Could a mortgage broker help with your home purchase?

Information in this article is general in nature and does not constitute financial or legal advice. Always seek guidance from an appropriately licensed mortgage broker or financial adviser.

Any third-party services mentioned are provided for general information only; you should choose a broker based on your personal needs and circumstances.

For most people, the journey to a new home starts with finance. And because home loans are complex, with different rates, features, fees and eligibility rules, it’s no surprise that many Australians choose to work with a mortgage broker.

In fact, mortgage brokers now facilitate more than three quarters of all new residential home loans in Australia.

At Satterley, our Sales Professionals can help point you in the right direction so you can speak with a broker early and understand your borrowing capacity before you sign any contracts.

What does a mortgage broker do?

A mortgage broker helps you navigate the home loan market and find a loan that fits your needs and circumstances. They can:

• Assess your borrowing capacity and likely deposit requirements
• compare loan options across a wide range of lenders (not just one bank)
• Explain key differences between products (rates, fees, repayment options, offsets, redraw, fixed vs variable)
• Guide you through documents and lender requirements (especially for first home buyers and self-employed borrowers)
• Support you through pre-approval, formal approval, and settlement

We spoke with Ahmed Hossain, Senior Finance Broker at Loan Gallery Finance, who described a broker’s role as part coach, part guide:

When should you speak to a broker?

Ideally, speak with a broker before you start actively shopping, especially if you’re considering home and land package.

A broker can help you understand:

• What price range is realistic for you
• What deposit you’ll need (and what counts as “genuine savings”)
• How lenders will treat your existing debts (including credit cards and Buy Now Pay Later)
• Whether you’re likely to need Lenders Mortgage Insurance (LMI)
• What government support may be available (such as the Australian Government 5% Deposit Scheme)

If you’ve already found a block of land or a house and land package you love, a broker can still help, but earlier is always easier.

Does it cost money to use a mortgage broker?

Many mortgage brokers do not charge clients an upfront fee. Instead, they’re typically paid by the lender via a commission once the loan settles.

That said, this can vary by broker and by scenario — so it’s worth asking upfront:

• Do you charge any fees?
• How are you paid?
• Will you show me your commission disclosure?

A good broker will be transparent about this from the start.

Why brokers can make the home buying process easier

Ahmed explained that one of the most valuable things a broker does is reduce the time and effort buyers spend sorting through lender policies, product features and fine print.

They can also help you avoid common mistakes that reduce borrowing capacity, like high credit card limits, overlooked expenses, or leaving your finance until after you’ve committed to a purchase.

Because lenders compete for business, a broker may also be able to help you compare true overall value, not just the headline interest rate, including fees, features and policy fit.

Important note: brokers must act in your best interests

Mortgage brokers have been required to comply with a Best Interests Duty. In practice, this means your broker should recommend the loan that is best for you, and be able to explain why.

It’s still smart to ask questions and stay engaged, but this reform has improved transparency and consumer protections.

Ahmed’s advice if you’re buying in a new community

Ahmed has helped many clients purchase land and build in new communities and recommends these steps:

1. Research the local area and the community.
2. Choose a reputable developer with a track record of delivering great communities.
3. Make sure your finance is in place before signing contracts (for land and build).
4. Check local and state government infrastructure plans for the area.
5. Get appropriate advice — it’s one of the biggest purchases you’ll ever make.
6. Use an independent building inspector for your completed home.
7. Don’t overcommit — the less you borrow, the less you repay over time.

Ready to take the next step?

At Satterley, we’ve been creating vibrant, connected masterplanned communities across Western Australia, Victoria and Queensland for more than 45 years. Whether you’re a first home buyer or buying again, we can help you understand the process and connect with the right professionals.

Explore our communities or get in touch to start the conversation.