0
To act as a broker you will need to have access to a wide variety of lenders and products. Each lender usually has a minimum volume of loans that a broker/brokerage has to send them on a monthly basis in order for the broker/brokerage to have access to that lender. Let's say that a broker wants to have access and be able to originate loans for lender 'X', lender 'Y', and lender 'Z'. Lender 'X' might require the broker to submit or settle $1 million per month, lender 'Y' might want $1.5 million per month, and lender 'X' might want $2.5 million per month. This means that the broker/brokerage has to submit a total of $6 million dollars are month, just to have access to three lenders. Some brokers will do this, or will have agreements with one or two major institutions, and then use other institutions that don't have a minimum requirement to make up the numbers for marketing purposes.
To gain access to lots of lenders without having to worry about minimum volumes etc, some brokerages will enlisted the support of an 'aggregator'. The aggregator holds the individual agreements with the lenders, and individual brokers use the aggregator's agreements to submit their loans. The minimum volumes are made up by the loans being submitted by all the individual brokers, using the agreements of the aggregator. The aggregator takes apportion of the overall commission for providing the service, however also may provide other services such as software, training support, general business support, and back office administration.
Most lending institutions will require you to have completed at minimum an accreditation with a Mortgage Industry Body such as the MFAA (Mortgage and Finance Association of Australia) or the FBAA (Finance Brokers Association of Australia). These Associations have a minimum education standard set at a Certificate IV in Finance Services (Finance and Mortgage Broking) they will also require that the applicant have Professional indemnity Insurance and membership to an external dispute resolution system.
For more information go to www.mortgagebrokertraining.com.au
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
Where can one find a guide on how to become a mortgage banker?
You can find a guide on how to become a mortgage banker online at the eHow or Mortgage Broker Daily websites. Once on the websites, do a search for Mortgage Broker to find the guide.
How do you become a qualified mortgage lender?
A mortgage lender must be licensed and work within a bank, mortgage bank, or mortgage broker.
What is the name of Australia's leading home loan and mortgage broker?
The company 'Loan Australia' are a leading home and mortgage broker. However, there are several other home mortgage companies, such as 'Ring India' or 'Mortgage Choice'.
How to become a mortgage broker relies on a person with what type of motivational style?
The motivational style that would best suit a mortgage broker is the goal-oriented style. This type of person reaches for goals in a direct and obvious way which would be needful for a mortgage broker.
How can one become a mortgage loan broker?
Experience in investing and banking employment would be one of the first steps one could take to secure a job as a mortgage loan broker. A mortgage broker works with the buyer and the lender so communication skills will have to be perfect.
How can you become a mortgage broker in Massachusetts?
"To become a mortgage broker in Massachusetts, you will need to apply through the National Mortgage Licensing System. Once that is done, you will be walked through a series of training and testing, equaling about 20 hours. There is a fee involved, as well as a requirement for continuing education after you are licensed."
How does one become an independent mortgage broker?
The necessary requirements for becoming a mortgage broker are dependent on one's location. Check with state and local officials to determine the licensing requirements in a specific location. One must then pass the licensing examination before practicing business as an independent mortgage broker.
What is the total cost and is there a difference in supervised Mort Broker and Mortgage Broker?
I think there was no difference between supervised Mort Broker and Mortgage Broker. from the following link you can get the information about total cost of Mortgage Broker au.pfinance.yahoo.com/home-loans/features/online_homeloans/index.html
Is Mortgage Choice independently owned?
Yes. Mortgage Choise Limited is the largest independently-owned mortgage broker in Australia. They were founded in 1992 by Rod and Peter Higgins. Their customer base includes over 300,000 clients.
Are there classes for how to become a mortgage borker?
Yes, there are classes available to become a mortgage broker. You will find some great information at http://www.loanofficerschool.com/pages/home/. You can also try http://www.mortgagebrokertraining.com/so.html.
Where can I find mortgage broker training?
Capstone instutute of Mortange Finance offers mortgage broker training. http://www.capstoneinstitute.com/ I think that your best bet would also be talking to a local Mortgage Broker and seeking their advice.
Can a mortgage broker process his own mortgage application?
Yes In the US, no.
