We Need a World Cup of Home Loans

Graeme Salt

Once every four-years, the best football teams in the world come together to establish who is the very best.


 


Once every four-years or so, homeowners are best off meeting their mortgage broker to see if they have the best loan for their needs.


 


The processes between the two are surprisingly similar – although the outcome very different.


 


In the World Cup the teams come together in one place, the coach does some analysis, a strategy is devised, the teams go head to head, and after a period, they work out who is the winner.


 


It’s the same with mortgages; your mortgage broker has a powerful database which pulls together thousands of loans, talks to you about your strategy, does some analysis, compares the loans and works out the best option.


 


The big difference is the result. Even the beautiful game is predictable – let’s face it, would you bet against The Big Four of Germany, Argentina, Brazil, or The Netherlands?


 


But mortgage brokers can often turn up loans that are surprisingly competitive. This is because a good broker knows who is doing the deals. Some loans are only available through brokers (for example AMP, Macquarie and Choicelend).


 


Similarly, other less well-known lenders have very competitive niches (for example ME Bank’s fixed product). Only occasionally does one of the Big Four banks turn out to be the winner. Sometimes home owners have been given a raw deal without realising – a loan that was once seen as world-class is now looking tired and clumsy and needs to be retired.


 


Don’t wait till injury time to review your loan. Once every four years, seek the advice of experts – a good result will make you feel on top of the world.


 


Graeme Salt is a Sydney-based mortgage broker.  For a no-obligation consultation, he can be contacted on 02 9922 5055.