Looking to change mortgage providers in QLD as my current redraw account has changed from deposits that reflect instantly to my balance to a 7 day wait before it reflects and is able to be redrawn. Interest rate is 6.18%.
I’ve asked my current broker for help to change to somewhere that has a lower interest and an offset account but he’s been useless (assuming because he gets a larger kick back from my current mortgage provider)
@Oo
?
.
Owner occupier
Yes….
Attempted to tag user OO
.
+1 for UP, easy application process, refinance completed within 30 days of approval. Plenty of off sets and great app. Also allows for joint loans (called 2UP) best interest rate I could find for 80% LVR.
Only for owner occupier right?
Yep as far as I'm aware.
Go to another broker who is willing.
Timely (formerly tictoc) 5.94%
"(assuming because he gets a larger kick back from my current mortgage provider)"
Just a quick note on this as I've worked in mortgages previously and broker remuneration hasn't changed since.
Your broker will have received an up-front commission on settlement of the loan, and would continue to receive a smaller "trailing commission" every month that the loan exists.
If you are refinancing within a year or two of loan settlement, the broker will be made to pay back some or all of the commissions received, which can be brutal if unexpected by the broker.
Commissions are mostly standardized and nowadays and you would be hard-pressed to find a broker in a post-Hayne Royal Commission world that prioritizes higher comms on a deal.
If they are truly useless then I'd at least give them a heads up that you are taking your business elsewhere.
If you are refinancing within a year or two of loan settlement, the broker will be made to pay back some or all of the commissions received, which can be brutal if unexpected by the broker.
If I refinance after 1 yr, why would they need to pay back ALL comms? Surely they will only need to pay back 50% at worst.
Unless you have complicated finances or variable income year to year, brokers are rarely needed.
Browse this data dump for an idea of what's out there: https://www.ozbargain.com.au/node/653711
OO or IP?