Find a mortgage broker in Melbourne
Last updated on 19 May 2022
Struggling to apply for a home loan? Contact a mortgage broker in Melbourne today and learn about your options.
A local Melbourne broker can help you find a mortgage and even manage the application process for you. Everyone from first home buyers to experienced property investors can benefit from a mortgage broker’s expert advice. From the Melbourne CBD to Dandenong, to Yarra and Monash and beyond, find a VIC-based broker near you at RateCity.
Unless you apply for a home loan every day, it’s easy to be overwhelmed by the mortgage market. Everything from calculating repayments to working out the right loan for your financial needs can seem too confusing to be worth it in the long run.
Fortunately, mortgage brokers navigate the world of home loans every day, and will be happy to lend you their expertise, whether you're a first home owner or you're buying an investment property. Brokers can take care of the entire process of researching and applying for home loans, save you time and hassle completing the application paperwork, and even negotiate with the lender on your behalf to get you a better deal on your new home loan or investment loan.
Even if you know a bit about mortgage products after applying for your first mortgage, you could still benefit from help from a broker when the time come to refinance. A finance broker can compare the interest rates of different loan products, and handle all of the calculations and paperwork involved with refinancing, allowing you to concentrate other areas.
Mortgage brokers in Victoria and around Australia may operate on their own or as part of mortgage broking franchises. To get a better idea of a mortgage broker’s qualifications, check if they have an Australian Credit Licence, or a membership in an broking industry organisation such as the Mortgage and Finance Association of Australia (MFAA). How long they've held these qualifications can give you a better idea of how many years of experience they've had
The other way to be confident about a mortgage broker’s performance is to look at their ratings and reviews from previous customers. Word of mouth can make a big difference to your search for the best mortgage brokers for you and your financial goals.
Service you can rely on
Visiting a mortgage broker is usually free in Australia, as most mortgage brokers are paid commissions by banks and mortgage lenders rather than charging fees to borrowers. Since contacting a broker should cost you nothing, you can confidently ask for their help managing the whole process of finding and applying for a suitable loans.
Remember that even though brokers are paid by banks, they work for borrowers. A broker can’t recommend loan options that they know you can’t afford in your financial situation, and should act in the best interest of the borrower, even if the commission may not be as high. To learn more, politely ask your broker about how they are paid.
The type of loans a broker can issue
There are a range of different home loan a broker may be able to offer you. The type of loan best suited to you will depend on what you plan on using the property for and your personal financial circumstances.
Types of home loans for different borrowers:
- Owner-occupier home loan - When you intend to live in the property you are purchasing.
- Investor home loan - When you intend to rent out the property you are purchasing for investment purposes.
- Refinancing home loan – Sometimes the existing loan you have may not work for you anymore, whether due to high rates and fees or a lack of features. Brokers may be able to assist you in refinancing, or switching, to a new home loan.
It’s not just what kind of borrower you are that a broker will consider when issuing a home loan. There are different interest rate and repayment types that come into play.
Types of interest rates and repayments:
- Variable home loan – When the interest rate is subject to market fluctuation, as influenced by the Reserve Bank of Australia’s cash rate and the lender’s preferences.
- Fixed home loan – The interest rate is locked in at a set amount for an agreed upon period of time. Your interest rate and repayments will remain the same throughout that fixed period.
- Split home loan – A combination of the above, a broker may issue a home loan that allows borrowers to divide a portion of their mortgage to a variable rate and another to a fixed rate.
- Principal and interest – A home loan repayment type where you pay both the principal and interest in your repayments.
- Interest-only – A repayment type where the borrower only pays for the interest charges, not the principal, for a set period of time. Repayments are generally lower, but you’ll potentially pay more over the life of your loan by not chipping away at your principal amount.