How Does A Mortgage Broker Differ from A Real Estate Agent?
As licensed professionals in the real estate industry, Mortgage Brokers and Real Estate Agents share very similar job attributes as both of them help their clients in obtaining residential or commercial properties. However, the specific duties of each of them differ a lot.
- A mortgage broker Adelaide helps their client in finding the finance to purchase a property while real estate agents help in physically purchasing or selling the it.
- Mortgage brokers act as intermediary between buyers and lenders, whereas real estate agents act as an intermediary between buyers and sellers.
- Real estate agents are less concerned about financial details of the buyer or seller, whereas mortgage brokers must go through lending contracts and credit reports.
Real Estate Agent
Since the real estate industry is quite competitive, a good real estate agent must have qualities like trustworthiness, maturity, an outgoing personality and a desire to be helpful towards others.
A qualified real estate agent must have an academic background in marketing or sales, the minimum qualification required is a high school diploma. It is mandatory for all real estate agents to have a license. The job of a real estate agent might require hours and frequent visits to houses and commercial properties in cheapest neighborhoods in Boston or any other area, to make a successful sale, hence, patience is a key.
The basic job of a mortgage broker is to look for the best terms and the best interest rate for a mortgage. They assist their clients in obtaining a pre-approval for a mortgage loan. Many brokers develop a good relationship with a favoured lending institution, but a good broker will always find the best interests of his or her client.
It requires a qualified and professional mortgage broker to have a heavy knowledge regarding various lending institutions, their rates and terms, etc. Besides that, a mortgage broker should also be able to accommodate their customers’ schedules. It is the duty of a mortgage broker to ensure that all the legal disclosures are completely understood by the borrower so that future inconveniences can be avoided.
The Advantages of Hiring A Mortgage Broker
A mortgage broker can grant access to a wide variety of mortgage products as compared to a mortgage banker. A mortgage broker can also provide assistance in the management of various fees such as potential appraisal fees, origination fees, and application fees.
Since the mortgage brokers possess extensive knowledge and information regarding lenders and repayment terms etc, they save the time of those individuals. However, an additional research can be done in order to satisfy yourself and clearly understand everything.
These mortgage brokers have good relations with individual lenders and sharing lending institutions. They trust the brokers more than someone who wants to borrow without involving a mortgage broker. This will also be a plus point for the borrowers, as the brokers are likely to get better rates because they increase the number of clients for the lender.