best bet is to get this loan on top of your current mortgage. Also called “home equity loans,” these loans let borrowers make the most out of their loan and use it for other expenses. The amount will be based on your property’s equity, and can be used either in a lump sum or bit by bit.

But, a mortgage broker Cedar Creek won’t necessarily recommend this for impulsive clients. Bear in mind that once you’ve drawn from your line-of-credit, you must place extra repayments right away to compensate for the amount you borrowed. Not doing this will extend your loan term.

Guarantor Loans

If you’re a first-time buyer eager to join the property market, these are a good option. What it does is it lets you borrow 80% of the purchase amount without paying the mortgage lender insurance. How? Just ask your parents or close family members if they can be your guarantor. If they agree, the lender will make a part of their house as collateral.

Investment Property Loans

Warning from a mortgage broker Cedar Creek: these probably have the strictest requirements.

First, you have to show that you have enough funds set aside to repay the mortgage. The lender may even require that these funds are higher as compared to if those were for a home loan.

Your rental income is a factor too, as it alone may be enough to shoulder mortgage repayments and other expenses. This means the property didn’t actually lower your debt-to-income ratio (or the percentage of your monthly income used to repay the mortgage,) which is also a factor in whether your loan will be approved or not.

The third is your property’s potential for appreciation throughout the loan term. This is why it’s crucial to check for current vacancy rates and trends in housing prices. These, too, are huge factors once your property is up for assessment.

How Will Hiring a Mortgage Broker Cedar Creek Benefit You?

For years, borrowers mostly belonged to their banks and there was lesser competition among financial institutions. But today, borrowers take their time comparing financial institutions to find which one suits their needs. And this is where mortgage brokers enter. These professionals help clients get a mortgage from lenders to get the funding they need.

Mortgage brokers need to have an Australian Credit License (ACL) or be a credit representative of a licensee (aggregator.) This serves as your protection if ever a lawsuit happens.

A Mortgage Broker Helps Save Your Money and Time

Most financial institutions are only open during business hours. This means you have to file a leave to get an appointment. Plus, one day may not be enough as you have to compare with banks and negotiate with them so you can get the best deal.

A mortgage broker Cedar Creek does this for you and will serve as a “middleman” between you and different lenders to get the funding that you need. We’re known for our flexibility too, in that we’re available for meetings even after business hours, which saves you from a lot of stress.

A Mortgage Broker Knows How the System Works

Before applying for a mortgage, for example, you should know what the difference is between fixed and variable rates. Mortgage brokers are experts when it comes to finances and should be able to supply you with this information. They must also give you tips on how to find the right offer.

Mortgaging is a complex topic and a mortgage broker Cedar Creek should be able to explain it to you as simply as possible. They must guide you from start to finish until you find a product that fits your criteria.

You should know the difference between a mortgage advisor and mortgage brokers, too.

Mortgage advisors work for a bank and will only sell you products from that bank even if these don’t fit your needs. Meanwhile, mortgage brokers work independently and compare numerous institutions until they find the perfect match for you—in short, we work for you.

A Mortgage Broker Handles Administrative Tasks

Think mortgage brokers aren’t necessary? Then be ready to take care of administrative tasks! A mortgage broker Cedar Creek will prepare all the documents you need for your loan application.

For example, we can help you get a credit pre-authorization. This document lets you know if you’re eligible for a mortgage and how much you’ll receive if approved.

A Mortgage Broker Takes Care of Your Credit Score

In terms of mortgage loans, financial institutions have their own criteria as to what they accept and what they won’t. If you choose to shop for loans from different banks and one gets rejected, this will have a huge impact on your credit rating and your credit score will suffer.

This is where a mortgage broker Cedar Creek comes in. We’ll work by comparing various institutions using only your financial information and never your identity. Through this, we’re more likely to find you a suitable loan and protect your credit score at the same time.

A Mortgage Broker Prevents You from Making Mistakes

Your knowledge about mortgaging is limited and you’re not an expert in this field. A crucial role of mortgage brokers is to understand and explain the differences between the products of several lenders to keep you from taking steps that can cost you a lot.

For example, most borrowers make the mistake of going with products that have low rates without paying attention to the conditions attached to these. Our goal is to explain to you these conditions so you won’t end up in a bad place only because you weren’t informed.

Your Place Mortgage Brokers: Your Next Mortgage Broker Cedar Creek

Our goal is to help you get the property you’ve always dreamed of. We know how daunting the thought of buying your first house is that’s why we’ll work closely with you to make sure your next property purchase, refinance, or investment is explained properly. With over 30 lenders and hundreds of loan options available, we’ll serve as a “matchmaker” between you and your perfect loan. It’s the chosen lender who pays us too, so you don’t need to worry about hidden and additional charges.

Cedar Creek is the perfect place to live in for outdoor enthusiasts. With its vast land and a variety of plants and wildlife, you’ll really feel like you’re transported to a different place though the city is only half an hour away. And while you’re here, don’t forget to drop by Andy Williams Park. With covered BBQs and picnic tables facing the quiet lake, your family will truly have the loveliest day out. The creeks are relatively shallow where you can spot small fish or let your kids swim without any worries.

Sounds like a nice place to live in? Then book an appointment with a mortgage broker Cedar Creek today!