Browse Forums Building A New House 1 Dec 07, 2017 6:38 am Hi All Just wanted your advice on whether to go through a broker or directly to the bank for the loan? Did u negotiate anything further if u go direct? When did u start the process? How long before final contract signing? Thanks all Re: Bank loan - broker or not and when to start 2Dec 07, 2017 7:04 am We're using a broker and it's pretty painful. I think if you get a good one you're in luck, but this one is, um, not so good. Needs a lot of prodding and hand holding to get things done. Previously we refinanced our old mortgage directly with the bank and that was far less painful. They had a "lending specialist" allocated to us who handled all our enquiries and negotiated with the lending assessors etc on our behalf, and that was much less painful. Re: Bank loan - broker or not and when to start 3Dec 07, 2017 7:06 am CG Scardycat We're using a broker and it's pretty painful. I think if you get a good one you're in luck, but this one is, um, not so good. Needs a lot of prodding and hand holding to get things done. Previously we refinanced our old mortgage directly with the bank and that was far less painful. They had a "lending specialist" allocated to us who handled all our enquiries and negotiated with the lending assessors etc on our behalf, and that was much less painful. I went direct with banks and for the most part it was ok. Re: Bank loan - broker or not and when to start 4Dec 07, 2017 7:06 am I know the issue I've run into, is that a bank will only approve a loan for 6 months. So getting loan approval at the contract signing stage, and with my un-titled land means I'll most likely have to get loan approval again when the building actually starts. But I need to prove I can pay for the build at contract signing stage. Re: Bank loan - broker or not and when to start 5Dec 07, 2017 7:20 am rum_home I know the issue I've run into, is that a bank will only approve a loan for 6 months. So getting loan approval at the contract signing stage, and with my un-titled land means I'll most likely have to get loan approval again when the building actually starts. But I need to prove I can pay for the build at contract signing stage. Re: Bank loan - broker or not and when to start 6Dec 07, 2017 12:10 pm We've used a broker and its been a pretty painless process. We had the preapproval for contract signing then got updated payslips so they could do actual approval. They can also access discounted rates. Re: Bank loan - broker or not and when to start 7Dec 07, 2017 12:15 pm I think it definitely depends on the broker. We started with one broker and then spoke to two more and finally settled on our broker. It’s definitely quicker I think to go direct to the bank but a broker knows exactly what’s required and what to ask for to get discounts etc. Building our first custom dream home. https://r.tapatalk.com/shareLink?share_ ... are_type=t How much are you ahead in payments compared to where the build is at? Have you fully drawn down the loan? 5 11917 The biggest challenge will be if you take out a loan and then run out of money - you'll have an incomplete security and lenders do not like this so you can get stuck.… 2 19097 Broker here - legislation says that every true broker must put the clients best interests before theirs so in theory they must offer you the best options for you on their… 2 46013 |