Why mortgage brokers are important

Why mortgage brokers are important   Mortgage brokers have taken it on the chin for the last couple of years.  Were there some bad actors, you bet! Is every broker a bad actor? Absolutley not! No more than every Realtor, Contractor, etc can be deemed bad.

Brokers offer an alternative to borrowers that helps keep rates and costs down because they offer competition. If there were no brokers when a borrower needs a loan, they would just walk into their neighborhood bank. If you've seen the movie "It's a Wonderful Life" you understand why Potter did not want competition.

We can offer competitive rates for lenders because lenders we use are not paying our overhead costs. We have wholesale pricing, so we can be competitive. Often we offer better rates!

Brokers often offer superior service. If you are working with a broker, each loan is an opportunity to build upon for future business. We don't have other products to sell such as savings account, credit cards, etc, that the banks have. Loans ARE our business. My company, D A Griffin Financial, LLC is built on referrals. I want every experience to be great for my borrowers because it is a reflection on me personally. I've been in this business long enough to be doing loans for my borrower's kids now.

We as brokers are required to be licensed, we have to disclose an unbelieveable amount of information to the borrowers; information the banks are not required to tell  you. For instance, we are required to be very clear about how and how much we are paid. Banks are not. To be a broker, we have back ground checks and licensing.  Loan originators at banks do not have all these things imposed upon them.

In spite of all the requirments imposed upon us, I am glad to be a broker. I can bring a lender to the Northern Kentucky market who perhaps would not be in this market at all without me; it gives me an opportunity to work with the best. It has been a tough year for brokers; I believe the bad ones are gone and those of us left are the cream of the crop. I'm thankful for the trust of my consumer base.