When you’re looking to get a mortgage loan you may work with a bank officer or you may choose to work with a mortgage broker. Both can achieve the same result - a new home loan. It is important to understand the differences between the two so you can understand the mortgage application process.

A mortgage broker is an individual or independent firm that acts as an agent for the borrower and lender of a mortgage loan. Brokers originate about 65% of all new mortgages.  Mortgage brokers determine your needs and find the right loan at the right lending institution. These institutions may be banks, trust companies, mortgage corporations, finance companies or private investors.  A mortgage broker will analyze your financial situationand needs to determine what product and lender is the right fit for you. The broker will submit your application to one or several lenders to get it approved and will work with the chosen lender until the loan closes. He or she may receive a commission from the lending institution and/or the borrower when the loan closes.