How to become a mortgage loan officer

We also call mortgage loan officers mortgage loan originators, both define the same position and identity in the loan financing field. By the way, first, we need to describe who is a mortgage loan officer and how he/she works for their clients without bad impact on their career growth and along with other professional careers, then our last and crucial discussion of today’s article motive will discuss how to become a mortgage loan officer after passing the requirements of education, legal formalities, and other needed documents which are involved to disclose in the process of becoming a mortgage loan officer.

The Mortgage loan officer is the person who helps to find the house of the opposite party (borrower) at a reasonable and affordable rate from the valuable and reputed lender after researching in the financial market. They are not the permanent active officer who performs their role instantaneously, they have to perform their role based on their client’s requirements along with the laws that have been created by the National Mortgage licensing system (NMLS) after understanding and analyzing whether it will suit and match with their requirement or not. The Mortgage loan officer is responsible for his/her action towards their clients because if clients will not be satisfied with their service, how can they prove themselves as a mortgage loan officers? To be a mortgage loan officer, officers need to survey all the things that customers want from them at every step for every legal solution. 

Is it easy to become a mortgage loan officer?

If this question strikes in your mind, again and again, your brain is thinking the right one because you have to know is it easy or not? To become a mortgage loan officer is a screaming profile just because the word “officer” is attached to the role name. If you think like that, it is a tough role due to heavy responsibilities and a high position, you can’t take it easy if you get a mortgage task from a client.

Responsibilities/Duties to become a mortgage loan officer

The first responsibility of a mortgage loan officer is to focus on maintaining relationships with commercial and real estate agents to acquire clients on a regular basis. To develop a relationship with borrowers who have a good financial status and positive behavior while dealing with the lender by giving you respect.

A Mortagage loan officer is actually like a mediator who performs some steps:

  • First, helps to find the best location or place through different methods that match with the client’s wish list.
  • Second, they need to familiarize the client with that chosen location with its prices so that the borrower can also be familiar with that.
  • Third, they need to give some time to the borrower for thinking about the place and its value (budget) so that they can set their estimation that they should move to the next process or not.
  • Fourth, the officer has a responsibility to support the borrower from the start to end process, if the borrower is satisfied with the offered location and its value.
  • Fifth, the officer has to help the borrower arrange a loan for buying a home and also interact with the lender profile.
  • Sixth, they need to guide the borrower regarding the whole document procedure.
  • Seventh, the mortgage officer also has to take positive feedback from the borrower when the borrower becomes the real owner of the house.
  • In between the whole procedure, mortgage loan officers need to maintain mortgage records for showing their performance to new and existing borrowers and lenders.

What qualities must have to become a mortgage loan officer

Here are the qualities must have to become a mortgage loan officer are:

Professional Sales skills

Sales skills must have first priority to become a mortgage loan officer because the work role of mortgage officer match with the work role of sales officer, sales officer also has a responsibility to convince their clients to buy a product by defining their product benefits so same as a mortgage loan officer also has a responsibility to convince mortgage borrower for purchasing a house by defining their location benefits, rate benefits, land value benefits and much more. If mortgage loan officers adopt all sales skills so they can be eligible to handle multiple unique borrowers and lenders.

Researcher skills

After-sales skills, researchers skills do matter because if mortgage loan officers do more research on loyal houses through different methods like advertising, magazines, media, news, pamphlets, social media platforms, they might find many loyal houses that are located in safe and secure places for the borrowers. Researchers make efforts to find better results, just as mortgage loan officers invest time after making efforts on research for getting better home results from lenders.

Competitive skills

If a mortgage officer will analyze all the things by taking it as a competition and compare themselves as a competitor, they will definitely achieve better clients in less time. Competitive skills are a better advantage for the mortgage loan officer due to the high competition world and in a competitive world, to beat competitors is a tough-minded job.

Better relationship with borrowers, lenders, and real estate agents

Mortgage loan officers need to make an effort on building relationships with the borrowers, lenders, underwriters and agents of real estate business. All relationships should be perfect if officers want to survive in this world.

