According to experts, lenders will fund around $1.91 trillion mortgages in 2020. Can you imagine how much money you could make by brokering only a small number of those mortgages? You might have considered becoming a mortgage broker but think it’s too difficult.
It’s easier than you think if you learn the steps to start brokering mortgages. It all starts with learning how to sell mortgages and the steps to become a licensed mortgage broker.
Don’t know where to start? We’ve got you covered. Here’s your step-by-step guide to becoming a mortgage broker today.
1. Learn About the Mortgage Broker Role
Before taking the plunge, it’s important to learn about the responsibilities and requirements of the mortgage broker role. Do you like helping people? If you answered yes, this job may be the right one for you.
Are you interested in helping companies or individuals? Believe it or not, you can specialize in helping residential or commercial buyers. As a mortgage broker, you’ll be in charge of helping clients find the best loans and process their applications.
2. Research Your Local Mortgage Licensing Laws
Mortgage licensing regulations vary on a state basis. To become a mortgage broker, you’ll need to learn as much as you can about these laws and how to meet your local requirements.
A good starting point is surveying the Nationwide Mortgage Licensing System website. On this site, you’ll find everything from state licensing requirements to a list of approved course providers.
3. Enroll and Take Pre-Licensing Courses
After learning the local requirements, it’s time to enroll and take pre-licensing courses. Depending on the provider you choose, you may be able to take in-classroom or webinar courses.
Your pre-licensing courses will cover topics from federal regulations to ethics. Depending on your state, you may need to take between 20 and 35 hours.
4. Pass the NMLS Test
Once you finish your courses, you’ll need to take some time and focus on studying for your NMLS test. To become licensed, you will take the SAFE Mortgage Loan Originator Test. This exam covers mortgage-related federal and state regulation.
You may take this test at any time of the year. During this process, you’ll pay your licensing fee which varies on a state basis. You may also need to obtain a Surety Bond if you’re getting licensed in certain states.
5. Start Working as a Mortgage Broker
After passing your test, you’ll receive evidence of your licensing. You can use these documents to show clients and potential employers your credentials.
Another option you may consider is starting your own brokerage. In this scenario, you would be an independent mortgage broker helping your clients and partner clients.
You may start an online service or open your own office. Consider using systems such as a broker platform to simplify your mortgage origination and processing.
So You Learned How to Sell Mortgages by Becoming a Broker, Now What?
Learning how to sell mortgages by becoming a broker is the first step to embark on a fulfilling and successful career. You may think only professionals with a financial background should attempt to become a mortgage broker. However, you can meet your local licensing requirements if you follow our step by step guide and put in the work.
Did you find this article interesting? Keep checking the rest of our site to find more helpful tips and articles to take your career to the next level.
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