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Difference Between A Bank and A Mortgage Specialist

RBC mortgage specialist Richmond hill

Buying your dream house is a massive milestone in your life. So you can work with a banker or mortgage specialist to complete this process efficiently. However, a mortgage banker helps to lend the bank from whom loan obtained. On the other hand, the mortgage broker arranges the right mortgages between you and the lender based on your needs and expectations.

However, the difference between a banker and a broker is that a banker represents a financial institution. And the broker is not bound to any financial institution. Here we are going to analyze some differences between the banker and RBC mortgage specialist Richmond hill that might help you to make the right choice.

Why choose a mortgage specialist?

A mortgage specialist is a person that makes a connection between you and the lender while purchasing a home. However, hiring a mortgage broker can be a better decision because it will save your time and money both.

However, it seems comfortable dealing with a banker. But most of the people became disillusioned with the big banks with rising bank fees and customer services. So due to all these problems, homeowners decide to hire a mortgage specialist.

A mortgage specialist understands your needs, credit history and provides you with the best deal that fits in your budget. However, a broker will do all the vital paperwork and negotiate with the lender on your behalf.

Moreover, a mortgage specialist has a massive network of potential lenders, companies, online lenders and credit unions to get you one of the best options. So if you have a bad credit score, then this broad spectrum of financial spectrum is helpful.

The payment for a mortgage broker depends on securing you a mortgage. So you know that a broker is going to work hard to give you the best results. Here are some pros and cons of hiring a mortgage specialist. 

Pros:

  • RBC mortgage specialist Richmond hill has more lender options than a bank.
  • Provide you with the best deal.
  • Rather than sell you a specific mortgage product, their goal is to find you the best rate.

Cons:

  • May not have a long-term relationship with a mortgage specialist.
  • A mortgage specialist may not understand your financial situation.
  • Brokers can not offer you other products like HELOCs.

Why choose a bank?

If you choose a bank to get a mortgage loan, then it is going to create an extra level of security and comfort. However, you can make a long-term relationship with the bank representative to get the lowest interest rate.

Bank will have a clear picture of your entire financial health and goals to provide you with the best deal that fits in your budget. Moreover, they will entice you with other perks like paying the home appraisal fees, offering you a cashback bonus and making it easier to get a home equity line of credit.

Therefore, it will be beneficial for you that your bank will oversee your financial services. Below are some pros and cons of hiring a banker. 

Pros:

  • You can make a pre-existing personal relationship with a bank.
  • They may take more time to explain the fine details of a mortgage as your regular financial service.
  • A bank can offer you a variety of financial services like HELOCs.

Cons:

  • Instead of providing you with the best rate, the bank can sell you a specific mortgage product.
  • A bank can refuse people having a bad financial history.

Final thoughts

The purpose of this article is to provide you with some difference between a bank and RBC mortgage specialist Richmond hill. However, we listed the pros and cons also that is going to help you get the best option. Make sure to choose the best option that suits your financial circumstances if you are deciding to buy your dream house.

Also Read: Home Loans

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