How To Become A Mortgage Loan Officer In Arizona

Skills For A Mortgage Loan Officer

To be a successful MLO, consider developing these skills:

• Interpersonal skills: MLOs explain different loan options to borrowers in simple terms, keep clients updated with their loan status and refer them to helpful resources. Interpersonal skills can help them connect with borrowers and make the loan process smoother.

• Organization: MLOs often work on multiple loans at the same time, making organization an important skill to develop. It also helps them keep track of their continuing education and licensing requirements.

• Attention to detail: Since MLOs work with a lot of numbers and specific loan factors, attention to detail is particularly useful. With this skill, they can ensure interest rates, loan amounts and borrower information is correct.

• Financial skills: MLOs should have detailed financial knowledge to help borrowers make informed decisions. They spend most of their days reviewing finances, including credit scores and income, to determine whether borrowers qualify for different loans.

Must Have At Least A Bachelor Degree

A candidate must have a bachelors degree to define themselves as an educated person for having knowledge of state, federal financial laws so that they are eligible to move for the next step. Some have accounting, auditing, business, real estate, financial analysts, mathematical, economics, statistics knowledge, mortgage knowledge along with sales and marketing knowledge.

Job Description For Mortgage Loan Officer I

Mortgage Loan Officer I solicits and services a variety of residential mortgage loans. Interviews applicants, collects financial data and documents, and makes recommendations regarding the loan products that best meet the borrower’s needs. Being a Mortgage Loan Officer I assists buyers in the purchase process through closing. Requires a bachelor’s degree. Additionally, Mortgage Loan Officer I typically reports to a manager or head of a unit/department. The Mortgage Loan Officer I works on projects/matters of limited complexity in a support role. Work is closely managed. To be a Mortgage Loan Officer I typically requires 0-2 years of related experience. … View full job description

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Secure Your Employer Sponsorship

Your Arizona 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. Theyre 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.

Exams For Company Licenses

• Mortgage Broker – To obtain your Mortgage Broker License, you are required to complete a 24-hour state-approved pre-license course and pass a mortgage broker test. To register for the test you will need to provide a copy of your Certificate of Completion stating that you have successfully completed the pre-license course. You must pass the test no more than a year before being granted your license.

A list of AZDFI-approved pre-license course providers as well as the test registration form can be found on the AZDFI website.

Note: You can only take the test twice in one year.

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Why Mortgage Loan Officer Is A Good Career Option

The Mortgage loan officer is a good career option whether for an experienced or fresher . To become an officer, multiple tasks have to be performed at different levels and we agree that being a mortgage loan officer does not contain a stressful activity but requires a mindful activity which is easy to perform with our daily life. It is a good option if you are thinking of starting your professional life in this role, its a big opportunity for anyone who can be started from this role after passing the national level test and clear the criminal status test and get a mortgage license.

So if you are imagining becoming a mortgage loan officer, this article will help you to clear all the steps and helps to find the best opportunity quickly.

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Salary Of A Mortgage Loan Officer

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Fees For Individual Licenses

• $15 credit report
• $36.26 background check
• $100 recovery fund

Licensing fee :

• $150 if the license is issued in January, February or March
• $112.50 if issued in April, May or June
• $75 if issued in July, August or September
• $37.50 if issued in October, November or December

Test fee:

The fee is non-refundable and must be submitted via NMLS.

• $110 National Test Component

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How To Become A Mortgage Loan Officer In 8 Steps

The Indeed Editorial Team comprises a diverse and talented team of writers, researchers and subject matter experts equipped with Indeed’s data and insights to deliver useful tips to help guide your career journey.

Mortgage loan officers help people who wish to purchase a home choose the best financial options. This can be a rewarding career if you’re interested in real estate and like working with a variety of people. In this article, we explain what a mortgage loan officer does, how to become one and what kind of salary they usually earn.

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Will You Be Good At Being A Loan Officer

Becoming a mortgage loan officer is not the hardest part of being one. Compared to many jobs, the chance for financial success is very possible. However, you will need to be skilled in sales to earn large commissions.

Its important to look closely at what the job entails and how it matches up with your personality. Here are some traits that great loan officers often have and why theyre important in the profession:

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What Skills Are Needed To Become A Loan Officer

Here are the skills you will need to possess if you hoping to pursue a successful career as a loan officer:

• Customer service: To succeed in the career path of a loan officer it is important to be able to provide excellent customer service skills. You will be working with customers daily and will be the point of contact whenever there is a question regarding a loan.

