Many major real estate companies offer their own mortgage affiliate, however buyers should not feel pressured to use the in-house loan services.
- In-house loan services are not new, but they have become important since the market declined. When the lending environment started to become restrictive, the need to have a mortgage broker in house who could give preapprovals that actually worked became important to real estate brokers.
- Relationships between real estate brokers and in-home mortgage brokers can benefit buyers by providing access to the loan officer or mortgage broker. This may reduce processing time, and possibly fees.
- While using an in-house mortgage service may be beneficial and help increase the process, buyers have the right to select any lender they want. Federal law prohibits agents from steering clients to a particular mortgage company or lender, and from accepting payment for referrals.
important that borrowers do their homework, check all fees, and request
the Good Faith Estimate, regardless of which lender they choose.