What term describes a situation where a mortgage broker originates and closes a loan that is funded by a lender?

The term that accurately describes a situation where a mortgage broker originates and closes a loan that is subsequently funded by a lender is "table funding." In this arrangement, the mortgage broker is able to facilitate the loan process and handle closing without needing to use their own capital, as the actual funding is done by a third-party lender.

Table funding is advantageous as it allows brokers to provide financing solutions efficiently and with minimal delay since the loan is funded immediately at the closing table. This means that the borrowers can receive their funds without waiting for the lender to processes a separate funding after closing. The smooth transition from origination to funding is a key characteristic of table funding, making it a popular choice in the mortgage industry.

Warehouse lending, on the other hand, refers to a line of credit used by lenders to fund loans temporarily until they can be sold in the secondary market. Mortgage brokering encompasses the broader activity of connecting borrowers with lenders but does not specify the method of funding. Wholesale lending refers to lenders that provide loans to mortgage brokers or other financial institutions, allowing them to serve consumers. Each of these terms has distinct roles and processes in the mortgage industry, but "table funding" precisely captures the scenario described in the question.