• Sales ability: Loan officers will also need to think of themselves as serving as a salesperson and will need to pitch the loan to the customer if they are approved. You will want them to take the loan through your financial institution instead of the competition.

• Detail-oriented and organized: As a loan officer, you will need to be able to sort through documents and find relevant information to determine if someone is eligible for a loan. You will need to make sure you are not missing any important information to ensure the accuracy of your review.

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Skills And Abilities Of A Mortgage Loan Officer

• Knowledge of financial software

• Assists bank with meeting mortgage and human resource objectives by hiring, training, and counseling employees.
• Adheres to mortgage loan standards and laws
• Implements and contributes to various strategic plans and reviews
• Assists bank with meeting mortgage and human resource objectives by hiring, training, and counseling employees.
• Identifies ways of improving mortgage loan system
• Provides thorough and accurate budget information on an annual basis
• Guide clients through mortgage loan options
• Inform clients about loan approval or rejection
• Help resolve problems with applications
• Research new mortgage loan policies
• Ensure compliance with privacy laws and confidentiality policies throughout the process
• Build a supportive referral network

Exams For Individual Licenses

• Mortgage Loan Originator License – All MLO license applicants are required to complete a 20-hour NMLS-approved pre-license course as well as a mortgage loan originator license exam.

The pre-license education includes federal law, ethics, mortgage products, state laws and regulations. A list of approved course providers, as well as further information, can be accessed on the NMLS website.

The mortgage loan originator exam is administered by Prometric and it consists of national and state-specific components. You can enroll and pay the examination fee through NMLS. Scheduling a test date can be done via NMLS or by contacting Prometric at 877-671-6657. You must pass the license exam no more than a year prior to being granted your license. Each applicant is allowed three attempts to pass the exam.

Note: There must be at least 30 days between each attempt. If you fail the exam three times, you have to wait an additional six months before re-taking the test again.

The MLO Testing Handbook provides further information regarding the exam and can be found on the NMLS testing page.

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How Much Do Mortgage Loan Officers Earn

The median salary for a mortgage loan officer in the United States is around $63,000 per year. It is important to note that this will be different for nearly every state in the country. Since you are usually earning a percentage of the loan, the higher that is, the higher your fee will be.

The top earners in the industry are able to make 6 figures in a year. These mortgage loan officers are usually working in high priced markets and are highly experienced. The amount you earn will depend on a lot of different factors.

What Is A Mortgage Loan Officer

A mortgage loan officer is a finance professional who helps clients determine whether they qualify for home loans. They also provide information on the types of loans available and interest rates. These individuals, who often work in mortgage companies and banks, provide guidance and advice regarding home loans.

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Salary And Job Outlook For A Mortgage Loan Officer

Indeed does not have salary data specifically for mortgage loan officers, so here are two similar job titles and their national average base salaries to give you an idea of the earning potential for this role:

• Mortgage loan originator:. The average commission for this role is $27,600 per year.

• Loan officer:. The average commission for this role is $24,000 per year.

According to the the employment of loan officers is projected to grow by 3% between 2019 and 2029, a rate about as fast as the average for all jobs.

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Obtain Licensure And Certification

If you go into your relevant field after completing a bachelors degree, you will need to obtain a mortgage loan originators license to become a qualified mortgage loan officer, which will help you gain experience in the future. You must complete 20 hours to be pre-licensed. In addition, you must pass the National Multistate Licensing System and Registry exam.

You must provide a statement of your past events each year to comply with the licensing requirements in your state.

You can obtain Mortgage Loan Officer certification to advance further in your field. Many postsecondary schools and banking associations, such as the American Bankers Association and Mortgage Bankers Association, offer courses, training programs, and certifications.

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Arizona Mortgage Broker License Vs Arizona Loan Officer License

Mortgage broker licenses are commonly confused with the more common loan officer license. While the terms mortgage broker, loan officer, and mortgage loan originator are similar, they arent synonymous. So whats the difference?

Generally speaking, a mortgage broker is a company that employs mortgage loan officers. The loan officers are employed by the broker to originate loans for home-buyers when they are looking for a loan for their mortgage.

Apply For A Mortgage Broker License

Although each state has a department of banking or finance that regulates the local mortgage industry, they require you to complete the application process through the Nationwide Mortgage Licensing System . When you apply, you will incur the following costs:

• NMLS processing fee
• Criminal background check fee

The total costs incurred will range from several hundred dollars to more than $2,000 depending on where you live. Some states itemize their charges, while others charge a lump sum that includes all costs.

