Maryland Mortgage Loan Officer Pre-Licensure
How to Get a Mortgage Loan Officer License in Maryland
How to Get Started as a
Maryland Mortgage Loan Officer | Requirements to Become an MLO Through NMLS
We’ve compiled the six steps you’ll need to take to enroll in Maryland Pre-Licensure Education (PE) and start your new career as a Mortgage Loan Officer (MLO). We’ve also answered some of the most common questions that prospective Maryland Loan Officers have as they consider this exciting new career.
How to Become a Loan Officer in Maryland
1. Request an NMLS Account
Before beginning the educational component of licensing, prospective Loan Officers must create an NMLS (Nationwide Multistate Licensing System & Registry) account on the State Mortgage Registry website. NMLS is a national database in which all Maryland MLOs must register. After creating their account, applicants receive a personal NMLS number that will be maintained for the duration of their time working as a Loan Officer.
2. Complete NMLS-Approved Pre-Licensure Education
In Maryland, you’re required to complete 20 hours of coursework in order to meet the education requirements. The courses include the following:
- 3 hours of Federal Law
- 3 hours of Ethics
- 2 hours of Non-Traditional Mortgage Lending
- 7 hours of Electives
- 5 hours of Maryland SAFE Review of Mortgage Law
The Maryland-specific 5-hr. course is required by the Maryland state licensing agency, also known as the Maryland Department of Labor. It must include 3 hours of Maryland mortgage-related law and 2 hours of Maryland’s finder-fees law.
3. Pass the SAFE Mortgage Loan Officer Test
The SAFE MLO Test can be scheduled by visiting the NMLS website. Applicants use their existing account number to schedule the exam. The exam has 115 scored questions, and test takers must answer at least 75% correctly. It costs $110 to take, and students are given 3 hours and 10 minutes to complete the test. You can learn more by reviewing the MLO Testing Handbook.
Did You Know?
The SAFE MLO Test is not easy, and NMLS previously released a statement that the first-time pass rate was only 58%. Study smarter by purchasing a comprehensive Exam Prep program to help you feel confident on test day.
Buy Your Exam Prep »4. Complete the NMLS Application
Now it’s time to submit for official Maryland licensure through NMLS. Applicants will apply through the NMLS licensing portal. Applicants are advised to review the MLO New Application checklist beforehand in order to ensure they’re ready to apply.
You’ll need to pay $225 for the Maryland portion of the licensing fee. Additionally, a credit report must be submitted at the time of application for a fee of $15.
5. Secure Your Employer Sponsorship
Your Maryland Loan Officer License will remain in pending status until your employing sponsorship is verified with NMLS. This verification is completed inside of the NMLS portal. Users will visit the Form Filing Home screen, then click Company Access. They’re then prompted to add their employer sponsorship by submitting employment details. Once the sponsoring employer receives notice of the verification request, they can approve the sponsorship. Upon approval, applicants are officially licensed.
Summary of Maryland MLO Fees
$200-$500
Pre-Licensure Education
$225
Initial License
$36.25
Criminal background check
$30
NMLS Processing Fee
$15
Credit Report
What Else Is There to Know About Becoming a Mortgage Loan Officer in Maryland?
What is the definition of a Mortgage Loan Officer in the state of Maryland?
According to Maryland Department of Labor, a Mortgage Loan Officer is defined as follows:
A Mortgage Loan Originator is an individual who for compensation or gain, or in the expectation of compensation or gain, takes a loan application or offers or negotiates the terms of a mortgage loan. Refer to Maryland Code, Financial Institutions Article, Title 11, Subtitle 6 (Maryland Mortgage Originator Law) for legal requirements.
Note: The titles “Mortgage Loan Officer” and “Mortgage Loan Originator” are often used interchangeably, including in the summary above.
How much do Maryland Mortgage Loan Officers make?
According to ZipRecruiter, Maryland Mortgage Officers make approximately $74,000 per year on average as of October 2021. The 75th percentile of earners makes above $100,000, while the bottom 25th makes under $35,000. Top earners can earn more than $120,000 in Maryland.
What is the Maryland market like for Mortgage Loan Officers?
Maryland has a lot going for it and it shows. The real estate market has proven strong and has pushed home values up 14.4% since last year. Maryland's proximity to Washington D.C., which has some of the highest earners in the country, along with its own unique features, make Maryland both a great place to live and invest. Maryland and its neighbors should see an increased demand for mortgages.
Is Maryland a good state to work in as a Mortgage Loan Officer?
It pays to be a Mortgage Loan Officer in Maryland. The median home cost in Maryland is $375,000. At a commission rate of 1%, that’s a $3,750 payment for the MLO once the loan is secured. Here are the average home payouts in a few Maryland locations:
Baltimore:
Average Home Price: $200,000
Average Commission: $2,000
Columbia:
Average Home Price: $428,000
Average Commission: $4,280
Annapolis:
Average Home Price: $515,000
Average Commission: $5,150
Germantown:
Average Home Price: $368,000
Average Commission: $3,680
All average home price figures were collected from Zillow.
What are some of the notable Maryland mortgage loan companies?
If you’re looking to get in contact with mortgage loan companies to ask about the profession, services, or employment opportunities, you can contact any of the following local businesses:
PNC Bank (Baltimore)
Meridian Bank (Columbia)
Movement Mortgage (Germantown)
Moreira Team (Bowie)