Why you need an Australian mortgage broker

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Why do you need an Australian mortgage broker?

After you've decided to invest in an Australian property, now you want to take a loan for the purchase. What do you do next?

Investing in a different country can be a difficult process even if it is neighbouring Australia. You may not be familiar with the local laws and processes.

Any setback can delay your investment opportunity further.

The easiest way to get past all this and ensure that your loan application goes through quicker is to look for an Australian mortgage broker to help you.

Pick the right Australian lender

In the mortgage industry, more than 40% of all home loans get declined. This is usually because these borrowers were not aware of the lender's requirements at the time of application.

Finding the right lender can be even more difficult for Singaporeans since there are few lenders who process non resident loans and they usually have very strict qualifying criteria.

Typically an Australian mortgage broker who is a specialist in non-resident loans will use their knowledge and experience to assess your situation and offer you a choice of two or three loan products that best suit your needs.

Non residents have zero credit history

Did you know that as a non resident borrower, lenders will consider you to have no credit history? This means that you should look for a lender who won't look at your credit score.

A credit score is an automated assessment of your home loan application using your credit history and other details, to inform lenders of how risky your loan is to them.

An experienced Australian mortgage broker can help you find a lender that will consider a zero credit history and still approve your loan.

In general practice, a borrower without a credit file or history will have a low credit score.

No unnecessary delays

Another benefit of using a mortgage broker is that they can tell you exactly what is missing in your application.

This helps in speeding up your application since all your documents will be ready at the time of submission.

At the same time you will know how favourable your situation is since your broker will know exactly what kind of borrower the lender prefers.

Increase your chance of approval

Ultimately a mortgage broker will do everything to increase your chance of approval, handle all the small details and advise you on how to proceed.

If you do not have a mortgage broker you would need to know the Australian home loan application process in detail and also have a good financial background to make sure everything goes smoothly.

Save your time and money

Property investing is also about buying at the right time as much as it is about finding the right property.

Using a mortgage broker ensures that you do not suffer unnecessary delays and your purchase comes to fruition according to your investment strategy.

How to find the right broker?

If you have friends or relatives who have used a mortgage broker before, then ask them for a referral. If not, then look them up online and find testimonials from past clients. Australian mortgage brokers also need to be a member of the MFAA (Mortgage Finance Association of Australia) and a valid credit license to offer their services.

When you do speak with a broker, ask them for their experiences in handling non resident home loans. If possible, request references of past clients, preferably those who are also in Singapore.

It is also important to pick a broker that you can work with comfortably, after all they will be communicating with you constantly and will be in charge of your personal details and financial documents.

Article and image contributed by  

Home Loan Experts are an award winning mortgage broking company from Australia that specialises in non resident mortgages and has a strong history of working with Singaporean clients.

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