If you’re thinking about applying for a mortgage, it’s worth getting the advice of a mortgage broker, and in this article Rethink Group will go over some of the basic things to know before you start your application, to give you an idea of the questions you should be asking.
First of all, which bank should you choose?
While it’s true you can complete your own research with the major banks in the market place, not all of them offer their best deals directly to the market. As with every industry, those who work and live in it every day tend to know what the market is doing better than most. Mortgage brokers have the knowledge and ability to negotiate with not only the banks, but non-bank lenders too, while keeping a client’s needs at the forefront.
Similarly, when you are applying for a mortgage, one of the final requirements is to have house insurance, and life insurance is highly recommended. This is for peace of mind of all parties involved, both the homeowners and the lenders. It gives the lender peace of mind in knowing that if anything were to happen to your asset (home), they would be able to still get the value of the loan back.
Having good life insurance before taking out a mortgage is entirely for the benefit of the homeowner. Essentially, if you were to become sick or die, the bank would be able to sell your house in order to have their loan paid back. The bank is covered but your family may have their lifestyle completely changed. Life Insurance ensures that you and your family are protected, not the bank.
When you’re self-employed, the requirements for a mortgage application are typically the same, but the evidence required to prove your financial state to the bank can be more difficult to get hold of. Sometimes, being self-employed can mean that your income will be less stable than those on a salary. Many banks are wary of this, as is means they are less assured of having their loan paid back. Brokers such as Rethink Group can help as they understand finances, and have the skills to put you in contact with the banks who do accept self-employed income.
When buying a new property or refinancing your current mortgage you need the right mortgage broker on your side. Rethink Group work hard for you, ensuring you get the best mortgage interest rates available, and that your new mortgage is structured in your favour and not the bank’s, so for more information on self employed mortgages, refinancing mortgages NZ and investment property mortgages please go to https://rethinkgroup.co.nz .