17 Super Funny Memes about Mortgages and Loan Officers | inboundREM Real Estate Marketing (2024)

FAQs

Why do mortgage loan officers make so much money? ›

Loan officers make money by closing loans, and, as there is often some type of commission structure in place, loan officers who close more loans generally make more money.

A good broker works with you to: Understand your needs and goals. Work out what you can afford to borrow. Find options to suit your situation.

Most mortgage loan originators receive a commission on the loans they originate. The size of the commission and how it is calculated differs for each financial institution. Larger banks tend to pay their mortgage loan originators a salary plus a small percentage of the final mortgage amount.

Referrals are one of the most powerful tools for acquiring new clients. When someone refers a client to you, they are essentially vouching for your services, which can make it much easier to close the deal. To encourage referrals, it's important to provide excellent service to your existing clients.

LinkedIn Mortgage Advertising in a Nutshell

LinkedIn is arguably the best platform for B2B mortgage loan advertising, with the greatest share of real users, including serious businesses and high-income individuals. LinkedIn supports all types of content, so you can generate leads with what you can do best.

How to market yourself as a mortgage broker? ›

LVR stands for loan-to-value (or sometimes loan-to-valuation) ratio. It's a percentage figure that compares how much a lender is willing to loan you against the total value of the asset you plan to buy. It often tends to pop up in the context of home loans, where the asset in question is property.

Conclusion. Using multiple brokers can be advantageous especially if you have already used a broker that isn't whole of market and they're struggling to provide you with a mortgage. But, in most cases it is best to vet your broker upfront and use a whole of market broker with an exemplary reputation.

A mortgage broker may be compensated through a combination of fees paid from borrowers and commissions that are paid out by the lending institutions who want them to originate loans. The costs vary greatly but a mortgage broker generally earns between 1% and 3% of the total loan amount.

Because lenders use their funds when extending mortgages, they typically charge an origination fee of 0.5% to 1% of the loan value, which is due with mortgage payments. 1 This fee increases the overall interest rate paid—also known as the annual percentage rate (APR)—on a mortgage and the total cost of the home.

The mortgage industry is highly sensitive to economic changes and interest rate fluctuations. Loan Officers must remain vigilant and responsive to market shifts, which can lead to periods of high stress and extended work hours, particularly during refinancing booms or housing market surges.

The mortgage company compensation/fee is built into your mortgage interest rate as a percentage of the loan amount. If the interest rate is higher, then the compensation is probably also higher.