What is a mortgage banker?

A mortgage bank specializes in originating and/or servicing mortgage loans. A mortgage bank is a state-licensed banking entity that makes mortgage loans directly to consumers.   The difference between a mortgage banker and a mortgage broker is that the mortgage banker approves and funds loans with its own capital.

Generally, a mortgage bank originates a loan and places it on a pre-established warehouse line of credit until the loan can be sold to an investor. The process of selling a loan from the mortgage bank to another investor is referred to as selling the loan on the Secondary Market.  Mortgage banks frequently use the Secondary Market to sell loans because the funds received pay down their warehouse lines of credit which enables the mortgage bank to continue to lend.

For complete mortgage loan program details and to find out if you qualify, contact us today at 888-488-3807 or go to www.OneTrustHomeLoans.com.

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