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Who should you use, Mortgage Broker or Banker?

by Tara Lyons

 

Many home buyers assume that “mortgage companies” are banks that lend their own money. In fact, that is not always the case; you may find that the company is a mortgage broker, a lending institution or a bank.

A banker is a direct lender; it lends you its own money or the money of people who have deposited into the bank, although it often sells the loan to the secondary market. If you walk into you local bank and talk to the loans officer or Mortgage Specialist, they’ll be loaning the banks money and working to create a profit from the loan.

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