Four Important Facts About Mortgage Brokers

The mortgage brokers in Las Vegas provide an important service for the entire local real estate industry. The services they provide are designed to help homebuyers get their ideal mortgages, but many consumers are not sure what brokers actually do or how they differ from loan officers or even the services that are available to them online.

What Is a Mortgage Broker?

Brokers are financial professionals who are licensed and regulated. The purpose of a broker is to serve as an intermediary between the borrower and the lender. The broker works for the lender and performs the legwork necessary to get the loan you need. These professionals can assess your finances, help you set a goal and then, find the bank or other institution that will meet those requirements.

How Does a Broker Get Paid?

Most brokers get paid by lenders and receive what is known as lender-paid compensation. Many brokers will work for borrower-paid compensation instead, and a revealing question to ask a broker is if there is a difference between those two rates.

How Does a Broker Differ from a Loan Officer?

Loan officers are generally employees of a lender or a third-party that serves a group of lenders. These employees generally receive a set salary and earn bonuses based on the loans written. Brokers can be independent or work within a brokerage firm. They are not employed by a lender and work with many lenders to get the best deals for their clients.

Who Should Choose a Mortgage Broker?

A broker saves time for a homebuyer. A broker’s network can also give consumers better access to loan options than they would otherwise have. Whether or not a broker is the best option for a particular consumer depends on a number of factors, such as what the fees will be across the options.