Before taking out a mortgage loan, the applicant’s profile and requirements must be highlighted. The real estate credit broker’s mission is to take care of the real estate acquisition project. By placing himself between the lender and the borrower, the broker undertakes to get the best offer. Using a real estate broker has several advantages.
Using a real estate credit broker: a no-cost service
From the outset, the broker acts as an intermediary between the lending institution and the future owner. In addition to his constant advice, the broker intervenes from the elaboration of the loan file to the selection of the adequate offer. In addition, they know the workings of the lending institutions and the terminology of banking jargon. The broker simplifies the subscription of a real estate loan for the benefit of the borrower. The applicant only has to present his file to the broker. The choice of the borrower depends on the reputation and the relationship established between the client and his broker.
The broker’s remuneration should not discourage the choice of using a real estate broker or not, it is not the broker’s bill that will add to the budget. In fact, brokerage fees replace the file fees charged by the bank, amounting to 1% of the credit amount with possible ceilings. However, the brokerage fees are only payable after subscription of the financial offer drawn up. Any request for an advance or payment prior to subscription is illegal. For more information on the real estate credit broker in Toulose, please visit www.courtier-credit-toulouse.fr.
From a legal point of view, as a member of the Intermediary in Banking Operations and Payment Services or IOBSP, the brokerage fee schedule is included in the standard information sheet provided with the credit offer. The real estate broker is obliged to comply with ethical imperatives such as transparency regarding the amount of his remuneration, prior information of his clientele, and evaluation of his know-how and experience when preparing the loan file.
A credit broker saves a considerable amount of time
Whether it is an independent broker, a network of brokers, or an online broker, it saves time. Indeed, the subscriber no longer has to travel to multiple banking institutions, the intermediary negotiates the real estate credit directly on behalf of his client. In case the client feels embarrassed or disturbed by the broker, it will be better to turn to the competition. Proximity is at the heart of the client’s expectations. The real estate credit broker in Toulouse meets these requirements of proximity, it is accessible at all times.
Real estate intermediaries will never present an abnormal file to a bank. They carefully study the financing plan and the file to avoid the risk of a credit refusal, which greatly increases the chances of the financing project being carried out. Commonly coming from the banking sector and a large network, the vocation of the real estate broker is the search for the most attractive interest rates. Upstream, a credit broker will ask for the same supporting documents as a bank in order to constitute the credit application file. These documents will provide him with the most up-to-date property rates according to the duration of the loan, income, debt capacity and the client’s profession. The broker uses these data to negotiate the terms of the loan.
Calling on the credit broker to obtain a better real estate loan rate
The real estate credit broker is in contact with several partner institutions. The intermediary negotiates loan rates at a very low level with the financial departments. Why is that? Because he brings several cases back to the financial institution. In return, the intermediary provides him with more interesting offers compared to what the client will receive through his personal bank advisor. The gain can be up to 0.5 points. He also negotiates the monthly loan payments.
Intermediaries can also offer another product that is linked to real estate credit: borrower’s insurance. Under a loan simulation, the broker can expose the substantial savings to be obtained on credit insurance, which can lower the monthly payments. Finally, he has the right to negotiate other fees, such as cancellation of penalties in case of early repayment of the loan.
Real estate credit brokerage: a customer support service
The real estate credit broker is the professional of the sector. He is aware of his interlocutors and the real estate market price. The intermediary knows which bank offers profitable solutions for the available profiles. Whether within the same district or for the same profile, the difference in interest rates between the financial institutions is concrete. The broker knows which lending institution is in the midst of a commercial offensive, whether regular or temporary, to conquer new prospects.
It is in the client’s best interest to contact various brokers specialized in real estate credit negotiation. In order to compare the offers proposed by the different interlocutors and to increase the choice, as not all brokers are in the same network of partners. Moreover, some banks prefer to cooperate with one such broker rather than another. In addition, each broker has its own strategy for negotiating with financial institutions. It would therefore be disadvantageous for the borrower to limit himself to a single broker.
For complex real estate loan files such as the zero rate loan or employer’s loan, the credit broker has the specific skills necessary for this type of credit. It is common to accumulate more than two different credits in order to benefit from various opportunities. Among the possible formula, the broker proposes the loan at zero interest rate for a portion of their credit and supplements it with a classic housing loan. It is also possible to add to this other loans with more profitable conditions such as the employer credit or 1% housing loan. In these situations, the use of a broker is very imperative. With a concern of proximity, finding a broker in Toulouse is easy but it is necessary to choose the competent intermediary.