What is a mortgage broker?

A mortgage broker is a professional freelancer, who has access in the mortgage market. Unlike a loan officer, he or she does not work for specific money lenders; this independent individual simply serves as a connector between the bank and the borrower. The mortgage broker does almost all the work for the loan process – from surveying possible lenders to keeping transactions until the mortgage term ends. Your chosen broker is responsible in performing the following tasks: listing down possible mortgage lenders, assessing your credit history, completing all the required documents, collaborating with various agents, assisting you until the closing day, and giving you advice regarding your financial circumstances.

Mortgage broker vs. loan officer

Both professionals are capable in assisting you in the whole mortgage process. However, a mortgage broker is neutral whereas a loan officer works for the bank. A mortgage broker may cooperate with different lenders presenting you the best possible option but a loan officer is loyal to the business terms of a specific lender giving you only the best possible offer of that bank. Having said that, a mortgage broker offers you the lowest interest rate in the market while a loan officer offers you a fixed interest rate. In terms of expanding your choices and getting the best mortgage offer, working with a mortgage broker may be the best for you.