How do I start a Mortgage Company?

I have 10+ years in automotive finance. I am looking into "Net Branch" opportunities. I have a good grasp on the finance process, but I feel like this can't be as easy as it appears. What am I "Not" being told by these brokerages?

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  • Anonymous
    1 decade ago
    Favorite Answer

    Actually it's easy as it seems. They just want you to bring them business. Some of them charge per transaction or on a monthly basis or even both.

    Regards

    Source(s): Satar Naghshineh satarnag@amirifinancial.com California Licensed Real Estate Broker and Investor
  • 1 decade ago

    Yes, licensing is normally required, as well as a clean criminal background. Some states require a certain amount of time in the industry and a certain amount of training to get licensed.

    Most Net Branches require specific mortgage experience to be affiliated with them. Note that this is a business that looks easy on the surface, but in reality 90% of everyone starting leaves in a year or less. It is a tough business, and you have to go out and find your business, not wait for a buyer to come to you.

    If you have never done this business before, I would advise working for a knowledgeable person first to learn some of the ropes, then go out on your own. Mortgage lending is different from every other type of lending, to not, most banker types never understand mortgage people. It is really a totally different animal than car lending, though some of the lending basics are very similar.

  • Anonymous
    5 years ago

    I'm certain that you will find all financial solution at: loanfocus.info-

    RE How do I start a Mortgage Company?

    I have 10+ years in automotive finance. I am looking into "Net Branch" opportunities. I have a good grasp on the finance process, but I feel like this can't be as easy as it appears. What am I "Not" being told by these brokerages?

  • Skip
    Lv 6
    1 decade ago

    It is not hard being in the mortagage business. The key to being in the business is being able to produce.

    I am not familiar with auto finance and it you think that is sufficient knowledge for you to get into the mortgage business.

    Getting into the net branching business is normally as simple as contacting a person that is doing net branching and sign up with them. Normally you are allowed to work under the license of the net brancher unless the state in which you reside require you to be license to do mortgages. Check with your state license bureau or State Corporation Department.

    You can normally sign on with them as an individual loan officer or as a branch where you are expected to have loan officers and the necessary staff to conduct business, so you would need a processor, though in some cases the person doing the net branching will do you processing for you until you are able to hire one or doing enough business to warrant one.

    Net branchers normally charge you a flat fee per loan and you get 100% of the commission and other fees you charge. Some might charge a small per percentage fee, but this is not all that normal in the business, but I wanted to make you aware that a few do.

    If you hire others to work for you they are paid a percentage of what they bring to the office and you keep the rest. So if you are the net branch manager you might pay an agent 65%-70% of what they bring to the office, so on a commission of $5000.00 to the officer your take at 65% to the agent would be $1750.00.

    Being a loan officer alone there is a possiblity that you would be allowed to work from your home so you would not have any overhead.

    Either way you would need a business and marketing plan to attract business to your business. You could hire others to do this or your net brancher might help in this matter since it would benefit them for you to be successful.

    To start you should contact someone that is doing net branching and find out their requirements. If they will allow you to work under their license and you meet all other requirements go at it.

    I hope this has been of some use to you, good luck.

    "FIGHT ON"

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  • Anonymous
    4 years ago

    This Site Might Help You.

    RE:

    How do I start a Mortgage Company?

    I have 10+ years in automotive finance. I am looking into "Net Branch" opportunities. I have a good grasp on the finance process, but I feel like this can't be as easy as it appears. What am I "Not" being told by these brokerages?

    Source(s): start mortgage company: https://tr.im/11jYR
  • Anonymous
    1 decade ago

    I'd say get a mortgage license or something.

  • W. E
    Lv 5
    1 decade ago

    You need 2 + years to even be considered in opening up your own net branch. I have been in the business 7 years, and it is not easy (ok). You have got to love what you do, and go into it, to want to help your clients. Regardless of their situation, from a divorce, lower credit, debit consolidation, to good credit. You need to study for the Licensing in your state.

  • Anonymous
    1 decade ago

    Most states require a license. A few don't.

    http://www.nationwidelicensing.com/

  • Anonymous
    1 decade ago

    it IS that easy. they will sign up anyone with a pulse as long as you are willing to incur the overhead.

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