1. Why use a brokerage lender instead of going directly to a bank?

ANSWER

• A. Client-Centric Approach: Unlike banks that prioritize their own interests, brokers focus primarily on the needs and interests of their clients, ensuring personalized service and dedicated support throughout the loan process.

• B. Consistent Contact: With a brokerage, borrowers benefit from having a single point of contact. This means you deal with one broker and one loan officer consistently, rather than multiple bank personnel, which can change throughout the loan process.

• C. Variety of Loan Programs: Banks typically offer only their own loan products, which may not suit every borrower’s needs. Brokerages, on the other hand, have access to a wide range of loan programs from various banks, increasing your chances of finding the perfect match for your financial situation.

• D. Appraisal Flexibility: When you work with a brokerage, you can save money and time with appraisals. Brokers can often use the same appraisal across multiple banks, which is not always possible when you go directly through a bank.

• E. Efficient Credit Reporting: Brokers can share your credit report with multiple banks while only running a single inquiry, which helps in preserving your credit score from multiple hits.

​

How do I know if a mortgage lender or broker is reputable?

ANSWER

Check for licensing through your state's regulatory agency and look up any potential disciplinary actions. Reviews and testimonials can also provide insight into a broker's reputation and service quality. Additionally, referrals from family or friends can be a reliable source.

​

What should I consider when choosing a mortgage broker or lender?
ANSWER

Consider factors such as the range of loan products offered, the clarity and transparency of the information provided, the level of personalized service, the speed of processing applications, and the overall costs including fees and rates.

 

Can mortgage brokers get better rates than I can on my own?
ANSWER

Often, yes. Brokers have access to a broad network of lenders and can negotiate rates on your behalf. They might also have exclusive deals not available to the general public.

​

What fees are involved when working with a mortgage broker?
ANSWER

Broosals aren’t available to you as a direct borrower.okers typically charge a commission that is a percentage of the loan amount. Some brokers are paid by the lenders they refer you to, instead of by you, which can reduce your costs. Always ask for a detailed list of fees before deciding.

​

How does the mortgage application process work with a broker?
ANSWER

 The broker will gather information about your income, employment, credit, and savings to assess what loans are suitable for you. They will then help you to apply for pre-approval, submit your application, and work with the lender through closing to ensure everything goes smoothly.

​

What documents do I need to provide to apply for a mortgage through a broker?
ANSWER

You will typically need to provide proof of income (like pay stubs), tax returns, employment verification, and details of your debts and assets. Your broker will give you a specific list based on the lenders' requirements.

​

How long does it take to close a mortgage with a broker?
ANSWER

Closing times can vary depending on the complexity of your situation and the efficiency of the broker and lender. On average, it can take anywhere from 30 to 45 days from application to closing.

​

Are there risks associated with using a mortgage broker?
ANSWER

As with any financial service, there are risks. These can be mitigated by choosing a licensed, experienced broker with good reviews and a strong track record. Ensure they are upfront about their fee structure and that they clearly explain all your loan options.

​

What happens if I'm denied a mortgage through a broker?
ANSWER

A good broker will help you understand why your application was denied and offer advice on how to improve your financial profile. They can also help you explore other lending options that might be more suitable for your circumstances.