How do you choose your mortgage consultant? - Courtier hypothecaire

Repayment of a mortgage is an endurance sport. There are a lot of strategies that can help you to win (that is, pay as little interest as possible). A good mortgage consultant (courtier hypothecaire) is an important asset who is able to help you obtain a good mortgage with the perfect mortgage strategy that will help you year after year so that you can pay off your mortgage more quickly without it affecting your lifestyle.

It is not very difficult to find a good mortgage counselor. Just as you would hire someone to work for you, think of your mortgage broker as a good employee who will be with you in the future. He should be, because he will be there to help you save money over the next 15 or 25 years - courtier hypothecaire.

Important areas to think about when you are looking for a good mortgage consultant:

Three kinds of mortgage counselors

Working with each type of home loan consultant has advantages and disadvantages:

• Bank representatives This type of consultant only shows you the loan products his lending institution has. He is also responsible for other banking duties than just finding a loan strategy for you. He is paid a salary by the bank, and he may get a bonus if he has a lot of loans.

These bank representatives act as mortgage consultants. They are the people who submit the mortgage application to the bank. But today, there have been changes that let lenders offer their mortgage products through mortgage brokers or mortgage marketers. The bank representative offers mortgage products for the institution he works for.

• Mortgage marketing agent. They only offer loans, including mortgage loans. The financial institution they get the loans for pays them a commission - courtier hypothécaire.

So that they can serve their customers better, banks are now using local representatives. These marketing agents are closer to the client and may go to different clients, but they work for the bank or lender. The mortgage marketer is paid a commission by the financial institution for each loan he generates.

• Mortgage brokers - courtier hypothécaire:

A broker is not limited to one financial institution: he can examine the mortgage loans of many lenders to show to the client. He will get a commission from whichever bank he obtains the home loan from.

Mortgage brokers (courtier hypothécaire) have been around for thirty years, but recently have become more of a force in the mortgage market. Mortgage brokers usually deal with 30 or more lenders to find the exact right loan for each client. There are over 12,000 mortgage brokers in Canada and they generate 27% of the mortgage loans.

Things to think about when you pick your mortgage consultant

Choose carefully, you need to choose someone in whom you will have a lot of confidence. Look at two key elements to see if you should have confidence in this consultant:

• Integrity: Will this mortgage counselor (courtier hypothécaire) have only my interests to consider, or will he have to get the best deal for the lender? When a home loan is negotiated, each side wants something different: the bank wants to earn more money and the borrower wants to spend as little as possible. A mortgage consultant who is trying to earn money for his employer may not want to get the lowest interest rate for his client.

• Expertise: The counselor (courtier hypothecaire) you work with should be able to understand all of the mortgage options that are available. Make sure he can comprehend and offer the exact product that will meet your needs, and not be limited to one mortgage.

These are the most critical things you have to watch for, integrity and expertise. Otherwise, there can be no confidence. Here are some examples:

• Perhaps there is a super used car salesman in your town. He is great at selling used cars, but do you have confidence in him? It will depend.

• You may have a great auto mechanic, but can you ask him to repair anything else in your home just because he is mechanically minded and he can fix cars? No, he has no expertise in those fields, no matter how good an auto mechanic he is.

Make sure you make the right decision.

How to describe confidence? It is only a feeling that you can develop when you can see that the person indicates to you that he has integrity and can show you his expertise. You will be working with your mortgage counselor for many years, so you need to have someone who is acting on your behalf. - courtier hypothecaire

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