The broker is an intermediary operating in the field of real estate to help the purchasers of a property to obtain financing for their project. The borrowers use this credit professional because it allows among other things to obtain a mortgage cheaper through their profession and status.
The benefits of a cheaper home loan
Best broker rate from Marina One Residences Singapore. In all types of credits, interest and fees determine the cost. They are added to the capital to be repaid and, depending on their rate, they increase the amount to be paid a little or a lot. It should be noted, however, that the insurance rate remains fixed and is generally 0.36%. However, each bank and each credit institution has different interest rates, which means that there is a big difference between the amounts to be reimbursed between two loans of the same amount but different rate.
A professional enjoying the trust of borrowers and bankers’ favors
Credit brokers are intermediaries in banking operations. Thanks to the development of their profession and their expertise, they benefit from the trust of the borrowers. First-time homebuyers and credit applicants who have already been turned down by some banks use credit brokers to make sure they get financing. The latter obtain advantageous rates for their client thanks to several reasons:
– Brokers generate a very important business volume
A real estate broker processes a dozen files at a time. It allows bankers to expand their client portfolio. However, he is free to choose for his clients the bank that can offer the best credit offer. Thus, to attract the favor of brokers and to attract customers, banks offer the best rate.
– Brokers help banks to study borrowers’ files
Real estate brokers are credit professionals who study borrowers’ files in advance. Their know-how and their professionalism allow them to transmit files of better quality to the bank.
The files processed by a broker stand out as being a complete file, an impeccable financial arrangement, a request adapted to the situation and the profile of the borrower. This means that almost all loan applications that go through brokers receive one or more favorable responses. To reward brokers for this quality of work, banks give them a better rate.
An advisor and negotiator with significant bargaining power
Best brokerage rate Marina One Residences Singapore. The credit broker works with several banks and credit institutions. He is free to choose which bank he will send his clients’ files to. As a result, it is in the bankers’ interest to have a dealer network or an independent broker choose their location. This is a bargaining power that allows the mortgage broker to demand the best loan terms for his client.
First, he advises his client on his rights and obligations as a borrower. It allows him to know the why and how of the mortgage before committing himself. It helps him to make the proper file mounting. He also advises his client on loan conditions that are advantageous to him depending on his profile: the duration, the amount, the amount of the monthly payment, etc.
Secondly, the broker from Marina One Residences Singapore puts all the banks he works with to obtain the best real estate loan for his clients. Apart from obtaining a cheaper credit, he can get cheaper insurance, reduced processing fees or even a € 0 processing fee, a non-payment of penalty clause for early payment, etc.
He may threaten to stop proposing new files to a bank if he feels that he has not done enough for previous cases and is blocking the file for the last client. Thus, he can give a boost to the latter if he judges that it does not represent a risk for solvency and reimbursement. This also helps revive his relationship with the bank for the next customer negotiations. The advantage of the broker is that he always has loans to finance which means that the banks must pamper him much more than the individuals who commit to them only once in their life for a real estate purchase or sometimes make some credits in their life but very little in comparison with a broker.