The economic crises broke the very backbone of our economy. The impact of which nations over the world faced and some are still struggling to cope with it. The foundation of housing sector very badly trembled making people more wary at times of mortgage. Most of them don't even know how mortgage brokers in Vancouver work and their importance.

The mortgage brokers in Vancouver come into picture when someone wants to refinance his home, or wants to go for a new mortgage. But due to lack of awareness about them and kind of work that they do makes them feel they aren't of much importance. But on the contrary, they are one of the major links for a successful mortgage.

As a broker means a "mediator", the term mortgage broker is also very implicit. He is an intermediary between a lender and borrower who bridges the gap between them. The lender can be a large lending firm or bank whereas the borrower can be individuals like you and me.

There are steps in which mortgage process and role of a mortgage broker in it can be explained. These are:

• Firstly the mortgage broker gathers all the information required by the money lender which is quite large as he makes sure that he knows the borrower well before he puts his money at stake. If the homeowner or borrower comes down to do it himself then it becomes quite tedious and cumbersome for him to take time out of their working schedule and deliver their information to the lender without taking much time and avoiding errors.  Thus, when a borrower comes to a broker the first thing that he does it for him is that he gathers all the information about him like the assets he owns, his employment and credit history etc.

• The second role that the Mortgage brokers in Vancouver play is that after completing the information, they analyze the borrower and present various loan options to him. Thus, out of numerous loan options available in the market which are increasing manifold nowadays they puts forth a few best options of which the borrower can choose and make the task easy for him.

• The borrower then makes the final decision where as a mentor; the broker provides right information and guidance to him to make a prudent decision.

The consideration he charges for his service is called commission. Some of the ways of charging commission are:

• Fixed commission in which he charges a fixed amount.
• Takes it in form by charging closing costs and yield spread premium.
•  To give an illusion he sometimes make it ‘no cost loan' where he makes it appear as if no commission is there whereas he charges it by raising the interest rate by a small percentage. For this he opens a line of lender credit.
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  Mortgage itself is not very easy for a layman to understand or to get. The facilities like refinancing and loans have become new verticals in it and understanding of the complexities is quite a mammoth task of a borrower to do. The role of mortgage brokers in Vancouver is crucial and the commission they take is the charge for their serviced which is nothing in front of the ease that they provide in making the process simple. They work for the benefit of the borrower and with the help of their experience and knowledge; they guide them through this process.