Mortgage Professional vs. Specialist: Finding Your Best Loan
Securing a mortgage is one of the most important steps when buying property. I recommend getting pre-approved for a mortgage before you start looking. This helps you know exactly how much you can afford. It also saves you time when you make an offer. For a first-time homebuyer, navigating mortgage options can be difficult. What is the difference between a mortgage broker and a mortgage specialist? Should you look for a mortgage through your bank or another lender? Below, I’ll discuss these differences and offer recommendations for clients seeking the right mortgage.
What is a Mortgage?
Simply put, a mortgage is a loan. Usually, a bank or credit union supplies it. You use it to purchase real estate. You pay back your loan to the lender monthly. This blended payment includes interest and principal. Many different kinds of mortgages exist to suit various homebuyers’ needs. A mortgage professional can help you decide which kind works best. Read more about understanding your mortgage here: https://realestateinmission.ca/2020/11/understanding-your-mortgage/
What is a Mortgage Specialist?
A mortgage specialist works for a bank. They secure a line of credit only with that particular financial institution. Some people prefer this convenience and simplicity. They might want to keep all their finances with one institution. This is especially true if they have banked there loyally for a long time. Getting a mortgage through a mortgage specialist also lets you negotiate your own interest rate. However, rates from banks typically skew higher than other lenders offer. While a mortgage specialist offers brand loyalty and simplicity, you cannot shop around for the best interest rate. You might also miss out on better rates from other mortgage lenders.
What is a Mortgage Broker?
A mortgage broker is a licensed professional. They work through an independent firm. A mortgage broker acts as a middleman between clients and lending institutions. Unlike a mortgage specialist, a mortgage broker is not confined to one lender. They have access to various institutions. This allows them to find the best mortgage for their clients. A mortgage broker’s expertise often comes free to clients. Lending institutions typically pay their commission. A mortgage professional who is a broker offers competitive rates, flexible hours, and valuable expertise. A bank may not be able to offer these.
Below are five excellent mortgage professionals I recommend to many clients. They are looking to speak with someone about their mortgage options:
- Jacquie Claggett at Bayfield Mortgage Professionals: 604-302-1502
- Deryk Williamson & Alex McFayden at Thrive Mortgage Company: 604-398-5575
- Jamie Slusarchuk at True North Mortgage: 604-751-6681
- Doug Lifford at Doug Lifford Mortgage Services: 604-820-4572
Mortgage Broker vs. Specialist: The Main Difference
Both a mortgage broker and a mortgage specialist work to get you the best mortgage they can. The main difference lies in the variety of mortgage products they offer. A mortgage broker accesses various lenders. They can find competitive interest rates for clients. In contrast, a mortgage specialist is limited to products from their financial institution. If you are uncertain about which mortgage professional to work with, speak with a few different mortgage brokers and specialists. Continue until you find the right fit.
A mortgage is a long-term commitment. Therefore, stay informed. Review all your options carefully before signing. Whether you have questions about your mortgage options or want to discuss your home’s current value, call me at 604 302 0177 — let’s talk!
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