FAQs

What is a mortgage broker?

A mortgage broker is an intermediary between you and a lending institution.  They will research loan products currently available on the market, negotiate with the lender on your behalf, prepare and submit your application and manage it through to settlement and beyond.

What is a credit adviser?

A credit adviser is a mortgage broker.

When is the best time to see a mortgage broker?

You can meet with a mortgage broker at any time but it is wise to meet with them prior to looking for a property.  That way you will know how much you can borrow and what your repayments will be as well as discussing various strategies.   Mortgage brokers work with first home buyers, investors and clients who are looking to refinance their loan/s.

What happens when I meet a mortgage broker?

Your mortgage broker will ascertain:

    •  What you are looking for in a home loan

    •  What your future plans are

    •  Calculate how much you can borrow

    •  Calculate your repayments

    •  Explain application fees and other charges associated with the loan (ie. conveyancing/legal costs)

    •  Explain ways you could save money on your loan

    •  Explain Lender’s Mortgage Insurance

    •  Explain the First Home Owners Grant and if you qualify, how to apply for it

    •  Explain how to access equity in your existing home

    •  Discuss structure for investment loans (if applicable)

    •  Discuss your insurance requirements

    •  Source the loan that best suits your needs from a panel of lenders

    •  Meet with you to discuss their loan recommendation and gain your approval to proceed to lodgement of your application

    •  Lodge your loan application

How much does it cost to use a mortgage broker?

The service provided by Axel Finance is free of charge.  The lenders pay us commission once the loan is settled.  The amount of commission is disclosed to you prior to your application being lodged with the lending institution.

I’m happy with the process so far, what next?

Once your application has been lodged, your mortgage broker will respond to any questions you may have and answer any queries from the lender.  The following will then occur:

    •  Conditional Approval – This means the loan has been approved, subject to various “conditions” being met.  It could be that an independent valuation needs to be

       undertaken of the property that will be used to secure the mortgage.  Your broker will advise you if you of what the requirements are.

    •  Formal Approval – Your broker will advise you when formal approval of your loan is received

    •  Loan Contract (preparation) – The lending institution will prepare the loan contract.

    •  Loan Contract (signing) – You will be advised to seek independent legal advice prior to signing the loan contract.  Once the loan contract is signed you should return it

       to the lender in the envelope provided.

    •  Settlement – Once the loan contract has been returned, the lending institution liaises with your conveyancer and settlement day is booked.  On settlement day your

        loan is funded and any further monies that you are providing to complete the transaction are transferred according to your instructions.  Settlement is when the

        exchange of monies and property titles is complete.