If you're thinking of applying for a home loan, there are a couple of ways you can go about it. You might directly approach a bank—either your own or one you've not dealt with before—or you can go through a mortgage broker. Both options will help you get closer to your lending goals, and both have benefits to be aware of.
What are the benefits of going through a bank lender?
Speaking to a lending specialist at Suncorp Bank means that you'll be dealing with someone who knows the products they offer back to front and inside out. So they'll not only know which products are available and what the benefits are, they'll also know the less obvious stuff, like fees and lending criteria.
Since a Suncorp Bank home loan specialist has an intimate knowledge of Suncorp Bank home loan products, they'll be able to answer your questions quickly and thoroughly.
They're available 7 days a week, by phone or at a time and place that suits you, and all consultations are free, with no obligation.
Talk to a home loan expert
Getting your home loan through the same bank with which you have other products might also be beneficial. For example, if you have a Suncorp Bank Everyday Options transaction account and you combine it with a Suncorp Bank Standard Variable Rate or Fixed Rate home loan of over $150,000, you can take advantage of our Home Package Plus offer. This means that you'll receive a discounted interest rate, $0 loan establishment fee and $0 monthly account-keeping fees. You could also enjoy optional benefits, such as no annual fee credit cards.
What are the benefits of using a mortgage broker?
A mortgage broker, since they're not aligned with any one lender, can potentially offer you a broader range of products from a variety of financial institutions. This offers you more choice and may enable you to discover a product or lender that you hadn't otherwise considered.
Which is better for me?
Ultimately, there's no one correct choice. Applying for a home loan can be a stressful time, and you should go with the method with which you're the most comfortable.
It can be a good idea to ask friends about their experiences and recommendations. And don't be afraid to speak to multiple lenders or brokers.
If you'd like to meet with a home loan specialist at a time and place that's convenient for you, you can book an appointment today.
Book an appointment
Related links and products
Home Loans are provided by Suncorp-Metway Ltd ABN 66 010 831 722 AFSL No. 229882 Australian Credit Licence 229882 (“Suncorp Bank”) to approved applicants only. Please read the relevant Product Information Document, Lending Fees and Charges and Home Package Plus Terms and Conditions before making a decision regarding any Suncorp Bank products. Fees, charges, terms and conditions apply and are available on request or on our Product Information Documents and Forms page.
FAQs
A mortgage broker can offer a wider array of options and streamline the mortgage process, but working directly with a bank gives you more control and costs less.
What is a disadvantage of a mortgage broker? ›
Brokers Often Do Not Guarantee Estimates
This means that the broker believes that the offer will embody the final terms of the deal. However, this isn't always the case. In some instances, the lender may change the terms based on your actual application, and you could end up paying a higher rate or additional fees.
Is it better to use a mortgage lender or bank? ›
bank for your home purchase? If you need help shopping around, a mortgage broker could help you compare options with many different lenders. If you're already loyal to one bank, or if you want to shop around on your own, going with a direct lender could be the better choice.
Why is a broker better than a bank? ›
A broker can organise revaluations on your property and reassess your loans in the context of the market at any point in time. At a bank, you're less likely to be contacted about your existing home loan after drawdown, and you're almost certainly not going to be called by them offering you a better rate!
Is it worth paying a mortgage broker? ›
It's important to see a mortgage adviser at the start of your mortgage journey whether it's your first mortgage or you're looking to re-mortgage. It will save you a lot of time and effort in the long run. It's a good idea to speak to a few different firms to see what's on offer and to compare fees.
Do mortgage brokers charge a fee? ›
All mortgage lenders pay a mortgage broker a commission or procuration fee, typically being 0.35 percent of the full loan size. Any additional fees charged to the client are optional and are individual per broker. Some brokerages, such as Boon Brokers, operate on a fee-free basis for their clients.
What not to say to a mortgage broker? ›
10 Things Not To Say To Your Mortgage Broker | Loan Approval
- 1) Anything untruthful.
- 2) What's the most I can borrow?
- 3) I forgot to pay that bill again.
- 4) Check out my new credit cards.
- 5) Which credit card ISN'T maxed out?
- 6) Changing jobs annually is my specialty.
If you're keen to get the most competitive rates and terms for your circ*mstances, however, it's probably best to look at the wider market. You could do so independently, but using a mortgage broker to compare deals is easier, quicker and likely more thorough.
Can a mortgage broker get me a better rate? ›
Using a mortgage broker can speed up and remove some of the stress involved in the house-buying process. As mortgage brokers have access to special deals, they may also be able to get you a cheaper mortgage than you can find yourself. Some will even tell you about better mortgages you can only get direct.
Who is the best mortgage broker? ›
Best mortgage brokers
- Habito* – Online first. – Fee-free. – Rated 4.8 on Trustpilot with 6,855 reviews. ...
- L&C Mortgages* – No fees. – One of the UK's largest mortgage brokers. – Founded in 2002. ...
- Better.co.uk* – Online first. – Fee-free. ...
- John Charcol* – £699 standard advice fee – but this can vary. – Been around for over 45 years.
They typically earn a commission of around 1%-2% of the loan value, which the borrower or the lender can pay. When you take out a larger loan, your mortgage broker makes more money. A mortgage broker's total compensation can be paid through various means, including cash or an addition to the loan balance.
Is it better to go with a local bank for a mortgage? ›
While big box banks may offer basic mortgage solutions, local lenders tend to have a wider range of mortgage products that meet unique client needs. Flexibility and Local Expertise: Do you value flexibility when it comes to your loan terms and conditions?
Should I use a broker or go straight to the bank? ›
Consumers aren't obligated in any way to choose between mortgage brokers and direct lenders. In fact, they can call both to compare their rates and judge which route they want to take. A bank may be a good place to start, especially for those who have a good relationship with their own financial institutions.
Are brokers safer than banks? ›
While bank balances are insured by the FDIC, investments in a brokerage account are covered by the Securities Investor Protection Corporation (SIPC). It protects investors in the unlikely event that their brokerage firm fails.
Why do banks pay mortgage brokers? ›
Most mortgage brokers receive a commission from the lender. They receive this payment for the business they are bringing to the bank. This means that a home buyer is able to receive free advice, support and guidance, along with a choice from a range of different lenders from a qualified home loan expert.
Do mortgage brokers have your best interest? ›
Best interests duty only applies to mortgage brokers and not banks or other non-bank lenders. So unlike when you go directly to a bank or lender, your broker is required by law to act in your best interests.
What are the main differences between being a mortgage broker and a mortgage banker? ›
The distinguishing feature between a mortgage banker and a mortgage broker is that mortgage bankers close mortgages in their own names, using their own funds, while mortgage brokers facilitate originations for other financial institutions.
