408-823-2321 Cupertino Mortgage, Broker, Loan Officer

Mortgage Broker or Mortgage Banker

Either a mortgage broker or a loan officer can help you when you're looking to get a mortgage loan. As a new home is the result of the work of both mortgage broker and loan officer, it's common to confuse the two job types. Yet it will be useful to recognize the ways they differ so you have clear expectations of them as you enter your mortgage application process.

What is a Mortgage Broker?

A mortgage broker (either a firm or an individual) is an independent agent for both the mortgage loan applicant and the lender. Your mortgage broker will stand as coordinator between you and the lending institution; which may be a credit union, bank, trust company, finance company, mortgage corporation or even an individual, private investor. Which lender has the loan programs that fits your financial situation? A mortgage broker will lead you to the right fit. You deliver your mortgage application to your broker, who offers it to one or more lenders. Your mortgage broker then assists your work with the lender of choice until closing. The broker receives a commission from the borrower upon closing.

About Mortgage Bankers

Lending Institutions (banks, finance companies, and others) employ mortgage bankers to promote, and process loans solely from that specific institution. While a loan officer may market quite a variety of loans, they all are products from that lender alone.

A loan officer represents you to the bank or other lending institution. From choosing a loan program to closing, a loan officer can walk the borrower through the process. Lenders compensate the loan officers with a salary or commission.