In the world of finance, there are diverse career options to cater to a variety of professionals. This includes the work schedule. Although most mortgage loan officers work full-time or more, flexibility is a known benefit of becoming a mortgage loan officer (MLO). Let’s explore what being a part-time loan officer is like, the challenges, and benefits thereof.
Can you be a part-time mortgage loan officer?
Mortgage loan officers enjoy several benefits, one of which is to commonly be able to manage their work schedules around their personal needs.
Flexibility & choice.
Flexibility is a feature that many professionals wish for in their roles. The attraction of being a part-time mortgage loan officer is that it allows greater work-life balance and a needed separation between the MLO’s personal and professional goals. Flexibility also allows for better time management, making it ideal for those who have a great deal of commitments in other areas of their life.
Compensation, benefits, & career growth.
The compensation difference between full- and part-time MLOs is something to consider. While full-time mortgage loan officers can earn a very handsome salary, that often comes after the hours of work they’ve put in. It goes without saying that less time working with clients will likely result in a smaller salary. Additionally, MLOs that work for larger entities, such as banks and credit unions, often qualify for health insurance benefits and paid time off. These benefits may not be offered to part-time employees.
The most important consideration is weighing the compensation and benefits package against your personal goals. For someone wanting to engage in outside interests, for example, time and freedom can be worth as much as a salary.
The pros & cons of part-time work.
Some benefits of being a part-time MLO are a greater work-life balance, and the ability to pursue other interests outside of the career. On the other hand, working part-time could affect the rate at which MLOs are able to progress in their career and how much money they are ultimately able to earn. Additionally, the competitive nature of the mortgage industry requires time and effort that a part-time loan officer may not be able to dedicate. This includes the opportunity to network, garner referrals, and keep a steady clientele.
Steps to becoming a part-time mortgage loan officer.
Due to the fact that most MLOs are full-time employees, a part-time position will require some savvy to secure. Though it will take some work, it is totally doable.
The importance of networking.
Networking in today’s job market is extremely important to procure employment. According to Zippia, 70% of employees received their current role through networking and over 80% of jobs are filled through personal and professional networking. Within the mortgage industry, networking is the linchpin of building a successful career. By attending industry events and other activities where you can connect with industry colleagues, you can likely find referrals for part-time positions.
Stay abreast & up-to-date.
The mortgage industry is subject to constant regulatory changes and market fluctuations. One of the concerns that both prospective clients and employers may have is that a part-time MLO lacks the skills that a full-time MLO has. While that may not be true, perception is everything. Therefore, during the search for part-time work, make sure that you keep up-to-date with your continuing education hours and the changing industry rules and regulations. Doing so will instill confidence in potential employers when you interview for positions.
Demonstrate previous experience.
Finding a part-time position will be much easier if you can demonstrate that you have some experience under your belt. Even if you have limited experience within the mortgage industry, focus on transferable skills and soft skills that you’ve acquired in other professions. You can even apply for apprenticeships or other entry-level positions for hands-on experience to add to your resume.
Take initiative.
Although online job boards like Indeed and LinkedIn are popular these days, taking the initiative to reach out to recruiters and local institutions is a good way to find part-time job opportunities. Try contacting recruiters who specifically work in the financial or mortgage sector, or speaking with managers at local banks, mortgage companies, or brokerages about current or future openings. Even if there are no open positions, many will take note of your drive and keep you in mind should a position open in the future.
Qualifications for mortgage loan officers.
Becoming a mortgage loan officer involves meeting certain preliminary requirements, such as completing a course of study, examination, and licensure.
Education & certifications needed for the job.
To become an MLO, you must be at least 18 years old and have a high school diploma or GED. You’ll need to register with the Nationwide Mortgage Licensing System & Registry, which is a centralized repository for mortgage and other financial licensing programs. From there, you’ll undergo criminal background and credit checks.
You also need to take at least 20 hours of pre-licensing education, not including any state-specific requirements, and pass the SAFE MLO exam with a score of 75 or greater. States may differ in their approach to MLO licensing, so it’s best to check with your state’s governing body to make sure you know everything you need for your state.
Relevant experience.
You don’t need experience in the mortgage industry to become an MLO, but it helps. If your work experience involved any of the following skills, they are easily transferable to the mortgage industry and can be a boon for you as you begin your loan officer career:
1. Knowledge of Financial Principles. Having a solid grasp of certain finance or banking concepts will help you assess your clients’ financial situations so that you can help them find the right loan product.
2. Time Management. Being adept at juggling multiple priorities or adhering to strict deadlines will help you as a mortgage loan officer. You’ll interact with multiple clients and other stakeholders, and they will each have specific needs, often with timelines attached.
3. Customer Service and Relationship-Building Skills. Customer service and sales are a big part of being an MLO. You’ll need to connect with clients in a way that engenders trust and confidence in your ability to help them.
4. Compliance. The mortgage industry is heavily regulated, and these regulations are subject to change. Having a background in reading, understanding, and applying rules and regulations to your work is beneficial to a mortgage career.
5. Analysis. Although more than one stakeholder will analyze your clients’ files, you’ll offer first-line analysis of their documents so that you can make the appropriate recommendations.
6. Communication & Interpersonal Skills. As an MLO, you’ll need to explain complex financial concepts to your clients who may not have the background knowledge to immediately understand them. This goes hand-in-hand with developing a relationship wherein the client has confidence in your work.
Is being a mortgage loan officer right for you?
Becoming a mortgage loan officer takes a lot of dedication. Full-time MLOs have access to certain benefits that part-timers may not, which may give them a smoother start. However, a successful part-time MLO position is possible with a little work. A good way to find part-time employment as a mortgage loan officer is to demonstrate the value you bring to an organization. By getting licensed, getting some entry-level experience under your belt, and networking with industry colleagues, you’ll be able to find referrals to employers who are open to your desired work schedule.
If you haven’t yet begun the process of becoming an MLO, The CE Shop offers NMLS-Approved Mortgage Pre-Licensing Courses to get you started. If you’re still pondering, you can also take a free tour of our course demo to help you decide whether a mortgage career is right for you.
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