Mortgage Broker or Mortgage Banker

Either a mortgage broker or a loan officer can assist you when you apply for a mortgage loan. Because both a mortgage broker and lending officer will help you buy your new home, it's common to confuse the two. Yet knowing how they differ is important to the mortgage loan process.

About Mortgage Brokers

A mortgage broker (either a company or an individual) is an independent agent for the mortgage loan applicant as well as the lender. Your mortgage broker will stand as facilitator between you and the lending institution; which can be a bank, trust company, credit union, mortgage corporation, finance company or even an individual investor. A mortgage broker can look at your finances to find out which lender is the right fit for you. From application to closing, your mortgage broker works with you: offering your loan application to a number of lenders, and walking you with the chosen lender through to the closing of the loan. When the loan closes, the broker's commission comes from the borrower.

What is a Mortgage Banker?

The most important difference between a mortgage broker and a mortgage banker is that a loan officer works for a lending institution (a bank, credit union, or others) to offer and process loans only from the programs of that institution. They may be able to promote loans to fit many different situations, but all the loans will be programs of the same lender.

A mortgage banker represents you to the bank or other lending institution. From choosing a loan program to closing, a loan officer will walk a borrower through the process. Loan officers are given a commission or salary for their work by their employers.

Shopping for a mortgage loan? We can assist you! Give us a call at 214-300-8756. Want to get started? Apply Here.

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