Come visit our location at 7200 Ridge Rd
#108, Port Richey, FL.34668
Information you need when finding a Mortgage for Your Home
Banks vs. Mortgage Brokers
If you're buying a home or refinancing, chances are you'll need a mortgage, but did you know there are big differences between mortgage brokers and bank loan officers?
Bank Loan Officers
The loan officers at a bank, credit union or other lending institution are employees who work to sell and process mortgages and other loans originated by their employer. They often have a wide variety of loans types to draw from, but all loans originate from one lending institution.
The loan officer takes your application and works to find a home loan that suits your needs. If your personal credit is approved, the officer moves forward to process the purchase.
Mortgage Brokers
Mortgage brokers are professionals who are paid a fee to bring together lenders and borrowers. They usually work with dozens or even hundreds of lenders, not as employees, but as freelance agents.
Think of mortgage brokers as scouts. They find and evaluate home buyers, analyzing each person's credit situation to determine which lender is the best fit for that person's needs. The broker submits the home buyer's application to one or more lenders in order to sell it, and works with the chosen lender until the loan closes. A good mortgage broker can find a lender for just about any type of credit.
The mortgage broker working to secure your loan is earning a fee for the transaction and the better deal they achieve for a lender, the more they are paid. If you shop around make sure that, you ask for a GOOD FAITH ESTIMATE if you are armed with this you can usually gets a better deal.
Many of the mortgages companies that advertise online are mortgage brokers. Remember; most banks have wholesale departments, which usually offer a lower interest rate to the broker.
What Difference does it make?
Mortgage brokers can often find a lender who will make loans that a bank refuses--problem credit is one example. Loans for unique or commercial properties might be easier to secure through a mortgage broker.
Make your choice of a lender based on the best loan terms you can find. Ask questions about expected time-frame
Pull Your Own Credit Reports
Order your credit reports and scores from all three major credit reporting agencies before you visit a bank or broker. Personal copies of current reports should provide enough details for them to give you an opinion of the types of loans they can offer you.
The lender you decide to use will access your credit files, but taking your personal copies to the initial interview avoids multiple credit pulls that can lower your scores. Requesting your own credit reports does not affect your scores.
Equal Housing Lender.
Affordable Home Funding, 7200 Ridge Road, Suite 108,
Port Richey, FL.34668 - 727-849-8805 - Email:
rchambe@theloanproz.com