A mortgage company, also known as an origination company, is a company engaged in the lending business of providing mortgages for commercial or residential property. In the United States, a mortgage company may be either a direct lender or an indirect lender, which refers to a bank or credit union that lends money under specific terms and conditions. A mortgage company generally is responsible for making the final decision regarding the loan, as it is the one who draws up the documents outlining the exact details of the transaction. If you are looking for more tips, check out Prime Mortgage company.
As a general rule, a mortgage company offers different types of home mortgage loans. These loans include first-time buyer loans, adjustable rate mortgages (ARM), and reverse mortgages. However, there are also some home mortgage loans that are based on a contract-purchase arrangement, which means that the actual property is not sold, but rather a fraction of the value of the property becomes the sale. There are also some home mortgage loans that require no down payment at all, while there are those that require down payment.
The federal government regulates home mortgage loans in this country. However, state laws also vary widely. It is best to check with your state or county’s regulatory body to determine what the lender’s requirements are before submitting a mortgage application. Most banks will offer free mortgage guides that explain what you need to know when it comes to loan types and lenders.