Frequently Asked Mortgage Questions Answered — Purchasing a property is one of the biggest financial decisions you’ll make.
It’s natural to have questions and doubts when navigating the mortgage process.
The experts at Investors Mortgage are here to provide straightforward answers to some of the inquiries we hear most often:
**Why should I use a mortgage broker?**

Wouldn’t it be easier to get finance through my bank?

To put it simply, an experienced broker will streamline the process and save you money. We shop hundreds of loan products to match you with a competitive, tailored option you may not find yourself.

Our services are free for borrowers. Banks can offer you only the loan structure that is within their policy, not necessarily what will suit you the best. The available structures vary vastly between different banks. For investors, a specialised investment mortgage broker can take their advice to the next level, helping you grow your portfolio with proper risk management and tailored long term property strategies.

What sort of services is a mortgage broker able to provide?

Mortgage brokers advice on loan options, structure finance strategically, and manage the application process. We assist with credit improvement, paperwork, and loan management over time. Good brokers are a trusted source of intelligence on markets, rates and regulations as well. For investors, we can help with mapping out your future investing capacity based on your long term plan and update you regularly on the trend in the property market to help you grow your portfolio.

Why is it critical for property investors to find a mortgage broker they can work with as a part of their team?

The right broker becomes an invaluable long-term asset. Their specialised knowledge helps investors build a portfolio optimally structured for tax deductions, cash flow and growth. They find innovative financing solutions if you hit roadblocks.

What are the costs involved in purchasing a property?

We have a separate detailed blog post on this question. Click here to read more.

Is there ever a point where you can’t help an investor find finance?

The investors’ income generally has a limit, when it reaches that limit, many lenders won’t lend them any more money; When your income runs out, you need to rely solely on equity, if you used up your equity, then you will find it hard to obtain finance from anyone, but if you learn how to create sufficient equity along the way, your finance can still go a long way.

If you run out of both your income and equity, then the remaining option is to use other people’s income and equity as a co-borrower. There are always financing solutions, but higher risk scenarios may require more creativity and non-traditional lending sources.

Why is there often a lack of understanding of the needs of property investors among finance professionals?

Investors are normally the most aggressive borrowers compared to the average home owners. Financial advisors are often trained to be conservative and oppose a high debt ratio. And not all brokers specialise in investors. It takes dedication to stay on top of tax laws, regulations, lender nuances and structures that optimise returns. Property investors should always seek out specialists.

What sort of evidence and documents does a property investor need to provide?

Different lenders ask for different levels of paperwork, some more complicated than others. As a general rule, assume that your identification, asset and liability evidence, income evidence, and credit worthiness evidence will be required.

The Investors Mortgage team has specialised in property finance for over 15 years. Contact us today to ask any other questions you have about optimising your financing.