Mortgage Choice CEO, John Flavell was recently interviewed giving his take on the current lending climate for home buyers and he made some interesting points:
- 1. Increased Legislation
The industry is much more highly legislated today than at any time in the past.
When we consider that 20 years ago borrows were able to certify their asset position for themselves and a loan application was no more than a page long, we’ve come a long way. .
"Today, new legislation requires brokers and lenders to forensically examine a borrower’s assets and liability situation. They are also required to verify a borrower’s employment through documentation as well as telephone checks and discussions with employers. This level of assessment should be respected,” said Flavell
2. Duty of Care
Your broker should have a duty of care and the profession has become increasingly ethical in recent years.
As Flavell points out, “The more due diligence that is undertaken and the more forensically a borrower’s financial situation is examined, the better the result for everyone. Borrowers are not finding themselves in loans they cannot afford, which is good news for the borrower, the broker and the lender. At the end of the day, nobody – lender or mortgage broker – wants a consumer to be in a situation where they access credit they can't afford.”
3. Holistic Service
John Flavell has gone on record many times stressing the importance of having a ‘big picture’ approach to wealth creation through property. Mortgage Choice is about to enter its fifth year offering a full financial service so all Mortgage Choice customers have access to affordable, transparent financial advice.
Peter, Emma and the broking team at MC Sutherland / Cronulla work closely with Ciaran Davis in our award winning Financial Planning franchise to ensure that every step is taken to protect our customers when life throws them a curve ball. If it’s our job to assist people to spend their income on the biggest purchase they are ever likely to make then it’s definitely our job to make sure that income and that asset are proteced.
If you are ready to put your financial health in order in 2018, call us and make an appointment on 95211611.