Do I get a better deal by going directly to the lender?

It's a common misconception in the residential mortgage industry that you can get a better deal from the lender directly. A mortgage broker does most of the work that a lender does and therefore receives a discounted "wholesale" rate from the lenders. This wide availability of products and lenders not only gives mortgage brokers an opportunity to find the loan best suited to the consumer, it also creates an opportunity to provide a very competitive price, thus saving the consumer time and money.

How come your rates are so much lower than the Banks?

Lenders offer lower prices to brokers because brokers perform costly services for them that they would otherwise be forced to provide themselves. The most important of these services is finding and servicing customers' needs.

What about service?

Quality of service is the most important aspect of choosing any lender or mortgage broker. Mortgage brokers are very often small businesses and don't have a lot of money budgeted for marketing and advertising; consequently, their business grows most commonly by referral.

How much do you charge?

Even though I work for you, I get paid by the financial institution. Their “finders fees” reimburse me for bringing them creditworthy customers like you. In very rare cases if you have non-standard credit, I may charge a fee. But in most cases there’s absolutely no charge to you.

What is a good Mortgage Rate and how do the Interest Rates fluctuate?

Most people think their home is the biggest purchase they will ever make, but in actuality, their mortgage is the biggest purchase they will make. Over it's term, you will probably pay more on the interest than you paid for your house. Saving a few fractions of a point on your interest rate can save you thousands on your mortgage.

Mortgage interest rates have fluctuated greatly the past 20 years. As a general rule, when the economy is heating up and stock prices are rising, interest rates tend to follow upward. In turn, as the economy cools off, interest rates tend to drop. Today, rates are much lower than they were in the mid-1980's and 90's. Most financial experts are predicting a rise in interest rates within the next year or two.