As you prepare to purchase a home, you may find yourself working with many real estate professionals to help you seal the deal.
Researching mortgage loan options, you’ll find the terms mortgage broker and mortgage banker come up frequently. Understanding these terms can help you get a better grasp on your financial needs and help you figure out which professional is best suited to aid in your homebuying experience.
What is a mortgage banker?
Mortgage bankers are employed under a single lender to provide loan products and work with clients to find the best mortgage solutions, as well as help clients apply for loans. They also gather borrower financial data and run checks to see if clients qualify for their lenders loan products.
What’s the difference between a mortgage banker & a mortgage broker?
If you’ve heard of a mortgage banker, then you may have also heard of a mortgage broker. Even though the two terms seem similar, there are differences between the two professions.
Whereas a mortgage banker works for a singular financial institution, a mortgage broker partners with multiple lenders to offer clients a wide range of financial options. A mortgage broker acts as a bridge between the loan borrower and lenders. Once the borrower is approved for the loan, the broker has completed their role in the transaction.
Do mortgage bankers make commissions?
Mortgage bankers are typically paid from salary and may make a small percentage of commission (1-2 percent) from the loan agreement.
Whether you decide to partner with a mortgage banker or broker, having professional guidance can help you understand loan terms and figure out the best solution for your home financing.
About the Author
Raena Everett
Raena has an exceptionally positive outlook on life. She believes every day presents a new and exciting adventure. She also applies this attitude towards her work. She was raised in Bangor, Maine until she moved to Venice in 2011. She graduated from the University of Maine at Orono with a bachelors degree in public management. She has been an entrepreneur her entire life, owning several small businesses in Maine. She contributes her success to her problem solving skills and her commitment to excellent customer service. These skills will easily carry over to her real estate career. Her market knowledge and customer service will provide great service to her real estate clients.
She is currently a Realtor(R) for Coldwell Banker Residential Real Estate in the Venice office.
