Finally a debate about reigning in the uncontrolled mortgage brokers.  Read it Here. Who does the mortgage broker represent in a transaction?  It may seem like they should represent the borrowers interest, looking far and wide for the best rates and terms for his/her client.  But, this is not true. "The mortgage broker does not represent the borrower", says Chris Holbert, in an article by James R. Hagerty of The Wall Street Journal Online, "We sell access to money." 
Brokers have very little regulation, unlike all other parties to a real estate transaction.  Appraisers, Real Estate Brokers, and Title Companies are highly regulated and it's about time mortgage brokers joined that group for the benefit of all involved.
Should a transaction fail due to the mortgage broker or should he/she simply not fulfull their promises then a borrower has no recourse and he/she is stuck with a bad loan or no home.  It does not mean that there are no good mortgage brokers.  There are pleny of good ones that will jump hoops for their clients, but there are bad ones that can turn a dream into a nightmare.
Until brokers become more accountable, you need to protect yourself. There are several things that you can do.  Shop for home loans at several lenders and a brokers, compare the offers, and then see where you will find the better deal.  When choosing a broker, ask a lot of questions.  Put your interests first.  Don't let them steer you into something you don't want, like more home than you need, or odd loan packages that don't match your needs or future plans. In addition check references if you can.  Read documents carefuly and understand the consequences of the numbers.

The loan, in a real estate transaction, is often overlooked, but in fact it's one of the most important elements and often more important than the property you are buying. 
In Washington, legisislation, by Sens. Charles Schuman(D, N.Y.), Sherrod Brown(D.,Ohio and Bob Casey (D., Pa.)was introduced that would impose fiduciary duty on brokers. Other states are trying to do their part but it will take a while and it may not be enough. It will become easier once mortgage brokers have to be more responsible and accountable, but until then and even then you need to keep a look out for your own best interest. Below are some resources for you to review when buying a home or real estate investment in Greater Phoenix, Arizona.