Borrowers and lenders should be the initial priority for the officer to build a positive relationship so that they can also get better output from both parties. Convincing and satisfying borrowers and lenders is an important part of the whole process of buying a home to sell a home. To provide loans at an affordable rate is their responsibility that’s why we call them a mortgage loan officers.

20 hours of Education skills

A Mortgage loan profile does not ask for the highest qualification to become a mortgage loan officer, just asks for passing the NMLS exam that has been held as per state requirements which are needed to qualify for 20 hours of education in between a given completion period to get an officer license.

Positive financial status

Positive financial status is required to become a mortgage loan officer due to clear the first stage towards the NMLS process. Before attempting the NMLS exam, a candidate needs to clarify their financial picture for moving to the next step.

Convince power

Must have the power to convince borrowers and lenders for purchasing and selling the home at an offered rate. 

Age requirements

Candidates must be 18 years of age to attempt a uniform nation test by NMLS.

The Procedure of “How to become a mortgage loan officer”

The Procedure of all states to become an officer are the same as :

  • How to become a mortgage loan officer in Texas
  • How to become a mortgage loan officer in California
  • How to become a mortgage loan officer in Florida
  • How to become a mortgage loan officer in Utah
  • How to become a mortgage loan officer in New York
  • How to become a mortgage loan officer in Georgia
  • How to become a mortgage loan office in Massachusetts
  • How to become a mortgage loan office in Michigan

Education criteria are similar for all above states but different laws and rules to pass the NMLS exam which is required to complete or prepare for a pre-license education.

Must have at least a bachelor degree

A candidate must have a bachelor’s degree to define themselves as an educated person for having knowledge of state, federal financial laws so that they are eligible to move for the next step. Some have accounting, auditing, business, real estate, financial analysts, mathematical, economics, statistics knowledge, mortgage knowledge along with sales and marketing knowledge.

20 hours of Pre-license education

After analyzing that candidates have a bachelor’s degree by NMLS, the next process is to complete the 20 hours of education course that has been created by the NMLS which is given importance in some of the above states. Some states like Texas prefer 20 hours of education to become a mortgage loan officer. Pre-license education is the initial step which is required to complete at any cost within providing days but sometimes candidates couldn’t perform well in the first attempt so NMLS gives a second and third chance to them to crack the exam with also mention cover days.

3 hours of education

3 hours of pre-licensed education are excluded from 20 hours of pre-licensed education because 3 hours of education are asked about state-specific law that covers such topics as Judicial and Non-Judicial, Home-Equity law and reverse mortgage law.

National Mortgage Loan system (NMLS) Exam/National Exam

After completing the pre-licensed education, candidates need to qualify for the NMLS test that can be state or federal level and also can be uniform state level which is decided on the basis of state requirements. Candidates get three chances to clear this test with 3 different periods of preparation time.

Criminal History Status Check (CHSC)

The test of criminal history background check is also the crucial part of this procedure which is checked by the NMLS before offering the mortgage license to the mortgage loan officer.

Payment of Fees

A candidate needs to pay all test fees which are estimated to be around $400 that covers processing fees (NMLS), background and status fees, registration fees, and national exam fees which are required to pay to get a mortgage license.

Verify licensing status under the secure and fair enforcement to mortgage licensing act of 2008

To get the update of mortgage license status under secure and fair enforcement of mortgage licensing act 2008. To get the mortgage license, a hard study is required by NMLS to face the questions because it is a repetitive profile that is tough to crack in the first attempt at the national uniform test conducted by the NMLS.

Why mortgage loan officer is a good career option

The Mortgage loan officer is a good career option whether for an experienced or fresher (who don’t have any commercial experience of years). To become an officer, multiple tasks have to be performed at different levels (state or national) and we agree that being a mortgage loan officer does not contain a stressful activity but requires a mindful activity which is easy to perform with our daily life. It is a good option if you are thinking of starting your professional life in this role, it’s a big opportunity for anyone who can be started from this role after passing the national level test and clear the criminal status test and get a mortgage license.

So if you are imagining becoming a mortgage loan officer, this article will help you to clear all the steps and helps to find the best opportunity quickly.