Mortgage Lender Definition


A mortgage lender will be an institution or an authorized individual that extend housing loans to people who cannot buy property with their own funds.

Mortgage lenders will vary in size and type.

Mortgage bankers are a type of mortgage lenders who originate loans and choose whether to keep them in their own portfolio, or sell them to the secondary market - Fannie Mae, Ginnie Mae, Freddie Mac or other large investors. Most mortgage bankers will have a retail and wholesale division.

Wholesale mortgage lenders often do not have retail departments and rely on mortgage brokers and correspondent lenders for loan origination.

Correspondent mortgage lenders are lenders who act on behalf of a larger lender and are allowed to underwrite the loan and fund it on their own. They usually sell originated mortgages to the wholesale lender shortly after closing the loan.

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 2.9/5 Stars
  • 1
  • 2
  • 3
  • 4
  • 5
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: