What Are the Job Duties of a Mortgage Loan Processor?
One aspect of the American Dream is to own a house. Quite possibly, this will be the largest financial decision you will make in your life. Homeowners commonly take out a loan called a mortgage to help pay for this investment. Because the ramifications of mortgages can be critical for a homeowner, specialists called mortgage loan processors are employed to expedite this application. Schools offering Real Estate degrees can also be found in these popular choices.
Mortgage Processor Duties Overview
According to Monster.com job postings in April 2011, the primary job duties you'd have as a processor include writing, organizing, inputting and approving the financial data on mortgage applications. Because the applications are different for different loans, you'd also need to choose the one that best suits the prospective homeowner. The intricacies involved with choosing the appropriate loan often comprise employment history, the applicant's assets and his or her liabilities. Credit bureaus and previous employers may be called upon to gather this information.
Your work would also involve communicating with real estate companies to assess the property value and to check for discrepancies. If you find no discrepancies and the all other applicable criteria are met, you'd approve the loan seeker's application. The approved application is then sent for underwriting with a loan closer, who'd finalize the deal.
To carry out your duties, you'd typically follow three major steps. You'd begin by setting up each application and follow that with validating the loan information and finally seeing whether or not the application passes the ¬guidelines for approval.
Set Up the Loan Application
To set up a loan application, the you must determine the applicant's income, assets and liabilities. You'd also go over the projected expenses associated with the house in question. Working with your client, you'd determine the purpose of the loan and explain the loan's terms to him or her. Additional points you may cover in this step include the following:
- Type of mortgage
- Property information
- Borrower information
- Employment information
Verify the Information
To verify the borrower's information, you'd contact credit companies, the applicant's employer, the seller, appraisers and other specified companies. They verify information you collected from each applicant, including income, employment status and net worth. Survey and appraisal data from the property to be purchased will also be covered in this step.
In the final step of processing a mortgage loan, you'd determine whether to approve or deny the application based on the acquired data. To make this decision you'll review the loan package and the property's closing conditions. You'd then submit the approved application to the lender and contact a loan closer to seal the deal.
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