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
Meghan Riley Bowling
Hi, I'm MEGHAN RILEY BOWLING at your Service! Meghan might as well be an honorary native Atlantan. While she wasn't born here, there isn't a back road that she doesn't know. Her background as a licensed Interior Designer makes her uniquely qualified to be a top Real Estate Agent. She knows the true potential of a home and can sell homes faster through the free staging services she offers her clients, creating spaces that feel open, fresh and inviting. She can also help buyers envision the potential of a home, finding them the perfect home to fit their needs. Meghan is a hard worker, a solid negotiator and a real estate market expert.
