Question:

What is a mortgage broker company?

Answer:

A mortgage broker company serves as an intermediary between a lender and a borrower. Mortgage brokers do not fund loans; they only locate the right loan for the client. A mortgage broker company employs loan officers to collect paperwork from borrowers and passes it to the lender. A mortgage broker is compensated through broker's fee and yield spread premium.

Mortgage broker companies are a little more complex entities than a mortgage broker individual. They are still only responsible for locating the most suitable loan for the borrower among tens and hundreds of lenders, and do facilitate transactions for lenders and bankers.

Licensing requirements for mortgage broker companies differ by state. If you are interested, you may have to check your state requirements.

Mortgage rates hit their lowest since 1955. Ask the home loan experts we recommend Quicken Loans how to take advantage of them.
Was this Mortgage QnA helpful?
Not at all
  • Currently 2.8/5 Stars
  • 1
  • 2
  • 3
  • 4
  • 5
Definitely
Add to this Answer

Mortgage QnA is not a common forum. We have special rules:

  • Post no questions here. To ask a question, click the Ask a Question link
  • We will not publish answers that include any form of advertising
  • Add your answer only if it will contrubute to the quality of this Mortgage QnA and help future readers
If you have trouble reading the code, click on the code itself to generate a new random code. Verification Code Above:
Bookmark and share this QnA: