Working with a mortgage broker vs. a bank is like working with a travel agent vs. researching and booking a trip on your own. It might be less hassle on your end to work with a professional, but there may be tradeoffs for that convenience. Banks are one type of direct lender — when you're getting a mortgage, the bank is directly lending you the money to buy a home. Other types of direct lenders include online lenders specializing in mortgages, specialty lenders that cater to certain types of home buyers (like companies that focus on military service members) and credit unions. When you shop for a home loan with a bank, you're doing the legwork of figuring out whether that bank is right for you. So chances are, you'll find yourself setting up a spreadsheet or at least making a list to keep track of rates, fees and other considerations. A mortgage broker serves as an intermediary between you and direct lenders, which include banks. After discussing your needs, mortgage brokers take care of the rest. They reach out to their contacts at direct lenders and come back to you with options that fit your criteria. The broker then works with you to figure out which loan best suits your circumstances and continues to facilitate the transaction through the closing.

Here are two PDF documents to download. Home Buying Process and Mortgage Processing