Mortgage broker?

It usually doesn't matter how you do it pricewise because mortgage brokers get their products wholesale, and the person at the bank is also working for a commission.

I tell people to go to the bank that has your demand deposits first (household or your business bank). Some banks are just not happening right now--Chase has a bad rap among brokers, and Citibank, my bank, has not been able to help me lately, so I personally ended up at Wells Fargo online recently. (They bought Wachovia and will be entering the NYC market visibly in 2010, they tell me.)

The advantage of a broker is they know products from a variety of lenders, and if your situation is at all unusual, they can save the day for you by finding something your chosen bank isn't able to provide.

{Manhattan real estate agent.}

Ok, thanks for the clarification! Well, my household bank is chase, so I guess I'll give them a try and see what rate they can give me.

chase has been taking forever to process loans and get appraisers to the property. much quicker turn around through mortgage brokers lately so if time is an issue be careful with chase (they are my household bank too but their underwriting department is a slow overworked mess)

Chase and most other banks have a longer processing time. We do have local processing and underwriting which gives us the ability to push files along as needed. The thing with most mortgage brokers nowadays if that theyre brokering through the major lenders such as BofA, Chase, Wells, Citi anyway. So why not go to the banks directly. Unless you have a unique situation or youre a good fit for a regional bank then using a mortgage broker might not be the best choice. There are too many holes in their process and unexpected changes that can occur. Ive been on the mortgage broker side so I know. But maybe Im being biased. sunny.hong@bankofamerica.com

Thanks Sunny, If I'm expected to close around late spring 2010, is it too early to start shopping for a rate?

"Ok, thanks for the clarification! Well, my household bank is chase, so I guess I'll give them a try and see what rate they can give me."

Don't. Even if you walk into your home branch office in Manhattan, they'll refer you to their general mortgage office in Ohio, where no one has ever heard of or understands co-op loans and the intricacies of New York City real estate.

I ended up with Wells Fargo as well and got a great rate

I don't know anything at all about mortgage brokers. What type of financial information do you need to share with a mortgage broker? Does each broker have a special relationship with a certain bank or banks and try to steer you towards that bank? Is the process much lengthier if you just apply directly to a bank?

1. What type of financial information do you need to share with a mortgage broker? Everything you'd share with the bank.

2. Does each broker have a special relationship with a certain bank or banks and try to steer you towards that bank? Brokers build relationships with as many lending institutions as possible so they can give their clients the best possible rate. As a result, lending institutions who enjoy volume business with certain brokers will quote a better rate to the client through the mortgage broker than if the client approached the lender directly.

3. Is the process much lengthier if you just apply directly to a bank? No.

Thanks once again Matt. You answered my question on the weekend about 15 yr. vs. 30 yr. mortgages and again you're sharing your expertise. Unfortunately for you, I'll probably have more questions as we delve further into this process.

Vis - I would say it is a little early to shop around for rates. Even if youre quoted a 4% rate now it doesnt really mean anything if you cant lock it in that rate. But there's no harm in looking around just to see where rates are now. Generally, I would start shopping for rates 2-3 months out.