You’ve done the research, you’ve found your ideal neighbourhood, done the slog work of house hunting and have made an offer on your dream home! Now you just need to get a home loan… For many people, however, this is where the joy in purchasing property a home ends – the questions and uncertainty around where to start, which banks are likely to give a loan, what documents do you need, and so forth.
If this is where you find yourself, fear not! The help of a bond originator will be your saving grace – it’s their job to make the complicated process of applying for a mortgage an easier and more convenient one for you. Here are five more reasons why this is the best route to go!
- They guide you on what documents you need
One of the first tasks of a bond originator is to make the application process as smooth and stress-free by pre-empting all necessary documents you need to provide so that they can apply on your behalf to the various banks.
If you’re self-employed or a business owner, the documents you need to provide is slightly different to those who are full time employees. Your bond originator need to guide you step by step through this and can assist with whatever else you need.
2. They negotiate the best deal
One of the major benefits of using the services of a bond originator is that you know you will get the best deal. If a home loan application is submitted via a bond originator, the banks will immediately know that every other reputable financial institution is also seeing your application. In short, the banks will know that if they don’t put their best offer on the table, they could lose out to a more competitive institution.
On the other hand, if you submit your application on your own, the banks will feel less pressure to be as forthcoming and to even consider giving you a fair deal. In addition, it will take serious time and energy for an individual to apply to every single bank – banks are aware of this and, thus, is less likely to give a offer a competitive offer.
Another factor to consider is that a good originator won’t just settle for the first offer. It’s their job to take this offer and to negotiate to see if they can’t get you an even better deal. In addition, banks are often willing to offer lower interest rates to applicants through bond originators, given that the bond originator is likely to offer the bank more business with other clients – a trump card that individuals don’t have in their pockets.
3. They anticipate any issues that might block your application
Bond originators are highly skilled at presenting your financial history and current circumstances in the best possible light to each financial institution. And as applying for bonds is what bond originators do on a daily basis, they’re also able to build valuable relationships with the banks, and will have a much clearer understanding of what banks look for in application.
This not only enables them to tailor your application to appeal to each of the banks in the best way, but they can also ease concerns that the banks might have about your past, present or future prospects. Of course this doesn’t mean that they lie or misrepresent things, but they can argue on your behalf – it can be very difficult for an individual to get face-time with a bank representative to discuss these matters, so it makes sense to task the best person for the job to do so!
In turn, the originator will also be able to advise you on matters that they think might be hurdles for the banks or that would be more advantageous for your application – such as a higher deposit or cleaning up on your credit record.4. It’s free to you
We know that there are very few things that are free nowadays, but the services of a bond originator are totally free to you, the applicant; in addition, the bank fees involved in registering a new loan are the exact same regardless of whether you go directly or use a bond originator.
So, how does a bond originator make money? They get commission from the banks on successful applications. It’s important to note, here, that a bond originator isn’t guaranteed commission unless an application is successful – this is another motivating factor for them to assist you in getting the best deal.
For the Rawson Finance team – the Bond Originating arm of Rawson Properties – the commission earned is really just a small part of their reward; for them it’s more important to help buyers through the daunting process of applying for a home loan by leaning on our expertise and knowledge. We’re all about happy clients!
5. A higher rate of success
Statistically speaking bond originators have a much higher success rate in getting an application approved and enabling perspective buyers finalise their purchase. Many of these reasons are mentioned above.
The great news is that you don’t need to be purchasing a property through Rawson Properties to make use of the Rawson Finance Team, our Bond Originating arm. If you like to find out more about their services or would just like to chat to someone, please contact 021 658 7100