Going through the process of obtaining a home loan is all about communication between the applicant and your bank, broker or advisor. You must feel comfortable in asking questions and you will gain even further comfort if your advisor answers all your questions clearly and concisely and returns phone calls and emails promptly.
Unfortunately I hear so many horror stories. I was in a taxi the other day and the driver was on the phone in a distressed state about his home loan application. I was able to establish he was applying for a $200,000 loan and paid a broker $2,000 upfront 6 weeks prior. Unfortunately he had not heard from the broker in the same period of time.
So, firstly, paying any fees upfront to someone to help you with the home loan application is a no – no, there is no need. If you are dealing with a bank manager they will on a salary and therefore paid by the bank. If you are dealing with a broker they may well be on commission but they too will be paid by the lender they are recommending. Always be sure to ask the advisor about their qualifications and their membership status of a complaint resolution scheme.
Here are some quick tips
Whilst the information above might seem like a lot when you break it down to your own individual situation then it is quite simple.
The biggest tip is to be prepared. If your broker or home loan advisor is doing their job properly then they will go through each point with you upfront.
As with most things in life if all the information is supplied upfront then the process is quite simple and you should receive an answer on your application within 48 hours.
To find out what happens with your home loan application we have put together a short video to explain the process – What happens with my home loan application?
The process of buying a home is hard enough so the last thing you need is for the home loan process to add to the frustration. It doesn’t have to.
Paul Ryan is the CEO and Founder of Intouch Finance. Intouch is an insightful financial services business founded by Paul Ryan in 2007. Paul Ryan was one of the co founders of Wizard Home Loans and the Director of Sales and Distribution. The Intouch philosopy is to stay in-touch with our customers and the market place.
Intouch Finance has 20 Licenced Principals operating throughout Australia and are offering FREE no-obligation financial health checks to followers of Stay at Home Mum!