Mortgage brokers are individuals that act as the middleman who dabbles in mortgage loan issues on behalf of businesses or individuals. Banks and lending institutions have sold their own products and services decades ago but the role of a standalone mortgage broker has become increasing popular as time passes due to the increasing competitive market. Mortgage brokers act as the bridge between a bank and a borrower, and help to let both parties come to a consensus or decision that both can agree on.
Sectors you will find a mortgage broker in
Mortgage brokers are commonly found in retail banking sectors, and usually see to the needs of a borrower from small businesses requesting a bank loan. They help to communicate with both the bank and the borrower to come to an agreement that is acceptable by both parties. Mortgage brokers are also found in business and corporate banking entities that cater to mid-market businesses.
Some mortgage brokers specialize in land mortgages while other brokers prefer handling wealth management services for private banking. Mortgage brokers may also provide services and consultation sessions on investment banking relating to activities on the financial markets.
Duties of a mortgage broker
Mortgage brokers may be regulated and officially identified by the government or may be standalone individuals. In all cases however, the broker has to be honest and responsible.
Mortgage brokers do marketing to attract clients as well as performing an assessment on the borrower’s financial status and situation. This may affect the broker’s decision to move forward with the loan if the borrower is found to have a bad credit rating.
The broker will also assist the borrower to find a bank loan that is suitable for the borrower, and work with him or her on filling the application forms should the client be interested. The broker also explains all the rules and regulations to the borrower to ensure that he or she is clear on what is going on before completing the application.