Try being a mortgage broker if you’re looking for a career in real estate. Understanding what the job requires and the basic qualifications will make it easier for you to start a career in this field.
This article defines what a mortgage broker is, specifies the key responsibilities and average salaries, walks you through the steps to become a mortgage broker, and answers commonly asked questions about this occupation.
We’re going to review the mortgage industry to decide if it really is the best way to make money out there.
We’ll talk about whether being a mortgage broker is the right line of business for you
At the end, I’ll answer some of the most frequently asked questions regarding Mortgage Brokering and Real Estate in general.
But most importantly, I’ll show you the exact system I used to build my own internet marketing business to over $40,000 a month in mostly passive income.
This system made me swear off conventional Real Estate investing/brokering for good, because it uses some of the same skills but uses them in a much more powerful and profitable way!
Mortgage lenders, otherwise known as “mortgage loan officers,” help homeowners or homebuyers find the best mortgage offer available.
They negotiate on their behalf or a representative to look for the best mortgage terms and interest rates.
Mortgage brokers do comprehensive research and assessment on the most recent loan terms and interest rates in order to provide their customers with the best rates possible.
A broker may have a strong business relations with a lending institution, but they still put the best interests of their clients first.
Mortgage brokers are familiar with loan rates, terms, and institutions, as well as credit reporting and the conditions that constitute mortgage eligibility.
A mortgage broker acts as a liaison between those people looking for a home loan and prospective lenders. The broker usually has a roster of lenders, as well as their corresponding offers and criteria.
What they do is find the best lending institution that matches their client’s needs and budget.
Mortgage brokers are usually compensated with a payment from the individual who signs the mortgage plus a certain fee from the lending bank.
The following are the typical tasks of a mortgage broker:
You must have a certain level of qualifications and experience to practice as a mortgage broker. A relevant and sufficient background gives you a better chance of success when looking for work in this field. To be a mortgage broker, the following are the steps you need to consider:
To meet the educational qualifications for a mortgage broker, you must, at least, have a high school diploma or a GED.
Although a formal degree is not required, obtaining an bachelor or associate’s degree in finance or business administration can help you increase your opportunities for employment and income potential.
As a prospective mortgage broker, you must obtain a license. You need to complete a pre-licensure course, which consists of a 20-hour program covering subjects such as broker ethics, federal and state mortgage laws, and financial rules and regulations.
You need to pass the NMLS exam after completing the pre-licensure program. This assessment, known as the SAFE Mortgage Loan Originator Test, assesses your understanding of mortgage procedures as well as state rules and regulations.
The minimum score is at least 75% if you are to pass these two sections of the test.
Register your brokerage business after passing the licensure exam and accomplishing the prescribed coursework. The registration requirements differ from state to state.
Your brokerage registration, where you are to provide your business name and location, can be done via your licensing authority in your state.
Applying for your mortgage broker license is the next step you need to take. The NMLS provides the requirements and criteria of the state where you’re in.
To obtain your mortgage broker licensure card, you must, of course, pass the test, pay a fee, obtain the appropriate bond, and finally, file an application.
To obtain your license, you must also obtain a mortgage broker bond. A mortgage broker bond covers your customers if you fail to observe your state’s laws.
Having these two prove your legitimacy to prospective clients.
Stay up to date on mortgage lending trends in both your city and state. Maintain your credential by taking continued education classes every year.
Part of your license renewal requirements is actively participating in continuing education.
This not only keeps your license valid, but it also means that you are providing your customers with the most recent information on loans.
It is essential to keep yourself up-to-date with the best practices and knowledge through engaging in continuing education and training in order to become a successful mortgage broker.
Try to take in-person or online training classes to strengthen your knowledge of your job and the industry in general, as well as to deepen your understanding of different state and federal regulations.
Additionally, make an effort to network with other mortgage brokers and industry-related professionals in order to remain current.
In the United States, the average Mortgage Broker salary is $83,469. This is as of April 27, 2021. The salary range usually varies between $75,475 and $99,674.
Salary levels can differ greatly based on different variables, including qualifications, certifications, additional expertise and skills, and also on how long you’ve practiced in your field.
In the United States, the annual income for a mortgage broker is $99,760, plus a commission of $52,000.
Commission: $52,000 per year
Los Angeles, CA (6 reported): $130,605 per year
New York, NY (6 reported): $125,640 per year
Dallas, TX (6 reported): $118,002 per year
Denver, CO (7 reported): $115,644 per year
Houston, TX (8 reported): $107,214 per year
Tampa, FL (8 reported): $101,533 per year
Miami, FL (8 reported): $97,823 per year
Charlotte, NC (8 reported): $90,892 per year
Our review team has come across a program in the real estate mortgage industry that is next level!
Although it’s not real estate in the traditional sense, it’s all digital.
Where these Real Estate and Mortgage Brokering fall short is in scalability. Because in order to make a good amount of money with real estate, you have to have several different properties.
And who has the capital for that right away?
But what if you went local?
With Local Digital Real Estate, you will be getting service requests from multiple sites at every minute of the day from people who are willing to pay a lot of money for what you can provide them.
So, think of it this way….
What if you could have streams of investment income where you operated 10 rental units that you could charge anywhere from $750-1,000 per month?
That’s $7,500-10,000 per month in passive income!
What If You Invested Into 100 Rental Units?
But instead of spending $Millions to build houses or apartment complexes… you spend a couple hundred dollars to build websites.
Next, you offer your lead generation system to local business owners who are looking for customers and are willing to pay you for their information.
You’ve just created a Digital Real Estate Investment Empire that is potentially earning you 4-5 figures in PASSIVE INCOME on a monthly basis without spending a single dime on ads.
Now, how many mortgage brokers can make that much money in passive income… all on a RESIDUAL basis?
Now, I could go on and on, but I’m sure you have tons of questions about how to create Digital Real Estate assets and start building YOUR digital empire!