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

The short answer

A bank offers you its own loan products. A mortgage broker works with multiple lenders and brings you the options that fit your situation. If your finances are straightforward, both can work. The broker advantage shows up when your situation isn't, or when you want to compare before you commit.

How a broker works

As an independent broker, I gather your information once, compare programs across lenders, and explain the options side by side in plain language. You choose what fits.

When a broker makes the biggest difference

  • You're self-employed or have income that's hard to document
  • You're buying an investment property or commercial building
  • Your credit or down payment isn't textbook
  • A bank has told you no
  • You simply want to compare before deciding

What stays the same

You still work with a licensed loan originator, complete a full application, and receive the same required disclosures. The difference is how many doors are open to you.

The bottom line

A bank gives you one menu. A broker gives you several, and helps you read them.

This is general information, not financial advice or a commitment to lend. All loans are subject to credit approval, and programs vary by lender and eligibility.

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