Real Estate Agents vs. Mortgage Brokers: What's the Difference?
February 10, 2023
Are you interested to buy a house but need help determining whom to consult? You may have heard of real estate agents and mortgage brokers. Though they both play an essential role in the home-buying process, it is crucial to understand their differences. This blog post will explain what sets these two professions apart and why knowing who does what when buying a home is essential.
Real Estate Agents
A real estate agent is a licensed professional who specializes in helping people buy and sell homes. They are responsible for helping buyers find properties that meet their needs and wants and negotiating contracts for buyers and sellers. A real estate agent can advise how to make a home more attractive to potential buyers or how much a seller should list their home for.
Mortgage Brokers
A mortgage broker helps borrowers obtain financing for their home purchase. They collect financial information from borrowers and research different loan programs available through various lenders that match the borrower's needs and goals. Mortgage brokers then present those loan options to borrowers, answer any questions they have about them, and help them select the best one for them. They also manage communication between all parties involved - such as lenders, appraisers, title companies, etc. until the closing day arrives.
Conclusion
Real estate agents and mortgage brokers are very different professionals with distinct roles in home buying. Real estate agents focus on facilitating the buyers to find properties that meet their needs while negotiating contracts on behalf of buyers or sellers. Whereas mortgage brokers specialize in obtaining financing for borrowers by researching different loan programs available through various lenders before presenting those options to borrowers. It will facilitate them to make an informed decision about which one is best for them. It is essential for anyone looking to purchase a property to understand these differences when shopping around for help with their purchase.
