Would you expect a sports star to rock up, with no preparation and play a blinder ? No, neither should homebuyers expect anything less of a mortgage broker.
Would Dustin Martin have won the Brownlow without off-field preparation? Could you be in your new home without your broker having spent months on the deal?
Does Sam Kerr spend all her time in the six-yard box with no spade work? The key date for property is settlement day, but there is a whole heap of work that needs doing before then. Get it wrong and it could cost you a lot of money and even more stress.
My sporting prowess is nowhere as near as good as these two. But, over the years, I have really developed my A-game so that, on the day of settlement, my clients move into their new home on time and with a smile on their face.
There’s a whole heap of things that need doing in advance to make sure settlement occurs smoothly.
The buyer has to sign documents
Often the bank sends a pile of legalistic loan documents to the client with clearly labelled ‘sign here’ tags. Its hard to go wrong with these. But, if I have been concerned that they would be completed incorrectly, sometimes I will go out of my way to ensure they are completed correctly.
The other weekend I had to shoot round to CBA’s Parramatta Settlements team so that the clients could move into their home on time (and not face massive penalties). I even had to charm the cleaners to let me in to the CBA building so I could drop documents off out-of-hours .
The week before, a client had previously used Wite-Out on the mortgage document (this is a massive no-no as the mortgage is one of the legally most important document). Once the previous error had been identified, I got the lender to send the mortgage to me, the client came round to our home and we redid it.
The buyer needs insurance
Often a lender will need to be satisfied that the building is insured and that they are cited as an interested party. Consequently, I have raised a quote for the client and/or made sure that their insurance is for the right amount.
It is then the broker’s job to ensure the bank has a copy of the insurance and is satisfied so that settlement can happen – a bit like water polo players having to show the referee their finger nails have been cut before being allowed to play.
The buyer has to contribute their own funds
Banks will never lend more than 95 per cent of a property’s value, which means that the purchaser has to contribute something themselves (plus pay the stamp duty). These funds must be available at settlement. I try to ensure that the lender has set up an account for the client, where funds can be deposited. I then ensure the bank is authorised to draw on those monies at settlement.
The buyer needs to know what’s going on
Settlement can be very stressful, especially for first time buyers, who don’t know what is going on. A quick text, email, or phone call can be key to keep everything in balance and the client having a good experience.
How good does it feel when your coach gets a message to you that they think you a progressing well?
I am not the Roger Federer of the mortgage broking world. But I work hard for my clients – when they get a result, I get a result.
If you would like to know more about how I can help you buy your home as easily as possible, please contact me on 1300 30 67 67.