About Candor Mortgage
Why choose Candor Mortgage Corp?
We designed our mortgage to be the best value. Our rates are lower and our service is better. We have one point of contact from start to finish. This means the same person helps you initially will explain your initial disclosure, lock your loan, help meet any underwriting requirements and explain your closing disclosure.
What does candor mean?
Candor means being open and honest. We strive to do business with you openly and honestly. To us it sums up our core belief of serving others.
Who will service my new mortgage?
We do not currently service mortgages. Once you have selected your rate and loan details, we will know who will service your loan. We only work with high-quality wholesale lending partners. Even after your loan funds, we are here for you.
What is the difference between a mortgage broker, direct lender or bank?
Before we cover the differences, there is one common factor. A conventional loan from a bank, direct lender or broker is the same Fannie Mae or Freddie Mac loan. This means you get the same loan regardless who you choose, the difference being the pricing and the service.
There are quite a few differences, we will only cover the main ones. A mortgage broker works with wholesale lending partners to fulfill your loan. Often, mortgage brokers have many options and is able to compare the pricing of many wholesale lending institutions. Mortgage brokers are licensed by the NMLS and a state regulatory institution (e.g. in California it’s the Bureau of Real Estate). This often requires more education and an additional license. Mortgage brokers are compensated by a wholesale lender where your loan is placed. Mortgage brokers set the compensation quarterly and can not deviate from this compensation. Servicing is normally done by the wholesale lender who funds your loan.
A direct lender underwrites and funds their own loan and sets their interest rates. The source of the money is often a line of credit not actual cash in the bank. Most direct lenders sell your loan as soon as it funds. They need to clear the line (it costs money if the loan stays on the line) and often they do not have a servicing platform. Processing is usually done in house. The typical processor usually has 40 or more files. The personal time is limited and you often have to explain your situation again. The underwriting and funding of their loans often adds additional cost and overhead. There is some risk in underwriting your loan that it will not be sell-able. As a result, they will be probably be stringent on the underwriting standards and apply additional overlays. These additional costs are then passed along to you.
A bank usually use it’s own money and has the ability to borrower money from the Federal Reserve or other banks. Banks tend to be much slower and more conservative when underwriting a loan. The loan officer who enrolls you at the branch is not the one who is working on your loan. The processing fulfillment is usually done at a call center in another state. Similar to a direct lender, the processor usually handles 40 or more loans. The time they allocate to you is probably limited. Banks tend to service their own loans but may also sell their loans to Fannie Mae or Freddie Mac.
What states do you offer your services?
We currently service all of California. We plan on expanding to other states shortly.