Mortgage brokers are a great resource as they can direct you on how to improve your situation from a bad credit borrower to a good or even excellent credit borrower in the eyes of the lending industry.

Many mortgage brokers are equipped to handle your mortgage from application to closing with the latest tools in technology.

Online applications and automated underwriting systems allow clients to save even more money while having access to the most cutting edge and traditional mortgage products.

While banks are only open during "Banker's Hours" and they are off on every holiday, most mortgage brokers are available after-hours, work on some weekends and will make themselves available when it is convenient for you. This can help out tremendously if you work a job that does not allow you to handle personal business during work hours.

A mortgage broker acts as the "go-between" person, setting the borrower up with the lender. The mortgage broker, in turn, is paid a commission for setting up the transaction.

A knowledgeable mortgage broker will act as your advisor instead of your salesman. They will help you to understand the many mortgage products available and guide you in choosing which one fits your situation best.

Mortgage brokers are like any other industry, we in the industry would like to believe otherwise, but the real world is what it is, so protect yourself through research and knowledge...Shop a few before making your decision, you will get few different numbers and probably 6-10 different ways to get to them...Research the options that sound best to you, everything is available on the internet in ad nauseam, you can then make a better informed decision...Seek legal counseling if you get inundated with industry jargon that confuses you, question everything...

A mortgage broker may have several loan officers working in their shop. Do your due diligence to ensure that the loan officers have been properly trained and licensed. Find out if your state requires licensing then follow up with your loan officer. Check with the state commissioner's office to see if there are any complaints or investigations against either the broker or the loan officer. Mortgage brokers offer valuable services that can be a major asset or a huge headache. Be informed.

Choosing a mortgage broker to provide your home loan is very important. First find one that is knowledgeable and trustworthy and then begin talking about rate and fees.

One of the many benefits of using a Mortgage broker is the wide array of products that brokers have access to.

The term broker generally applies to those who are licensed as a broker. However, many mortgage loan officers who are not licensed as a broker also call themselves mortgage brokers.

Brokers are typically able to offer the widest array of mortgage products. Most mortgage bankers are limited in their programs.

Some brokers specialize in poor credit loans, some in perfect credit loans. Many work with all kinds of credit. Ask questions based on your situation, to make sure the broker has the knowledge needed for your situation.

Why Should I Pay for a Mortgage Broker? - Wouldn't I save money if I went straight to the bank myself instead of paying a mortgage broker to find the best deal for me?

In most cases banks are going to have 2 separate divisions when it comes to mortgages, retail and wholesale. In many cases they actually compete against one another to see which can generate the most business. Since they are targeting different audiences they have different product lines, rates and fees. Since the retail branches are targeting the general public they are given typical retail rates. The wholesale division has access to better pricing that they offer to brokers since they are competing with other banks, and lenders who are also offering wholesale pricing.

It's pretty common that your mortgage broker can give you a better rate than if you went with the lender directly. Mostly, it comes down to how much the broker is trying to charge you. As a general rule, a retail bank will charge you 1.75-2.25 points. (Either through Yield Spread Premium or paying the points up front) If your broker is willing to take less than that, the broker will general beat the lender on the lenders own programs.

Do you have hard to prove income, bad credit, or little or no down payment? Many people choose to work with a mortgage broker because a broker has access to lenders with loan programs tailored to the customer's needs. Mortgage brokers can also offer several loan options, allowing you to choose the mortgage that is right for you.

As opposed to loan officers from the neighborhood banks, almost all mortgage brokers are compensated only if the home buyer is successful at the purchase. This gives brokers an incentive to take an active role to solve any problems that may arise during the transaction.

Discount mortgage broker - "What is a discount mortgage broker? And who pays them, me or the lender?

A "Discount" Mortgage broker, gets paid by rebates from the bank, the downside to this is it either a higher rate or a longer prepayment penalty, than using a traditional mortgage broker. Be sure to check you good faith estimate to see if your getting the best deal possible.

How Do I Pick A Mortgage Broker? - Picking a mortgage broker can be difficult. You get so many mail pieces and, if you're not on the Do Not Call List, so many phone call, how do you choose?
One good way is for you to choose instead of being chosen. What I mean is, this is a major transaction and you need to spend time talking to your loan officer and building a long term, trusting relationship. A loan officer who treats you in a way that you will refer your family and friends is usually a great way to go. If the trust isn't there, move on.
Further, when your loan officer pulls your credit report, the credit bureaus will sell your information to other loan officers.
Loan officers who are willing to pay for your financial information are generally less concerned about you and your situation or building a relationship. They want to swoop in, make as much commission off you as possible, then move on to their next prospect. They are not concerned about your repeat business.

A good way to pick a mortgage broker is to ask friends and family for a referral of someone that they have used and have been pleased with. Using someone that comes highly recommended is generally a very safe way to go. If this is not possible then it really just comes down to picking 2-4 mortgage brokers out on your own and going with whomever you feel the most comfortable with.