Definition - What does Mortgage Broker mean?
A mortgage broker is a person who connects mortgage buyers and sellers. For their services, mortgage brokers are paid a fee by the mortgage lender. Mortgage brokers are not actually lenders themselves. Instead, they do things like find borrowers and file paperwork on behalf of the borrower. If the lender approves the borrower brought to him/her by the mortgage broker, then the mortgage will be given.
Justipedia explains Mortgage Broker
Finding the right mortgage, setting up all of the paperwork, getting approval, and accessing the mortgage can be a large process. Similarly, it can be quite a process for lenders to find qualified borrowers. So, mortgage brokers help both borrowers and lenders in the mortgage market. Mortgage brokers have expertise in connecting borrowers and lenders. This is why lenders pay them to bring borrowers to them instead of finding the borrowers themselves.
Step by Step: Here’s What Happens When You're Charged with a Crime