Mortgage Broker Vs Mortgage Lender

To keep our audience engaged and satisfied, Obsidian Financial Services has developed comprehensive guidelines to educate consumers on obtaining home loans. Since the 2010 collapse of the mortgage industry, many aspects of purchasing and obtaining a mortgage have changed significantly.

Key factors such as:

• Income qualification

• Down payment

• Credit scores

• Asset verification

Have all been impacted by the 2010 Dodd-Frank bill. This legislation has increased paperwork and disclosures by over 40%, adding considerable work to the processing, underwriting, and final closing stages.

Understanding the mortgage lending industry involves recognizing the two main types of companies: mortgage brokers and mortgage lenders. Both appear in disclosures, rates, and costs, but operate, approve, and close loans differently.

The Mortgage Broker

Mortgage brokers are prevalent in the lending industry. Licensing requirements vary by state, and there are minimal requirements to operate as a broker. Brokers rely entirely on mortgage lenders to underwrite and close loans. They handle processing and submit the loan to the lender for final approval and closing.

The Mortgage Lender

Mortgage lenders offer a convenient way to secure your mortgage. We have a dedicated team of processors, underwriters, and loan closers who manage setup and compliance. At Obsidian Financial Services, our average turnaround time for a loan is just 2 to 3 weeks.

To verify if a lender is HUD-approved, visit hud.gov. This resource will provide confidence in knowing who you are dealing with.

Obsidian Financial Services is a trusted mortgage lender, meeting all the criteria we’ve outlined. When you start your loan with us, you’re not just another client; you’re joining the Obsidian Financial Services Family, and your loan will be delivered “the Obsidian way.”