What to ask your mortgage adviser

When you’re shopping around for a mortgage, there’s a lot more to consider than just the interest rate. Which is why it pays to work with a mortgage adviser who understands the complexities and can guide you every step of the way. But choosing the right mortgage adviser can also be tricky. Here are 5 questions we suggest you ask before deciding on an adviser.

. Why should I choose a mortgage adviser and not a lender?
As well as finding you the best interest rate, a good mortgage adviser will have an intimate knowledge of lenders and financial products and should be able to advise you on which one is right for you. An adviser will also guide you through the home loan application process, taking the pain out of you having to research home loans and shop around for deals.

2. How much experience do you have?
Buying a home can be a complicated and stressful process, so it pays to know you’re in safe hands. Check that your adviser is certified as that means they’ll need to adhere to certain standards when it comes to performing their duties as a mortgage adviser. Experience is equally important because it means they’ll have a network of lenders to choose from. An established adviser will also have access to an arsenal of industry professionals who they will be able to refer you onto should you need it.

3. What are your typical clients like?
It makes sense to choose an adviser who has experience in working with people just like you. This is particularly important if you’re a first-home buyer and taking advantage of Government grants, monetary gifts from family or guarantors – it’s vital you work with an adviser who understands the intricacies involved in these types of transactions.

4. How are you paid?
Most mortgage advisers are paid a commission by the lender on settlement, but some charge fees on top of any commission they receive so make sure you’re aware of what these fees are before you sign up – it’s important you know about these and plan accordingly.

5. How many lenders are on your panel?
One of the biggest advantages to working with a mortgage adviser is the amount of choice it opens up to you in terms of both lender and financial products. It makes sense that the more lenders an adviser works with, the better. Most advisers work with the bigger banks but you may want to check whether they have access to smaller lenders or non-bank lenders as these options may be more suited to your situation. It’s also worthwhile finding out how your adviser decides on the right lender or home loan for you.