Will you use/need a mortgage broker for your mortgage loan for nurses? Just 2 years ago, mortgage brokers started 2/3 of all mortgage loans. Now, this figure is less than half. Mortgage brokers were supposed to be a Godsend to borrowers, since they don’t work for any one bank and were more objective in assessing mortgage rates and terms. They were intended to provide a service that would get you the best mortgage loan at the lowest interest rates, and make it easy to compare rates.
Instead, they often they got referral fees from lenders and sold borrowers more expensive loan packages. Borrowers with lesser credit ratings paid over 5K more on loans that were initiated by a mortgage broker than those who went through a bank.
If mortgage brokers are to survive and provide a useful service, then they will be required to disclose fees and prove that they are representing the client’s best interest. Several banks have cut them out of the process altogether. If you want to use a mortgage broker, make sure the cost of doing so is disclosed in advance.
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