Mortgage Broker: Job Duties, Career Outlook, and Education Requirements
Would you like a career in real estate? Do you have extensive knowledge of your neighborhood or community? If so, you could serve as the middleman between borrowers and lenders as a mortgage broker. In this capacity, you could facilitate real estate loans, garner financing or rent properties. Read further for details concerning the job duties, career outlook and education requirements for mortgage brokers. Schools offering Real Estate degrees can also be found in these popular choices.
What Are the Job Duties of a Mortgage Broker?
Mortgage brokers are licensed financing professionals. As a mortgage broker, you are in the business of selling real estate properties owned by others to borrowers who want to purchase the property. Your duties include assessing the needs of borrowers and matching them with one of many lenders from your list of contacts.
It is your responsibility to review borrowers' applications, credit reports and financial information to find the best possible matches. You must balance factors such as the length of the loan repayment schedule, interest rates and monthly payment amounts, depending on each client's financial situation. It's important that you collect a diverse range of information about each borrower and create a file for a lender. You also negotiate the details of the loan between the two parties.
What Is the Career Outlook?
The U.S. Bureau of Labor Statistics (BLS) revealed that jobs for real estate brokers and agents would increase by 14% from 2008 to 2018 (www.bls.gov). The BLS predicted that a contributing factor would be an expanding population which would result in families needing the services of real estate professionals to purchase properties. It was also noted that industry growth would be tempered by the advent of the Internet, which enabled individuals to research prospective properties on their own. The BLS reported that entry-level brokers might expect competition from those who had longer backgrounds and more professional connections within the real estate industry. As of 2010, brokers who worked in the offices of real estate agencies earned average annual salaries of $76,060.
What Education Requirements Must I Fulfill?
The minimum requirements for becoming a real estate broker include a high school diploma and a license, but it is becoming more common for companies to hire candidates with degrees. If you'd like to increase your employment options, you may want to enroll in a real estate program at a community college or university.
Real estate program curricula prepare you for licensing and include classes in real estate brokerage administration, real estate transactions, building codes, real estate contracts, financial accounting, marketing and escrow procedures.
Your state will require that you become licensed before practicing as a mortgage broker. Licensing requires passing an examination and acquiring formal training of between 60 and 90 hours. Also, unless you have a bachelor's degree, you may need between one and three years of real estate sales experience. Continuing education classes may be necessary to renew your broker's license. Exact requirements can be obtained from your state's real estate licensing authority.
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