What's the difference between a mortgage broker and a mortgage banker?

A mortgage broker is able to compare loans and rates from multiple sources in order to find the best financial fit for you, counsels you on all your best loan options, takes your application, and usually processes the loan which involves putting together the complete file of information about your transaction including the credit report, appraisal, verification of your employment and assets, and so on. There is not an additional fee for their services so today's brokers can often be quite a savings to the home buyer because of their ability to compare multiple sources and programs for the best rate. A mortgage banker, on the other hand, is hired by one banking institutions to sell the loan products available only through his or her company and at only their rate. In both cases, your loan is likely to also be sold at some point to other lenders. (At Buffington Mortgage however, you can always utilize us as a one-stop source to call for questions, etc. throughout the life of your loan.  more