This article aims to answer the common question as to why people choose to use a mortgage advisor, rather than going to their bank or online. And perhaps, look into the deeper question of why people choose me specifically to arrange their mortgages.
There is a vast range of mortgage customers, from first-time buyers who know very little of the process except what they’ve heard in the pub, to people who are renewing for the third time and have done all their homework.
Therefore the needs of each mortgage customer varies greatly too.
First time buyers may feel they need to go over each step of the process in detail to feel confident about any decisions, while others with more experience just need to get the job done and trust a particular broker to handle the details for them.
The common need a mortgage advisor provides for
One thing everyone has in common though is that they want to get the right mortgage; and so they should, it’s a big monthly bill that remains for many years.
Bear with me for a recent anecdote… I received a letter from the RAC which arrived at around the same time as some emails informing me of my upcoming membership renewal. For me, this is always a welcome reminder. I’ve been with the RAC for three or four years now and to be honest I’ve always just let the policy automatically renew as the bill was never that big. However, this year I thought I should take my own advice and have a closer look at the renewal proposal.
At £220.99 for the policy and £99.00 for the arrangement and administration fee I began to question just how much admin was needed! I’m an existing customer so how can there be any admin on auto renewal, especially with much of the process being handled by tech/AI.
My next step was to review alternative roadside assistance memberships, and I found a replacement policy for £146.16, so quite the saving. To be upfront this was on a new customer discount but still, it’s a big saving.
Then it came down to making a call to the RAC to explain the situation. The call handler was brilliant and after the initial sales pitch she said, ‘leave this with me and I will come back to you.’ Two minutes later I was informed they could match the deal I had found.
It was the same for my DocuSign account for digital signatures - this account makes life easier for clients to sign their paperwork. The renewal was £480 for the year, so not massive but I thought I would have a look at the other options now available. Low and behold I found a company offering the same solutions for £240. When I went to cancel DocuSign, I was offered a 50% discount.
Now, mortgage lenders don’t do price matching, so it isn’t my advice to try that tactic next time you need to renew your mortgage. The message, and my advice is that it’s worth looking at your options before you remortgage automatically. Your existing lender may not be the right choice for your next mortgage, and if you don’t use an advisor, you may be missing out on a lot of options, especially if like me they represent whole of market.
Don’t wait for your remortgage renewal notice
Not all mortgage brokers charge a fee for their advice, but they all dedicate time and energy to finding you mortgage deals that fit your circumstances. You really have nothing to lose when it comes to choosing to work with a mortgage advisor. Except for time, you need to make sure you’ve got enough time to go through proper research before your renewal.
I’m Marc Kavanagh, a whole of market mortgage advisor who doesn’t charge a fee for any advice or arrangement of mortgages. I can do this because the commission lenders pay all mortgage brokers covers my costs.
If you’d like a sense-check on your upcoming remortgage, I advise contacting me between six and nine months before it comes up. This gives us plenty of time to get the paperwork sorted, go through identity checks and iron out any wrinkles in the credit ratings, before securing a mortgage in principle.
Call me today on 01869 390490 to ask any questions or start the process.
