Do You Need a Mortgage Broker? What Can Happen Without One (Halloween Edition!)
All Hallows’ Eve is upon us, and as such we want to take a look at one of the most frightening concepts at this time of the year – buying a home, without a mortgage broker. Existing homeowners shudder at the thought, knowing what can happen to those who don’t partner with a broker when buying their very first property. If you’re currently on the market, please heed the following hair-raising tales of what can befall those who don’t take a moment to call a professional.
Disclaimer: Those with weak hearts and/or scare easily should only read ahead with a approval from their physician.
3 Frightening Events That May Occur if You Don’t Partner with a Mortgage Broker When Buying Your Very First Home
You Pay Dearly…with Advertised Rates
If you subscribe to the Carloni Report then you know that mortgage rates are still pretty great right now. But it’s the advertised rates that you need to be afraid of. Why? Because by accepting them, you will end up paying more for your mortgage than you need to – a frightening prospect for anyone. However, new buyers get sucked in to the big banks’ newspaper ads all of the time. How come? You guessed it – they didn’t partner with a mortgage broker. When you partner with a well-connected mortgage specialist, you gain unprecedented access to unadvertised fixed and variable rates that better accommodate your budget. The right broker may even find other better rates through private lenders, which is an option most people don’t even realize they have.
Note: The Bank of Canada just announced an end to their quantitative easing program, which may cause fixed rates to rise significantly at the onset of 2022. Getting access to lower unadvertised rates is more important than ever before.
You Face Creatures from the Mortgage Lagoon
Have you ever dealt with a bank manager? A home loan officer? Heck, a mortgage insurance salesperson who is trying to meet their monthly quota? Forget ghosts, goblins, and zombies, as there are more intimidating and downright nerve-racking people connected to the home buying process. Between the bank’s underwriting department, closing agents, insurers, inspectors, sellers, and even pushy Realtors there are so many agents-of-stress that you will have you fleeing to the hills instead of into an exciting new home.
Without a broker, first-time buyers are often surrounded by individuals who are looking out for the own best interests – not yours. If you have any hope of getting through unscathed (financially and emotionally) you need to find a protector who will stand at your side every step of the way. That’s what a broker is for. We keep the wolves from huffing, puffing, and blowing down your dream of finding a dream home. We go to bat against the vampires of the industry for YOU, and you alone.
To summarize, when you work with a broker, you don’t have to deal with anyone that you don’t want to. But it gets better. An established brokerage with longstanding ties to the community will have relationships with cordial, friendly, and ethical professionals that actually want to do right by you. For instance, if buying a home in the BC Southern Interior, Carloni Mortgage Brokers will connect and represent you only to the best lenders, insurers, inspectors, Realtors, agents, and others (applicable) so that your entire experience is pleasant.
You End Up in a Haunted House
After over a year of historically low mortgage rates home sales across the Okanagan Valley have skyrocketed. This has served to reduce the inventory, mostly for detached homes. If you planned on getting a mortgage on a single detached house (versus a condo) you’re options are a little limited. A tighter inventory also equates higher prices, which reduces buying power for many. But the concern doesn’t stop there. As addressed earlier, if you don’t work with a broker, you won’t have access to lower and unadvertised rates. As a result of all of the above, your buying power is further reduced and subsequently you may have to settle for a property that you didn’t really want, and perhaps in a less desirable community. We’re talking an older house with bad (possibly buried?) bones, in a unpleasant neighborhood (near a graveyard, perhaps?) and next to neighbors that are spitting images of the Adam’s Family, or worse – the Sawyers or Firefly clan.
Don’t let your dream home end up looking more like a haunted house. A professional broker won’t let that happen. At Carloni Mortgage Brokers for instance, we provision access to lower rates, preferred terms, and first-time buyer incentive programs that can significantly reduce downpayment requirements and monthly expenditure. This significantly increases your purchasing power. You don’t have to move next to a cemetery after all. Unless you want to (weirdo).
Carloni Mortgage Brokers will exorcise the demons of the first-time home buying process. If in the market for a home in Penticton or the surrounding BC Southern Interior, give a ring for a friendly and helpful conversation.