It covers how loan applications work, who makes loans and how mortgage loans can be tailored to different situations. This column explores what to look for when selecting a mortgage lender. But it can make a difference if you are looking for a certain type of loan. Lenders who sell the loans they originate tend to offer the most popular types of loans. They are the largest originators of FHA loans, largely because the addition of FHA insurance makes the loan more attractive for resale.
Pools provide collateral for securities sold in the capital markets.
The most flexible type of lender is the mortgage broker, who acts as an agent for a variety of lenders. But you can choose who originates the loan. This choice affects the terms of the loan and how well the mortgage selection process serves your personal needs. Harris lists four important issues to consider when choosing a mortgage originator. Cost of the loan .