Mortgage advice: define the right commission
Mortgage advice helps explain financing options and contractual consequences. A first purchase differs from renewing several tranches or changing a lender early. Compare the advice commission and the complete financing terms separately.
Clarify the plan and its stage
Is this a purchase, construction, increase for works, renewal or lender change? Give the property type, use and project stage. Without a selected property, the intended region is enough initially; complete private and bank records are unnecessary.
Compare models through contractual consequences
A fixed rate helps plan contractual interest but involves conditions and a term. Market-linked arrangements change interest costs. Ask about termination, switching and refinancing rather than comparing the advertised starting rate alone.
| Model question | Ask for an explanation |
|---|---|
| Interest rate | Fixed or market-linked, including margins |
| Term | Commitment, termination and later switching |
| Repayment | Amortisation and effects on available funds |
Advice is not loan approval
Lenders assess affordability, collateral and their own criteria. The purchase price is not necessarily the value used for lending. Owner-occupied and investment properties may be assessed differently. An initial calculation or quote is not a binding lender commitment.
Prepare renewal and switching in time
Check each tranche’s maturity and termination conditions. Different terms may affect switching lenders. Early exit may involve contractual costs; obtain a specific calculation and compare it with the possible benefit of switching.
Distinguish advice, brokerage and the loan contract
Clarify whether you want analysis, comparison or brokerage too. Ask which lenders are considered and how advice is paid. A limited network does not automatically cover the whole market.
Review total costs and advice fees
Interest alone does not show total costs. Clarify advice, administration, valuation, contract changes and early exit separately. Check offer validity and conditions; a displayed rate is not a personal offer.
| Comparison point | Concrete evidence |
|---|---|
| Advice | Scope, fee and third-party remuneration |
| Financing | Validity, conditions, rate and extra costs |
| Switching | Deadlines, commitments and exit costs |
Start without a financial dossier
State the project, property, region and known maturity. Income, detailed debts and statements belong in the later secure assessment. You do not need to select a technical mortgage model for the initial comparison.
Frequently asked questions
Can I enquire without a selected property?
Yes. Give the search stage and intended region. A specific financing arrangement later requires assessment of the chosen property.
Must I choose a model now?
No. Explaining differences and contractual effects can be part of the advice.
Is the lowest rate always cheapest?
Not necessarily. Extras, commitments and exit costs affect the comparison. Compare complete terms for the same commission.
Can an existing mortgage be changed early?
It depends on the contract. Clarify termination, possible compensation and redemption responsibilities before deciding.
Are investment properties treated like personal homes?
Not automatically. Use, income and lender criteria can require different assessment.
Does the enquiry give loan approval?
No. You are defining an advice commission. Binding financing depends on later assessment and the loan agreement.
