| Reason |
Mortgage Broker |
Direct Lender |
| Presentation |
Represent borrower by packaging loan to highlight
strengths and minimize weakness. |
Represents the lender. |
| Customization |
Offers wide range of programs with the most competitive
adjustable and fixed rate loans. |
Offers a limited number of programs. |
| Flexibility |
A “problem loan” can be quickly moved
from one lender to another. |
If a loan is denied, the whole process must start
over. |
| Availability |
Many loan officers work evenings and weekends
and make house calls. |
Many work banker’s hours, at the bank. |
| Professionalism |
Familiar with many lenders and loan programs and
are licensed by the Department of Real Estate. |
Familiar with a limited number of programs and
are not required to be licensed. |
| Costs |
Can offer numerous rates and fee combinations,
as well as offering similar processing fees. |
Offers limited rate and fee combinations, but
may have lower appraisal fees. |
