People spend more time shopping for a home to live in than they do researching the bank loan they will need to buy it. It seems a curious inequity. Mortgage documents are possibly the most tightly binding agreement created by the Western legal system, and yet very few home owners even understand what they are signing themselves up for.
Though stressful and at times depressing, house-hunting for a home to buy for your family to live in is also exciting, maybe even fun (assuming you pack your lunch and don’t end up cranky and hypoglycaemic by the end of the day). With every house you visit you feel you are getting closer to a home that will suit your needs, budget, and personal circumstances.
Shopping for a mortgage is a lot less interesting: looking for interest rates online, reading about different structures line of credit, redraw, honeymoon rates, with a debit card or without it can get very dull and can be very confusing. The lending organisations all have different offers, different loan features and different rates. Should you go for a Big Bank or a credit union or an independent lender or outsource the whole business of choosing a loan to a broker, who is hopefully independent and trustworthy and not taking a massive kick-back that will add thousands to your loan over 30 years.
It’s a minefield.
There is also the emotional pressure behind the decision taking out a mortgage is possibly the biggest commitment you will ever make (it’s easier to request a divorce these days than get out of a mortgage. Sad but true).
That said, finding the right loan for you should be almost as exciting as finding the right property. When you have found the best deal, most appropriate lending terms, lowest interest rates, it can be a source of great relief and add significantly to your peace of mind. No wonder more and more people use a mortgage broker to get their loan relying on expert assistance in an area where your personal knowledge and expertise may be limited.
There are always, of course, the people who wish to avoid dealing with a middle man, save themselves the finder’s fee and are prepared to do the hard yards themselves, when researching their home loan. For those people, life just got easier. A new service called DealMax helps people compare banks and lenders and get a private, non-advertised lending rate on their home loan.
The customer-direct-to-bank private quoting service is unique in Australia and it means can request a personalised rate in real-time from an array of well-known lenders. DealMax is not a broker, and though at the moment the service is limited to term deposits and home loans, eventually they plan to offer rate investigations on term deposits, personal loans, car loans and credit cards.
So, if you are a bargain hunter and you want to get the best possible deal on the biggest purchase you are ever likely to make, you might want to have a play on the DealMax website and see what you can come up with.
Janice brook is studying accounting at UTS, she is final year student and her passion is writing content around business and financial market changes. When she was writing content on comparing bank interest rate for home loan, she have found a found DealMax helps people compare banks rate and provide private quoting.