The course of securing a home loan can be very tedious. One must know how to negotiate and navigate the various policies and programs available. During this process, you can choose to work with a lender directly. You can also choose to work with a broker who acts as an intermediary between you the banks. Professional Mortgage Solutions in Rego Park, NY is here to help local homebuyers understand the differences. Read below for more tips and tricks, and then contact our office to get started!
How a Mortgage Broker Works
A broker manages the process of shopping around for different home mortgages. They will work with you to apply to different lenders, compare rates and programs, and then negotiate the terms of your loan. The broker must be a licensed financial professional, and they typically have a set group of lenders they are used to working with. They not only help you apply for the loans, they also help you complete the deal through closing.
How is a Mortgage Broker Paid?
Either the borrower or the lender can pay mortgage brokers. Usually, a broker will not charge both parties, but they may have different rates they charge lenders versus borrowers. Some areas have regulations on how much a broker can charge. In addition, the higher value of homes in an area can lower rates.
How is it Different to Work with a Lender?
Alternatively, one can work directly with a loan officer that is a paid employee of the lending company. Many loan officers will get paid bonuses for securing more mortgages. If you chose not to work with a broker, prepare to spend plenty of time comparing rates and completing applications.
How Can I Choose a Broker?
If you do not want the hassle of working directly with a lender, then it is important to learn about the best local brokers to work with. Ask around and seek advice from trusted friends or family. You should speak with references who have actually worked with the broker recently. Some real estate companies also work with in-house brokers. Interview a variety of professionals, since this is going to be the most important purchase of your life. Make sure they have a current license in good standing.
The Right Team for You
Professional Mortgage Solutions loves working with the local community to choose the best home mortgage plan. Call our Rego Park, NY offices to start the process of comparing rates today. We can help you explore a variety of home financing options. With VA Loans, FHA Mortgages, Jumbo Loans, Reverse Mortgages, or Conventional Loans—we may have the perfect mortgage for you. Contact us to discuss whether you prefer to work with a broker or a lender.