How Is A Mortgage Broker Different Than Your Local Bank?


If you're currently shopping around for a home, your real estate agent will likely let you know that you should be looking into mortgage lenders as well. While you can go to your local bank that offers home mortgages, you should consider using a mortgage broker instead. There are a few ways that a broker is different from going directly to a local lender that you should be aware of.

Mortgage Brokers Simplify The Home Buying Process

When you go off on your own to find a mortgage lender, you end up doing a lot of the legwork that is required. This can be very time consuming if it is the first time that you are buying a home and you do not know what you are doing, or it may simply consume your weekends and evenings while you figure things out. 

Going to a mortgage broker is going to simplify the process. You'll only need to work with the broker to get started, and they'll take care of the rest. It is the more hassle-free way to get a mortgage for your home, which will free you up to do all of the other home-buying related things that need to be done.

Mortgage Brokers Help Select The Right Type Of Mortgage

There are plenty of mortgage options out there, and it can be overwhelming to select the right one. Do you want a traditional 30-year fixed-rate mortgage or a shorter 15-year option? Should you get an adjustable-rate mortgage because you won't stay in the home for very long? A mortgage broker is going to use the information about why you want a house and your personal finances to determine what kind of mortgage is right for you. They are not trying to sell you on a product that they sell but use that information to narrow down the best lender for you.

Mortgage Brokers Have More Competitive Rates

Know that there is a difference between the interest rate that you can get going directly to a bank and the interest rate offered to mortgage brokers. That is because lenders are competing for the business from mortgage brokers and tend to give better rates to brokers for bringing business to them. It's almost like how buying in bulk tends to get you things a bit cheaper since the same applies to mortgage brokers that bring a bank a lot of business. 


28 December 2020

Keeping It Real With Real Estate

When you decide you want to sell your home or buy a new one, you will need to hire a real estate agent to represent you. A good agent will do most of the legwork as far pricing the home, creating a listing, and advertising the home goes. However, you will need to work beside them and make decisions along the way. We've created this website to give the average home seller or buyer a little more insight into the world of real estate. Learn how to find a good agent, help them do a better job for you, and navigate the sale process in the articles presented on our pages.