A mortgage broker plays a key role in the real estate industry, acting as an independent third party who brokers mortgage loans for individuals or companies on behalf of the mortgage company. Mortgage brokers find, connect and qualify prospective borrowers for loans from different mortgage providers, allowing the borrower to compare loan offers from many lenders at one time. Mortgage brokers can also find the best mortgage deals for a particular individual or family and arrange financing directly through the lender. Mortgage brokers work to close the loan application by making the mortgage lender aware of all necessary documents required to close the loan. Click for more info
The Ultimate Deal On What Is A Mortgage Broker?
To become a mortgage broker, one must register with the Federal Housing Administration or FHA, and secure a Mortgage Broker’s License from the Office of the Comptroller of the Currency or OCC. The license is only valid for six months from the date of issuance, so if you wish to keep your license current, be sure to renew it on an annual basis. Licenses are renewed through FHA inspection and approval, so once you have obtained your license, be sure to schedule an inspection date. Additionally, when applying for your mortgage broker’s license, be sure to fill out and send in the FHA paperwork along with a completed Mortgage Broker disclosure statement, which is also required when applying for a mortgage. When obtaining your license, you must also complete and file a disclosure statement which discloses all of your financial and business relationships with the lender. Once you have received all required documentation and have completed an FHA inspection, you will be issued a Mortgage Broker’s License.
To make the entire mortgage process easier and more effective, some mortgage brokers work on their own or for larger companies. Some mortgage brokers work directly with the borrower and submit loan offers, while others work for larger companies under their supervision and may have their own departments that provide legwork for the borrower. Regardless of whether mortgage brokers work on their own or for a larger company, they do the legwork needed to find the best loan offers for their customers and provide all necessary paperwork and documentation. They also keep all documents and records on file for the client and provide help and guidance if needed. Ultimately, mortgage brokers work to make the entire loan process as seamless as possible.