Posted: 1 Apr '19

Buying a Home in Edmonton: Mortgage Brokers Vs. Big Banks

Mortgage Broker Edmonton

Buying a home is an exciting venture; it can also be overwhelming and stressful! There are many factors to consider, such as a mortgage broker. You want to find someone local who knows the market, so if you're buying in Edmonton, you'll want a mortgage broker in Edmonton, and likewise if you're buying in Toronto, you'll want a Toronto rep. The key is finding the right lender for your needs. Just a couple of decades ago, the only choice for a mortgage were big banks and credit unions. You were at their mercy for things like terms and interest rates. Today, much has changed, and consumers have more options; hence, more buying power.

A mortgage broker can offer you better deals, better choices and more flexibility when it comes to mortgages. Whether you're looking for a mortgage broker in Edmonton, or the Yukon, brokers know how to get you the best mortgage for your specific needs. Here's a look at brokers vs. banks:

Banks and Credit Unions

Typically, they offer limited mortgage products and they don't always have your best interest in mind. Banks and credit unions are in the business of making money - and they will do anything they can to get it. That means offering higher interest rates, and pushing fixed-term mortgages, which ends up costing you more money in the long run. Once you're locked in to a mortgage, it's very expensive to change or get out of it if you come across a better deal. It could end up costing you thousands of dollars.

You'll also have to shop around from bank to bank and do your own research as to which one offers the better deal. Each one will do their own credit checks, which could hurt your credit score.

Mortgage Brokers

Mortgage brokers work with many different lenders and do all of the leg work for you. They only do one credit check and will work on your behalf to get you the best deal possible for a mortgage. They also work with private and monoline lenders - lenders who only deal in the business of mortgages. They will not try to cross-sell you on other products and services like RRSP's, GIC's or savings accounts.

Many people prefer the flexibility and convenience of working with mortgage brokers, as opposed to a single financial institution.

If you're ready to find your mortgage broker in Edmonton for your financial needs, contact your local Dominion Lending Centres in Edmonton Alberta today:

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