https://blog.cfcmtg.com/tags/rate-shopping/Recent content in Rate Shopping on Coastal Funding BlogHugoen-usWed, 21 Oct 2026 06:30:00 -0500https://blog.cfcmtg.com/posts/mortgage-broker-vs-bank/Wed, 21 Oct 2026 06:30:00 -0500https://blog.cfcmtg.com/posts/mortgage-broker-vs-bank/<p><strong>A mortgage broker compares loans from many wholesale lenders for you, while a bank can only offer its own loans. Banks may be convenient if you already bank there. Brokers give you more choices with one application. Freddie Mac research shows that comparing more rate quotes can save borrowers real money.</strong></p> <h2 id="key-takeaways">Key Takeaways</h2> <ul> <li><strong>Banks</strong> (retail lenders) offer only their own loan products and pricing.</li> <li><strong>Mortgage brokers</strong> shop multiple <strong>wholesale lenders</strong> on your behalf.</li> <li>Freddie Mac found borrowers with <strong>four or more quotes</strong> could have saved <strong>more than $1,200 a year</strong> during high-rate months in late 2022.</li> <li>Compare offers using the official <strong>Loan Estimate</strong>, which lenders must send within three business days of your application.</li> <li>Always check a broker&rsquo;s license on <strong>NMLS Consumer Access</strong>.</li> </ul> <h2 id="what-is-a-mortgage-broker">What Is a Mortgage Broker?</h2> <p>A <strong>mortgage broker</strong> is a licensed company or loan officer that works between you and the lenders. You fill out one application. The broker then compares programs and pricing from several <strong>wholesale lenders</strong>, which are lenders that work through brokers instead of directly with the public.</p>