Top tips to getting the best deal on your mortgage.

People put so much emotional and physical effort into finding the right property that it’s easy to neglect the importance of finding the right mortgage.

It is not just about choosing the loan with the rates and repayment options that suit.

You don’t want to encounter any nasty surprises, so we put together the top five tips for borrowers.

1. Consider using a mortgage broker: The lowest rate doesn’t necessarily mean the best mortgage. If you don’t want to do all the shopping around yourself, you can use the services of a mortgage broker. Mortgage brokers assist you in looking for the best overall loan for your current situation from a panel of different lenders.

2. Read the mortgage contract carefully. Before you sign up for a home loan you should always read and understand the credit contract from the lender. This contract by law must outline the terms and conditions of the loan in plain English. Seek independent legal and financial advice if you need additional advice.

3. Borrower’s obligations. As the borrower, you have ongoing obligations to your lender after the mortgage has been approved. The most important issue is that you need to make all repayments either on or by the due date. Put the due dates in your diary or arrange for your bank to automatically deduct the amount each month to avoid any problems.

4. Be comfortable with your repayments at any time. It is great to get the home you always wanted but be realistic about where you are at in your life. Draw up a regular budget and where possible, allow for any planned changes to your circumstances such as paying for a wedding, stopping work to have a baby, starting a business.

5. Have the mortgage, but thinking of refinancing. There are many merits to refinancing into a new loan or with a new lender but first, make sure you are aware of all the cost associated with refinancing.