Being a successful mortgage loan officer requires a unique blend of skills and talents. Besides the technical aspects of the job, soft skills — such as the ability to communicate effectively, build and nurture relationships, and keep a cool head under pressure — are what set great MLOs apart from the pack. The profession also comes with its challenges that, if overcome, lead to handsome rewards.
The schedule of a typical mortgage loan officer.
The typical workday for a mortgage loan officer can vary depending on factors such as client appointments, seniority, and market demand. Loan officers are known to enjoy a pretty flexible schedule, so their daily routine can also be shaped around their personal preferences.
On average, the typical day for a loan officer begins with catching up on communications (be it emails, voicemails, etc.). This can include communication from current clients, colleagues, and even new leads. MLOs who have access to a CMS (client management system) or participate in social media marketing will likely check any inquiries that have come through. They may also take time to update their database with new information.
Mid-morning is usually reserved for meetings and calls, the bulk of which are with current or new clients. During these meetings, the MLO generally addresses any questions about financial goals, the mortgage lending process, loan products, and other pertinent topics. This is also a good time for MLOs to meet with clients whose files are in process and share important updates.
After the lunch hour is when the bulk of the application work takes place. This includes gathering documentation, verifying information, and all of the pre-underwriting preparation for the application. There is no set amount of time that this type of work takes, and largely depends on the loan officer’s client load, the previous progress of each application, and how much support is available in-office. This often also flows into following up with clients about their applications.
The evenings are usually used for networking and other business-building activities. This is when the loan officer works to establish relationships with other industry colleagues by attending after-hours events.
Other administrative tasks — such as updating notes, confirming the next day’s schedule, cleaning up their client database, and preparing for the week ahead — are scattered throughout the day.
Of course, this pattern will be customized to what each individual MLO feels is the most efficient use of their time. While there is no one schedule for how a loan officer will spend their day, the same duties are performed daily amid other requirements that must be met to be a successful loan officer.
Common hurdles in a mortgage loan officer's workweek.
Although a mortgage loan officer’s typical workweek is full of routine, there are certain hurdles and expectations that come along with the role. Let’s look at some of the most common ones.
Time demands and expectations.
The mortgage loan process can be stressful to clients, sometimes causing them to become hostile. Clients have their own expectations, and sometimes forget that the MLO has other clients to serve, as well. These demands can also come from other members of the client’s team, such as real estate agents.
In addition to client expectations, time demands can be a big challenge for MLOs. The lending process comes with rigid deadlines, such as mortgage pre-approval; if this deadline isn’t met, the applicant may have to start the application over. So, to ensure their clients don’t miss out on important deadlines, it’s just as important for an MLO to perform accurate work as it is for them to perform their work in a timely manner.
Prioritizing tasks.
Mortgage loan officers manage multiple clients at one time, each application with its own set of rules, requirements, and deadlines. For this reason, the ability to prioritize tasks is key. A loan officer who is good at prioritizing their work will naturally hit important targets, like providing excellent client service and meeting financial metrics set by their organization.
Handling the unexpected.
Handling the unexpected is an important part of being a great MLO. The nature of the mortgage industry can involve sudden changes or disruptions which affect a client’s application. By being proactive, adaptable, and an excellent communicator, successful loan officers are able to deal with whatever is thrown at them, even when it’s at the last minute.
The excitement of helping people achieve homeownership.
The role of a mortgage loan officer is about more than handling loads of paperwork and hustling to meet sales metrics. Parts of the job have an altruistic nature, and can bring a sense of personal satisfaction to the MLO.
Closing deals is just one example. Not only do closed deals mean a handsome paycheck, but they are proof that the MLO’s handiwork and expertise put into each client’s application has paid off.
Then, there’s the satisfaction of helping everyday people reach a very personal and rewarding goal. According to Bankrate, 74% of Americans consider homeownership a key component of achieving the “American Dream.” By helping clients acquire the financial means to do so, MLOs are the mainstays who help prospective property owners reach the goal of homeownership.
Inherent to feeling fulfilled by your career as an MLO is the ability to build crucial — and often mutually beneficial — relationships with clients, real estate agents, other MLOs, and industry colleagues. These relationships can lead to educational, professional, and personal growth, which can be highly rewarding.
The high earning potential and job security.
Mortgage careers are known for their enviable salaries and stability. No matter the market conditions, the demand for homeownership and real estate purchases, including commercial, is ongoing. Mortgage loan officers help individuals and businesses attain the best possible mortgages and refinancing options. That means that mortgage professionals will almost certainly always be in demand.
Along the same vein, there is job stability. Though the real estate market will fluctuate, and interest rates can be precarious, the housing market is one of the biggest components of the national economy. As long as people are interested in owning real estate, the role of an MLO is vital. And in times of economic uncertainty, a skilled loan officer is even more important.
From a personal aspect, MLOs enjoy the potential to earn a substantial income. Compensation structures often involve a combination of base salary and commission which means that the more loans they close, the more money they can earn. Loan officers who have become consistent at perfecting their craft and providing the type of service that most borrowers seek can earn even more money.
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