If you’re looking for an adverse credit mortgage, then an adverse mortgage broker may be your best bet. That’s because an adverse mortgage broker will be able to have an overview of the market and will specialise in the area, which makes the broker the best person to advise you and help you choose the perfect adverse credit mortgage. However, not every adverse mortgage broker is alike and there are a couple of issues you may want to consider when making your selection.
Before you start, remember that you will get the best advice from the adverse mortgage broker to whom you give the best information. There’s no point in fudging the truth about your adverse circumstances, only to get turned down for an adverse credit mortgage at a later stage. Instead, let the adverse mortgage broker know how many County Court Judgements (CCJs) have been issued against you, whether you have paid them or not and when they were issued. Tell the adverse mortgage broker about arrears, defaults, bankruptcies and individual voluntary arrangements. It’s the only way that the adverse mortgage broker can get a bad credit mortgage deal that is right for you.
How The Broker Is Paid
When choosing an adverse mortgage broker you may want to find out how the broker will be paid. Most brokers either work for fees or commission. If your adverse mortgage broker operates on a fee-based model, then the broker will charge you a fee for finding a bad debt mortgage. Some people prefer this model, because they are sure the broker is working on their behalf. Another option for earning for the adverse mortgage broker is commission on the mortgage product recommended. This means that they take no fees from you, but get paid by the adverse mortgage lender. The advantage for you is that there is less money coming out of your pocket.
A key question in selecting an adverse mortgage broker is how much of the market the deals cover. Some brokers operate with a panel of lenders and will only offer mortgages from that panel. Of course, panels can be large and can include major lenders, so this might be fine, especially if you have a preference for a certain lender. Other brokers cover the whole of the UK market. That’s hundreds of providers and thousands of deals, which means there’s a lot of choice when picking a deal for you.
Your adverse mortgage broker will have the job of picking your mortgage and it is important to know your broker’s expertise. Find out if the broker has experience in dealing with adverse credit mortgages before making your final selection. This is a specialist area of the mortgage market and you need a specialist broker to advise you.
These are the factors that you need to pay attention to when choosing an adverse mortgage broker. Get them right and provide all the relevant information and you can relax while your adverse mortgage broker picks the right adverse credit mortgage deal for you.