How To Originate Mortgage Loans

As a mortgage loan originator, it is your duty to secure the best loan for your clients, to boost your company’s credit rating, to boost your own career, make yourself known as a good loan officer and consequently, get more clients. Before getting these personal and financial rewards, you must first know how to originate loans, and the tips below will show you what to do.

  1. Have a degree in any of the finance-related fields, knowledge in banking and finance applications, and must have taken specialized training in the lending and mortgage industry. You should also possess good interpersonal relationship skills. It is advantageous for your career if you like customer service, have good communication, selling and marketing skills and the will to serve and succeed.
  2. You must be licensed by your state to be a mortgage loan originator. The mortgage broker company you work for can sponsor you to secure your license. Check with your state’s licensing division to find the requirements as these can vary from state to state.
  3. Be an expert and learn all the applicable laws and conditions for mortgage loans as well as the latest developments in the industry. Learn the conditions and guidelines given by the major mortgage institutions like Fannie Mar and Freddie Mac. Make it a point to always be at par with competition and work out the best rates and terms for clients as your company will allow.
  4. You should learn how to lock the interest rate in a loan, read and analyze credit reports, and calculate to give the best price to an applicant while ensuring you of a good income. You should also be aware of the latest regulations on the allowed disclosures that you can give loan applicants.
  5. Keep abreast of financial and home loan market rates and news. The rates vary almost daily and it will pay great dividends if you know how the home loan market moves.
  6. Market your services to attract more clients. Be a certified walking advertisement for you and your company. Let your borrowers know the steps you went through to get their loan application approved. Make them feel that you really value their business and exerted a lot of effort to help them secure the mortgage loan. Use them to advertise your company and services. Tell them that you will greatly appreciate if they can refer other applicants to you.
  7. Network in the local real estate community and develop good business relations with realtors in your area to boost your referral scores. Prepare fliers that list your successes. Get testimonials from satisfied clients and include that in your fliers and brochures.
  8. Send thank you notes to satisfied clients, to loan underwriters, to realtors. Appreciate the service they gave you. This will provide you with subliminal advertising. Make sure that in every note and card you send, your contact information and the services that you offer are clearly indicated.
  9. Get your office to be a sponsor in a local event that will make your presence known to a wider audience. Ask if you can place a small booth in the venue so you can distribute fliers, brochures and call cards. Tell interested parties that you will answer all their inquiries when they call or visit your office.
  10. Instruct your secretary to have a standard greeting whenever she picks up the phone. Make it sound that you are attending to a client and will not be able to take their call but will try to see if you can spare a few minutes. This technique suggests that you are always in demand and make a caller feel important since you interrupted what you are currently doing to take their call.
  11. Get additional certification and continuing education. This increases your chances of promotion and more clients.

Be honest in all your dealings. As a loan originator your success comes in the business ethics that you have set for yourself and what form of service you extend to your clients. Your client base will multiply once word gets out that you are a loan originator that cares for your clients and goes out of your way to bring a borrower and an underwriter together for a mutual beneficial result.


Share this article!

Follow us!

Find more helpful articles: