Commercial bankers are the biggest competitors to mortgage brokers, since they negotiate rates if their customers have large deposits, Nathan Saminathan, Managing Director, Mortgage Masters Limited in Auckland said.
“Banks offer favourable rates to customers with deposits of 20% or more. Of course, lenders are the biggest borrowers and need to pay attractive interest rates to keep their deposits. We therefore do not expect interest rates to remain low very long,” he said.
Demand for homes
He said that the market is also characterised by the unfortunate phenomenon of shortage of housing stock, leading to rise in prices.
Mortgage Masters justifies its name with services that are among the best in the industry. The Company boasts of three full-time brokers and a full-time office manager and loan writer.
“We thoroughly enjoy our work and our motto is ‘Helping our clients to achieve financial freedom upon retirement.’ We have been in business in New Zealand for 28 years, providing financial services since 1988 and mortgage broking since 1997. Our comprehensive services include home and business loans, Kiwi Saver and lump-sum investment services and insurance services,” Mr Nathan said.
“We believe that properties are still the best form of investment, although people must realise that the yield would accrue in the long-term and hence must be patient. It is better to deal with a qualified and experienced broker than directly with banks. Brokers are a fantastic source of sound financial advice,” Mr Nathan said.