Why You Should Use a Mortgage Broker

Sale of real property

A mortgage broker will save you time, effort and most likely money in selecting a home loan. To do this, they will do the following:

Assess your needs

A mortgage broker takes the time to discuss your needs and circumstances with you. This gives the broker the opportunity to determine which type of home loan is most suitable depending on your current needs and financial circumstances.

As part of the process, you will need to provide documents to support your identity and financial situation. This includes a 100 point check list for identification, personal bank statements to demonstrate savings (if applicable), tax returns, pay-slips, any outstanding loans, statements, etc. Your mortgage broker will advise you of the relevant documents that you will need to bring with you to your meeting to facilitate this process.

Once your mortgage broker has a clear understanding of your financial situation and goals, they will discuss the various home loan products available. They will provide you with home loan comparisons and inform you of proposed mortgage repayments and any upfront and ongoing fees.

Find a suitable home loan for your situation

Your mortgage broker will search their database containing hundreds of home loan products from their panel of approved lenders. This will include major banks, smaller banks and other lenders. This database is constantly updated and has details of the latest deals. Sometimes, they can have access to some exclusive mortgage loan products which are not available elsewhere. The mortgage broker will then recommend a product or products, which suit your needs. You should also be provided with a copy of the mortgage lenders comparison rate schedule. Comparison rates include both the interest rate and fees and charges relating to a loan and are a tool to help you identify the true cost of a loan.

Manage the process

If you wish to proceed, the mortgage broker will help you to complete the necessary paperwork and liaise with the lender on your behalf. This will include the completion and submission of your mortgage loan application and the on-going communication between all parties until your home loan is approved and settled. Your Australian mortgage broker is also required to inform you of their complaints process. This is called an Internal Dispute Resolution procedure and all members of the MFAA (Mortgage & Finance Association of Australia), COSL (Credit Ombudsman Service Limited) and BFSO (Banking and Financial Services Ombudsman) have requirements in this regard.

Provide advice at every step

There are many steps in the mortgage loan process and your mortgage consultant will help you from your initial steps, such as getting pre-approval (where your loan is “approved” based on certain conditions such as loan value) right through to possible refinancing at a later stage.

In essence, purchasing a home should be an exciting and fun time, and it is more likely to be if you use the services of a mortgage broker, rather than going straight to an individual bank or building society. Brokers are not bank managers, and are much easier to talk to. They make their money by offering mortgages, and you are therefore liable to get a good service, the best home loans, and walk out with a smile on your face after speaking to a broker than a bank manager!

5 Signs That Shows You Are Good in Managing Your Money


How great do you think you are in managing your money? Do you find yourself broke all the time or are you always successful when it comes to your savings? Let me show you some signs, so you can determine if you’re doing well with your money management. If you say yes to the things below, then you are doing a great job.

1. You always have a budget

If your personality is someone who creates a budget all the time before you spend your money, I’d say you are on the right track. The ability to plan is one of the qualities that you should possess to be able to manage your finances well.

2. You plan

When you are going to make a big purchase, you always plan ahead. You are the type of person who doesn’t act recklessly. You will spend time thinking if the item is something you want and also something you need.

3. Discipline

You have control over your credit card usage. If you are the type of consumer who only uses your credit card in times of emergency and stick with cash and coupons as much as possible, then it is a great sign that you are good at managing your money.

4. You never overspend

A lot of people spend more money than their salary. It happens most of the time, and it is a bad habit that can put you into bankruptcy if you’re not careful. If you’re someone who doesn’t rely on loans, you are someone who knows how to spend your hard earned money.

5. You always have something for emergency

You are good at managing your money if you always save something that you can use in cases of emergency. We don’t know when unavoidable circumstances may occur, but you are the type of person who understands that so you always save something for the rainy days.

If you have the five traits in you, I’d say you are doing well with your finances. You are on the right track, so you just have to keep up the good work.

5 Important Steps on How You Can Start Saving Money


If you communicate with a lot of people about saving money, you’ll probably get a lot of answers that says it is easier said than done. It is true because before you can start your savings, you should be able to know where to start. We all have our ideas when it comes to saving money. Of course, all of us want to keep something that can be used in times of need. Here are some tips that you can follow so you can start out that plan of saving some bucks.

1. Write your expenses


It is important that you know where you are spending your money. You should make it habit to create a financial statement for yourself. If you have a record of the things where you are spending your money, then it is easy to cut off the things that you don’t need.

2. Budget


Once you have the record of your expenses, it’s time you create a budget plan that you should strictly follow. No bending of the rules here. Extreme discipline is needed so you can succeed with your plan.

3. Savings Percentage


You should determine how big you should save. Based on your salary, calculate the amount of money you should allot on your food expenses, transportation expenses, leisure expenses and utility expenses. You should not just wait what will be the amount of money left after you have bought everything you want. See to it that the money for savings is already secured before you start spending.

4. Savings motivation


If you want to save money, then you must be thinking of something you want to get or achieve. Set your goals straight and reflect on that goal every time you’re about to spend a penny. It will make you think twice if it’s not important.

5. Priorities


You should consider a short term goal and long term goals when it comes to your savings. You should think about your future and where do you see yourself in a few years. You can be saving money for a trip abroad or save for your future like retirement savings.

Make sure you think about the things you want to achieve thoroughly. It is not wrong to save money for leisure because all of us need to enjoy our life. We just have to make sure that we can set our priorities so we won’t have any regret in our life.

4 Ways on How You Can Spend Your Money Effectively


A lot of people are so called big spenders or one day millionaires. It should not be the case because we should learn how we can spend our hard earned money the right way. We should find out how to take care of our expenses and avoid being broke after a day of fortune. Let me give you some information on how you can spend your money in a very efficient way.

1. Control your credit card expenses


If you have a credit card with you all the time and you are the type of person who doesn’t know the word control, then you’re doomed. Even if you have a credit card, it should not be used all the time or whenever you want. It should be your last recourse if you are in an emergency. You should use your credit card wisely, or you might end up paying a lot on the due date. The worst thing that could happen is you won’t be able to settle it on time, and you’ll end up paying the interest.

2. Debit Cards


If you can’t manage your credit card expenditure, then I would recommend that you switch to a debit card. A credit card is not a bad idea, but it is better if you will limit the instances on where you easily use your credit card. If you don’t have your credit card with you, then it would be less temptation for you to use it.

3. Coupons


Making use of coupons or discount sites is hot these days. It can save you a lot of money. Rather than paying for the whole price you will get the item you want at a discounted rate. It is an efficient way to cut your expenses. Why would you pay something at full price when you can get it at a discount, right?

4. Budget


It is important that you make a budget plan for your expenses. If you know where you will spend your money, then it is easier for you to determine which is your priority. If you have a budget plan, then you will be aware on which things you’ll buy and eventually think twice before spending your money on something that is not necessary.

If you can follow these ways that I have stated above, then you are on the right track on saving big bucks that you can use in the future.