There has recently been some talk in the media suggesting that there has been collusion between real estate agents and mortgage advisers in the sale and purchase of homes.
It is fairly well known that at least two of the major mortgage advice groups in New Zealand have very close links with particular real estate brands. This works well for both parties, and ultimately assists the purchaser in the process of home purchase, and achieving a satisfactory and speedy result.
So, the question arises “is this real estate/mortgage advice relationship always healthy and in the best interests of the client?”
Well, it really comes down to the question “what is truly independent advice?” It could be argued that without independent and unbiased advice, completing the house sale and purchase may become more important than providing the client with good impartial advice. So, this is the real question and it may have led to the suggestion that not every real estate transaction is without some form of collusion.
With both the current and pending regulation of mortgage advisers, it is likely that we will all be required to follow a code (some are now) that simply states that the interests of the client must always come first.
As always there are changes to the way we do things and at least two of the major banks have recently signaled a greater emphasis on the provision of advice through digital and online services. This of course allows the banks to significantly reduce costs and ultimately staff numbers.
However not everyone that we deal with at Thompson McNeill is happy to make decisions on the basis of information gleaned online. Many first home buyers and also experienced borrowers want guidance and reassurance when committing to large amounts of debt so that we can help reduce stress and anxiety through the lending advice process.
If you, or someone you know is looking to borrow money for home, business or investment, Thompson McNeill has all the knowledge and experience to provide sound advice and guidance.
Call us on (03) 281 8605 or send an email email@example.com