by David Baey, CEO, Mortgage Master
When people hear you’re buying a house and thinking of getting a home loan in Singapore, suddenly EVERYONE will have some advice for you. They will say this bank’s interest rates are good, or choosing a SIBOR package is better. They will say don’t bother with the mortgage broker, just choose this or that package. Every mother, father, cousin, NS buddy will say say they have your best interests in mind.
But having been in the mortgage industry for over than a decade, and handled thousands of home loan cases, I know for a fact that this is not always true.
In Singapore today, getting a home loan for a private property or an HDB flat is a huge commitment. As a former banker and now a mortgage broker, I am passionate about helping customers find the best mortgage interest rate package for them. But it wasn’t always easy.
When I was a Banker, I wished I was a Mortgage Broker
Starting out as a banker in the first 6 years of my career meant that I had to sell my bank’s mortgage packages, and ONLY those packages. In other words, I often had to sell a product that was not the best rate in the market.
So like all bankers, I had to rely on my honeyed voice and excellent customer service to win over the client. More than anything, I had to pray that the customer was ignorant of the market rates. And sometimes it worked! But if the client had already spoken to a mortgage broker earlier, then chibabom, I didn’t have a chance.
Heng ah, back then, there weren’t many mortgage brokers and people didn’t seek out their services when deciding on a home loan. So I kept going. I paid my dues as a banker, I worked for years in two major banks in Singapore. I learnt what one bank can do, and discovered what the other cannot. I was young, arrogant and thought I knew everything there is to know about mortgage.
But if I truly wanted to help my clients get the best deals, I had to give up the cushy life of being a banker and become a mortgage broker instead.
Why You Must Always Consult a Mortgage Broker Before Taking a Home Loan in Singapore
Mortgage brokers have access to the rates from all the banks in Singapore, we can guarantee that you, our client, will die-die always have the best deal. But here are two other reasons why you must consult a mortgage broker before you take up a home loan.
Mortgage Brokers Know the Tricks of the Trade
Did you know that dividend income is accepted by only two banks in Singapore? Don’t worry, I didn’t know that either before I became a mortgage broker. You won’t find these important life lessons in our MOE curriculum.
Here are some other things I’ve learnt:
- When it comes to handling the home loan in a divorce case, it can be a messy situation where one party has to take on the responsibility of the entire outstanding amount. But there is one bank in Singapore that is willing to consider it a “purchase”. This particular bank can grant you a greater loan amount to reduce the financial stress during this difficult period.
- You may have been told when choosing a home loan package to only focus on the interest rate, because the fees and charges are the same across all the banks. But did you know that valuation fees do vary across banks? If your banker insists they are the same… we’ll recommend you a better one. One who doesn’t lie… as much.
- When it comes to refinancing, every cent you save matters. So you’ll be glad to hear that you can get “free” refinancing for your HDB flat if you choose from 3 out of the 15 financial institutions in Singapore.
These are just some of the tricks I had to learn to be an effective mortgage broker over the years, so that I could give my clients the best advice with all the information. These “loopholes” above are just some of many, and of course I am not going to reveal all my information publicly. I'm old, not stupid.
Getting Advice from a Mortgage Broker should be FREE
This is the number one question my clients ask me. How am I able to help them get the best deal, save money and yet I do it all for free? How do I make enough money to raise my baby comfortably in this expensive country?
That’s because the role of a mortgage broker is a win-win-win-win situation. No one loses. Let me explain.
You, the customer, win. This is straightforward. I help you find the best deal that saves you thousands of dollars in the long run, and all for no extra charge.
The bank wins. Any business for them in a competitive Singapore market is an automatic win.
The banker wins! Yes, they do have to take less commission from the bank. Because that portion is what bank pays us, the mortgage broker as our commission. But in the long run, we mortgage brokers are the ones recommending these bankers to you, our clients. Plus, we are the ones that do most of the work - collecting the necessary documents from you and answering any questions you might have about home loans.
And of course, the mortgage broker wins - I get to feed my family, my baby gets to poop in the comfort and convenience of the best diapers, and most importantly, I get to fulfil my passion to help you and so many others looking for the best home loan in Singapore.
Mortgage Brokers should Always be your First Step
So if you’re looking for a new home loan, or if you’re refinancing an existing home loan, check in with our mortgage brokers. Send Mortgage Master a WhatsApp message or fill up our enquiry form. At Mortgage Master, we provide you with all the information you need to choose the best home loan rates in Singapore for you.
Or if you’re looking for a career that promises both integrity and satisfaction, and my story has inspired you in any way… why not join Mortgage Master as a mortgage broker? Learn from and work with some of the most experienced people in the industry today.