The mortgage industry is bursting with job growth opportunities, and mortgage loan officers are integral part to this industry. After all, they are the face the homebuyer sees throughout the process of buying a home. And as with any career, choosing where you want to perform this work is just as important as the work being performed.
Keep in mind that not every mortgage company will be a perfect fit for every MLO; it all depends on your professional goals. And while it’s a decision that requires some consideration, we promise it’s well worth it in the long run.
Understanding your career goals as a mortgage loan officer.
Choosing which mortgage company to work for will depend a great deal on your career goals. First, assess your personal strengths and weaknesses. This includes knowledge, skills, and areas for improvement. A mortgage loan officer earlier on in their career, for example, may find that a company who offers a little more career support and guidance is a better fit.
Once you’ve assessed your abilities, start formulating a list of short- and long-term goals. Short-term goals are those which can be accomplished within three to six months and are targeted toward achievable goals. These might include the number of mortgage applications you want to close or how many leads and/or referrals you want to generate.
Long-term goals, on the other hand, span anywhere from one to three years and take on a broader reach in your career. For example, building a solid client base within a niche mortgage market, becoming a leader within a brokerage or company, or starting your own brokerage are all examples of excellent long-term goals.
With all of your goals in mind, it’s time to start thinking about the opportunity for career advancement. Many mortgage companies offer additional training or professional development opportunities so their MLOs may continue to progress in their careers. If that’s something that sounds appealing to you, be sure to apply to companies who have these options available.
And finally, you’ll want to consider each company’s culture and values, and whether or not they align with your own. Consider day-to-day interactions, like what kind of management style you prefer, and the kind of team dynamic you’re looking for. While it’s easy to get bogged down wondering if you’re the right fit for the company, it’s just as important to make sure that the company is the right fit for you.
Researching mortgage companies.
Keep in mind that not all mortgage companies are the same; so when job hunting, you should know the difference between the different types of mortgage companies available. Here’s a quick breakdown:
| Types of Mortgage Companies | Who They Are |
| National Mortgage Companies |
Examples include Wells Fargo, Chase, and Rocket Mortgage/Quicken Loans |
| Regional Mortgage Companies |
Lenders that operate within a specific area |
| Independent Mortgage Companies |
Standalone entities that only originate loans and do not offer ancillary services like banks or larger financial institutions |
As with any career, there are pros and cons of working for each type of company. National mortgage companies offer greater geographic coverage and could arguably be better for the market reach an MLO would need to build their client base. The brand recognition that national mortgage companies offer may also be perceived as an easier introduction into the profession. What’s more, they offer a greater variety of loan products, making it easier to establish yourself as a niche loan officer over time.
Regional mortgage companies, on the other hand, boast a more profound understanding of the local housing market and trends within their operating radius. Having specific knowledge of the local area can be advantageous for providing exceptional client service, and understanding unique lending requirements. So, working for a regional mortgage company may help you build stronger relationships with local real estate agents, other loan officers, and stakeholders within the industry.
And then there are independent mortgage companies. These are often more pliable than larger financial institutions, which can allow for more autonomy and quicker adaptation to market trends and the borrower’s needs. For the ambitious MLO, independent brokerages also offer greater opportunity for more entrepreneurial pursuits. Perhaps the most beneficial part of working for an independent broker is that the compensation schedule is generally more lucrative than at national or regional mortgage lenders.
Reputation within the industry.
The reputation that a mortgage company has within the industry is a very important consideration while contemplating employment options. Ethical business practices, compliance, and customer service are the metrics by which financial institutions are judged, not only by the public but within the industry. A mortgage company that is known for its adherence to regulatory compliance is more likely to have smoother interactions with governing bodies, a reduced risk of legal blowback, and generally more company stability.
In most professions, job security is a top priority – for an MLO, it’s no different. A mortgage company that is mired in controversy due to legal missteps does not have the business outlook that a more above-board company does. A negative reputation can lead to increased scrutiny, loss of clientele and, eventually, closure.
Companies with a strong reputation also have an easier time attracting top talent because skilled professionals are more likely to align themselves with reputable and respected organizations. According to Talent Now, 84% of job seekers take a company’s reputation into consideration before they decide to apply. For a new MLO, having top-tier colleagues to learn from is a wonderful advantage in their career.
Customer satisfaction rankings.
While no business will make every client happy, researching customer reviews can be informative while job hunting. Acquiring a mortgage is one of the most monumental things a person will achieve in their life, and they’ll want that experience to flow effortlessly. Although every review isn’t to be taken at face value, often, a noticeable pattern will emerge that will help the prospective employee determine how the company does business.