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Mortgage Loan Officer Job Description

The job description for a mortgage loan officer will vary depending on what type of position one is applying for.

For example, there are two types of loan officers: residential loan officers and commercial loan officers. Both perform the same types of duties but on different types of properties. A residential loan officer will assist a borrower with purchasing or refinancing a home while a commercial loan officer will assist a borrower in purchasing commercial real estate that will be used solely for business purposes.

Most loan officers are employed by financial institutions for example, banks, mortgage companies and credit unions. While some loan officers work at their employers location, most spend their time out of the office marketing and advertising their services to real estate professionals and potential borrowers.

Typically, mortgage loan officer responsibilities entail:

• Discovering potential borrowers through advertising, seminars, telemarketing, etc.
• Assisting borrowers in choosing proper loan programs
• Compiling loan applications and acquiring necessary paperwork needed
• Communicating with appraisers, escrow officers, loan underwriters, etc.

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How Much Does A Loan Officer Make Per Closing

Loan officers are the main point of contact for borrowers throughout the mortgage application process at almost every mortgage lender. Thats an important job, right? In return for this service, the typical loan officer is paid 1% of the loan amount in commission. On a $500,000 loan, thats a commission of $5,000.

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Bonds For Individual Licenses

• Mortgage Loan Originator – Applicants are not required to obtain a bond. They may either have their employer provide a surety bond in the amount of $200,000, or pay a $100 yearly fee . This fee goes to the Arizona mortgage recovery fund.

Get free pricing from the top bond companies in the U.S.

• Mortgage Banker License & Commercial Mortgage Banker License

The fees are non-refundable and must be submitted via NMLS.

• $1,500 application fee
• $36.26 background check

• Mortgage Broker License & Commercial Mortgage Broker License

The fees are non-refundable and must be submitted via NMLS.

• $800 application fee
• $36.26 background check

Test fee:

• $50 Mortgage Broker Test fee – money check made payable to Arizona Department of Financial Institutions. Mail or bring the check to 2910 North 44th Street, Suite 310, Phoenix, AZ 85018.

What Are The Duties Of A Mortgage Loan Officer

The duties of a mortgage loan officer include meeting with clients to complete loan applications, processing mortgage loan applications, and approving or denying loan requests. Mortgage loan officers represent the financial interests of their company with the goal of earning profits through loan interest payments. They may offer special interest rates or promotions to customers to encourage them to take out a mortgage loan from their financial institution rather than another lender.

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What Are The Cons Of Working With A Direct Lender

For one, you must apply individually with each lender. When dealing with direct lenders, there are no brokers to assist in the tasks of gathering documents and assessing your financial status.

Another drawback is the approval of your application. Direct lenders have their own underwriting and loan terms. If there are problems with your application that they cannot overcome, then your loan application could be denied. If this happens, youll have to start a new application with a new lender.

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Pass The Safe Mlo Test

To receive your mortgage loan officer licensure, you must also pass the SAFE MLO test with a minimum score of 75%. This exam measures your knowledge of both federal and state mortgage lending laws. You may retake the test, although there is a 30-day waiting period for retakes. If you take the SAFE MLO test three times, you must wait 180 days to retake it.

The SAFE Act and the NMLS require mortgage loan officers to:

• Register with the NMLS

• Provide authorization for a credit report

• Provide fingerprints for a criminal background check

• Verify the accuracy and completeness of the information they provide

• Disclose any charges from financial regulatory agencies

• Provide 10 years’ worth of financial services employment history

• Present several types of identification information

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Types Of Mortgage Licenses In Arizona

Arizona has three major license types: Company, Branch, and Individual. Each license category depends on the work you wish to perform and is generally subdivided into three different licenses: Mortgage Banker, Mortgage Broker, and Mortgage Loan Originator.

In this guide, well cover the most common license types only. You can review the full list on the NMLS website.

Mortgage Loan Officer Isalary In Phoenix Az

• Resume Critique

How much does a Mortgage Loan Officer I make in Phoenix, AZ? The average Mortgage Loan Officer I salary in Phoenix, AZ is $45,742 as of September 26, 2022, but the range typically falls between $37,394 and $55,644. Salary ranges can vary widely depending on many important factors, including education, certifications, additional skills, the number of years you have spent in your profession. With more online, real-time compensation data than any other website, Salary.com helps you determine your exact pay target.

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