The difference between a banker and a broker comes down to the products each can offer, and where their allegiances lie.
A banker is paid by the bank to make the bank money at your expense. A mortgage broker is paid by the lender to get you the best mortgage available, which is to your benefit.
A mortgage broker can access multiple lenders, which means they can shop around to get their clients the best mortgage product available.
Working with a mortgage broker provides you with options right across the board. Instead of you having to fight the bank for a deal yourself, your mortgage broker does all the leg work and outlines your options at several lenders. Then you get to choose the best deal. Since the lender pays the mortgage broker upon closing, there’s no cost to you.
A banker works for a single financial institution, and they must offer mortgage products from that institution only.
As banks can offer you only their rates and products, they are limited in how they can help you. They never offer you the best deal to start with, but they may eventually negotiate on terms and rates. Even then, you’re responsible for negotiating on your own.
If you have a mortgage up for renewal, or you want to refinance, it is always in your best interest to contact your mortgage broker instead of dealing with the lender who currently holds your mortgage. Just because they were the best option previously doesn’t mean they’ll be the best option in the future.
If you or someone you know is considering a new mortgage, let’s connect to get you the best mortgage options available!