22112A – Task 1 - Financial Market Sector
1. Have you selected a suitable financial market?
Please find below a personal example of our recent dealings with a finance and mortgage broker. My partner and I have recently moved to Brisbane from Gladstone. We were fortunate enough to take advantage of the current economic climate of high house prices in Gladstone, and sell our Gladstone property. With opposite economic climates here in Brisbane with house prices quite low - we decided we could now purchase another property in Brisbane. This would not have been possible if the house prices were comparative, so this external force certainly impacted our decision to buy. I also returned to work from maternity leave providing us with more disposable household income. We engaged a Finance and Mortgage broker to purchase a property in Brisbane. The role and responsibility of this sector is to provide advice about the different types of finance and mortgage packages available to suit or personal circumstance. We decided to use a finance and mortgage broker for the following reasons:- * The convenience of using their knowledge and contacts
* So we did not have to deal with the research and stress involved in searching for the best deals, lowest interest rates, deal packages etc. * We did not have any upfront costs as the broker advised he would be paid a commission by whichever mortgage provider we chose.
2. Have you researched the financial market? Have you included details of the main players involved in the market and their roles and responsibilities? The finance and mortgage broker provided us with several options from different banks to credit unions to obtain a second mortgage during selling process of our Gladstone property. Once we chose a mortgage provider, the broker then provided us with all the correct documentation for the mortgage application. Our new mortgage provider presented us a package/benefits deal which gave us discounts...
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