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Dear Home Buyer,
If you looking for
mortgage brokers on Oahu
or Maui, Hawaii you've come to the right place. A mortgage
broker in Hawaii acts as an intermediary who sources mortgage
loans on behalf of individuals or businesses. A mortgage broker in
Hawaii brings borrower and lender together.
A mortgage broker may also place loans with investors, but he does
not collect the mortgage payments. Over 80% of home loans issued
in the U.S. today are negotiated by mortgage brokers.
Difference
between a mortgage broker and a loan officer:
A mortgage
broker works as a conduit between the buyer and the lender
and the loan officer typically works directly for the
lender. Most US states require the mortgage brokers to be
licensed. States regulate lending practice and licensing,
but the rules vary from state to state. Most have a license
for those who wish to be a "Broker Associate", a
"Brokerage Business", and a "Direct
Lender". A mortgage broker is a matchmaker between a
homebuyer and a lender whose goal is to originate a mortgage
loan. The mortgage broker draws from a pool of various
lenders to find the right match for a home buyer.
A mortgage
broker is normally registered with the state, and personally
liable (punishable by revocation or prison) for fraud for
the life of a loan. A loan officer works under the umbrella
license of their current financial company. Both positions
have legal, moral, and professional liabilities to prevent
fraud and fully disclose terms of the loan.
Typically, a
mortgage broker will make more money per loan than a loan
officer, but a loan officer can utilize the referral network
available from the lending institution to sell more loans.
There are mortgage brokers and loan officers at all levels
of experience. For borrowers with poor credit history, or
other unusual circumstances, finding a lender may be
difficult task. A mortgage broker, having specialized
knowledge and multiple lending sources, will normally be a
valuable resource in obtaining financing.
Advantages of Using a
Mortgage Broker in Hawaii.
A mortgage broker should be able to save you considerable
time and effort. A mortgage broker has access to many
competing lending institutions, including banks, pension
funds, trust companies and even private individuals. A Mortgage
Broker deals with a variety of lenders. The
Mortgage Broker does not have their own money to lend and
they do not close home loans in their own name. What
they do is search tirelessly for the best deal for the
borrower.
If your credit rating is
important to you, then you also need to consider that when
you shop for a home loan from lender to lender, there is an
accumulation of inquires on your credit bureau report,
affecting your credit rating and ultimately the rate and
terms of your mortgage. This isn’t the case with a
mortgage broker who only does one inquiry yet can still get
many competing lenders to quote on your business.
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