Evaluating company benefits and compensation.
Compensation, by far, is the number one facet that job seekers consider while looking for employment. For mortgage professionals, pay structure will depend on what type of institution they work for and can vary widely.
For example, some of the larger commercial financial institutions may offer a base salary and typical workplace benefits (i.e., healthcare, retirement). Independent brokerages, on the other hand, will usually pay commission from the loans that the mortgage officer closes. That said, compensation packages can take shape in different ways. For example, one company may pay a lower base salary due to a more favorable commission structure, and vice versa. And then there are incentive bonuses and profit-sharing, which can also be components of a company’s compensation package.
It’s important to note that compensation structures can change as loan officers get more experience and ramp up their clientele. Regardless, it’s important for the mortgage loan officer to understand their compensation package, pay frequency, and any metrics that may impact their opportunity for bonuses.
Another benefit to consider is that many companies offer ongoing professional development and training opportunities to their MLO employees. Some may even sponsor – or reimburse – the continuing education courses all MLOs are required to complete in order to maintain their license. The mortgage industry and its regulations are ever-changing, so it’s crucial that MLOs stay up-to-date on the trends, laws, and other important facets of loan origination.
Assessing company support and resources.
If you’re a novice mortgage loan officer (and even if you’re not), employee support may be an important factor for you. Some MLOs may want to seek employers that foster an environment where teamwork is encouraged and employees are provided with resources that will help them succeed.
For example, some companies already have a strong lead generation system in place to help loan officers grow their clientele, and their business. Not only are traditional marketing materials such as flyers and social media content necessary, but so is technology such as CRM (customer relationship management) software. CRMs make growing a high-quality lead database easy to track and market to, and strengthen existing connections with industry colleagues such as real estate agents.
Some employers will also provide their MLOs with tools to perform their work more efficiently on a day-to-day basis. For example, instead of having clients make multiple trips into the office, some companies deploy document management and digital signature platforms to process loan applications. These services make the process easier for both the loan officer and the borrower.
Networking and building relationships.
Networking is crucial to an MLO’s future success, and even more so for those who are just starting their careers. Getting to know and building relationships with other MLOs, managers, and even recruiters can help attain employment more quickly and make career progression more seamless.
A strong network can result in:
- Increased professional development opportunities. Networks are a good way to keep abreast of best practices, market trends, new loan products, and the application of regulatory standards.
- Referrals. Networks of fellow MLOs and recruiters are great for garnering more referrals. Loan officers may not always be knowledgeable about the specific needs of certain buyers; when that happens, they can refer that client to a more adept professional, and they usually choose those within their network.
- Personal support. Having a network of people who have experienced or are experiencing similar situations is useful for moral support, problem-solving, and personal motivation.
- Visibility. Being tied to others can increase an MLOs professional visibility and ultimately lead to more industry opportunities. For example, a loan officer who desires to own their own brokerage should engage in industry events and other arenas where they can show their expertise, which allows them to interact with colleagues and industry leaders for their own benefit.
Making your final decision: key takeaways.
Job hunting can be a challenging and frustrating process, we know. But having a clear understanding of your professional goals, salary expectations, and an optimal workplace environment will make the hunt that much easier. Ultimately, consider what is most important to you and how the companies you’re interested in measure up.
As you move through the process, keep in mind these three key components: compensation structure, professional development opportunities, and the ability to grow your career.
And finally, don’t underestimate the value of your own intuition about an employer. Listen to your gut, have confidence in your decision, and move ahead in your career.
FAQs
What are the different types of mortgage companies?
The different types of mortgage companies are national, regional, and independent.
What should I consider when evaluating company benefits and compensation?
Compensation structure is an important consideration when evaluating a company. Some companies will pay a base salary and a commission while others will only pay a base salary and the standard benefits that other companies in other professions provide (i.e., health insurance).
How can I research the reputation of a mortgage company?
You can do a simple Google search to learn about a mortgage company’s reputation. The many review sites will give you some indication about their customer service. You can also rely on industry mentors who may have more knowledge of or insight into what a particular company is known for. The government also provides a website that allows anyone to search for information on mortgage companies.
What are some important factors to consider when choosing a mortgage company to work for?
MLOs should consider the compensation and benefits package, the company’s industry reputation, and professional development opportunities.
How can I assess the support and resources provided by a mortgage company?
Job seekers can look on the employer’s webpage to see if support and resources are listed. If not, they can reach out to the human resources department and inquire.
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