Commercial Mortgage Broker Kelowna

General Info Regarding Mortgage Brokers

At times there is confusion as to the distinction between lenders and mortgage brokers. The mortgage brokers would act for the borrower and work directly with the lender while the lender provides the actual loaned money Mortgage brokers can work either independently or with a firm.

A mortgage broker is responsible for shopping around for the right loan arrangement that would suit their customers particular needs. They work directly with various lenders in order to make certain that their customers receive the best loan for their personal condition. It is common for a broker to have upwards of a hundred lender contacts. Because of this, brokers are more likely to be able to help clients who have specialty needs, like for instance problem credit, than individual lenders are.

The procedure for getting a loan is simple. Borrowers give their applications to their mortgage brokers, who then use that info to find a lender and lock in terms and rates. State and federal disclosures are also provided. Employment verifications, credit reports, property appraisals and asset disclosures are acquired by the brokers and submitted to the appropriate lender once the application is deemed complete. It is therefore the task of the lender to handle the disbursement and loan approval.

The mortgage broker is likewise responsible is to provide basic credit counseling for their clients. This can be in the form of info on the credit problems the customer might have, as well as advice about the methods and techniques they may use to secure loan rates which are better. Brokers break down the process of application and make certain their customers know each detail of their loan. Nevertheless, once the loan method is complete and the borrower has obtained a mortgage, the borrow is unable to provide any additional assistance. All future questions must be asked of the lender.

Usually, the brokers would earn a small fee for bringing the borrower and the lender together. The buyer would indirectly pay the mortgage broker with additional loan points and closing costs. It isn't until after closing the loan that the mortgage broker is given payment.

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