One of the items that you should expect your mortgage broker to discuss with you is about home insurance. This is because the insurance is a requirement prior to getting approval for your loan, more so if the property has a building on it like a house.
Lenders always look for buildings insurance before approving a loan mortgage. This is because insurance provides a safety net for their money. Whether you are applying for a new mortgage loan or a remortgage, insurance is required.
There are two major kinds of home insurance that you can get: buildings insurance and contents insurance. Usually, the former is mandatory while the later is optional by the owner of the property. However, if you are mortgaging the property including all the contents in the house for example, contents insurance maybe required with the buildings insurance. These insurances provide security for the mortgaged property. Discuss with your broker what your insurance policy would include. Depending on the deal that you can get, it would be best to fit your insurance to the kind of property and items inside it. Your broker can guide you get the most appropriate insurance to go with your loan.