REAL ESTATE

What is the difference between a Real Estate Broker and a Real Estate Mortgage Broker?

The difference between a Real Estate Sales Broker and a Real Estate Mortgage Sales Broker is the following: The Real Estate Broker is the one in charge of placing the sales ads and listing a property for sale, for example advertising with different newspapers, on the internet, and other publications. This person will be the one who will help you decide on the sales price of your property.

If you are the Seller, your sales representative will ask for the maximum sales price possible, so that when there is an interested buyer there is room to reduce the price without a loss to you. The sales price will depend on the area in which the property is located, and the median sales price of similar properties recently sold in your area, etc. The sales representative is the one who will conduct all negotiations between the buyer and you. If you get inquiries on the sales price by interested buyers, always direct them to contact your real estate agent and avoid discussing the terms directly as your real estate agent will probably negotiate a better price for you, and is being paid from your proceeds from the sale to do so.

If you are the Buyer, a mortgage broker is the person who will search for financing for you, according to variables such as the down payment you are willing to make, the type of financing you want and can qualify for, etc. He will also help you find the best mortgage rates and terms available among several banks and mortgage companies. Remember to consult an attorney before selecting the mortgage, as mortgage terms vary widely.

Before signing any papers, consult an attorney to advise you regarding the terms you are agreeing to by signing the offer, as after signature there may be penalties imposed for canceling the deal.