Directly Going to a Bank
Most first-time homeowners go to big banks, hoping to get their best mortgage deal. They are assisted by loan officers in obtaining the desired principal amount and interest rate. The borrower is interviewed to assess the credit history, the capability to repay the loan, and evaluate the financial status.
Going directly to a bank may be beneficial because of its stability and good reputation as a money lender. Also, you don’t have to pay an appraisal fee.
However, getting all the requirements done by yourself is complicated and takes a lot of time. Moreover, loan officers may not give you a variety of options and may offer you a higher interest rate because they work for a specific bank.
Meaning you wont necessarily get a good deal.
Hiring a Mortgage Broker
Mortgage brokers work as a connector between a mortgage lender and a borrower. They do most of the work in the mortgage process – find the best lender with the best deal and complete all the required documents to be submitted. They act both as your concierge and financial adviser. They are well aware of the entire mortgage market. They have various bank and private lender connections. If you want to get the best mortgage deal, whether from a bank or a direct lender, then just talk to your broker. If you want the mortgage process to be easy and fast, hiring a mortgage broker is your best bet.