As an indication that lenders are fighting for your business they have recently raised the commission rates payable to mortgage brokers. Most commission rates have remained stable for the last two years so it is not just a naturally occurring adjustment. Also pre-GFC commission rates were above current levels but then dropped dramatically and have been climbing back up again. I am not talking out-of-school as most of these details are reflected in a recent article (Mortgage brokers’ commissions rise, AFR, 10 Oct 13), but I can assure you that Business Development Managers are very keen to push when their commission rate is higher than the competitors’.
Of course everyone is fighting for marketshare because with interest rates as low as 4.69% Fixed for 3 years, it is not likely to remain this low for long so people should be looking to their existing finances, and many are taking onboard new finance while it is cheap so as to accelerate their property investment portfolio.
As always I am happy to help with all of those matters, but you know through the My Private Financier model that I am not biased on the basis of commission regardless what sort of commission special one lender is offering over another.