How to start a rewarding career in Florida mortgage lending industry
Buying a home in Florida is on the wishlist of thousands of people who want to be a part of dynamic culture, pristine beaches, world-class entertainment options and a stable economy.
Florida’s real estate landscape offers a myriad of exciting and diverse opportunities for first time as well as experienced homebuyers.
Buying residential real estate in Florida is a dream for many first time buyers and to achieve their homeownership dreams and make it more affordable, they require a mortgage loan.
A mortgage allows many first-time homebuyers to purchase their dream property with limited funds and to enable this, mortgage loan officers play a vital role.
Mortgage loan originators (MLOs) are professionals who help individuals realize their homeownership goals.
Given their knowledge, skills and expertise, loan officers play a crucial role in helping individuals choose and select the right mortgage plan to meet their needs.
Working in the mortgage lending industry in Florida as a loan officer can be a financially rewarding and emotionally fulfilling career path.
Loan officers are in high demand, thanks to the growth in the number of homes sold and the rising need for housing in Florida.
Did you know that you can make upwards of $150K annually while enjoying valuable job benefits like health insurance, paid time-off and remote working opportunities.
With great pay, exciting benefits and numerous growth opportunities, working as a loan officer can be a great fit, especially if you are good with numbers and like helping people.
If you are keen to explore a career in the mortgage lending industry and build a successful professional path as a loan officer, now is a good time to start planning for it.
To help you get started in the right direction, we have put together this in-depth guide which covers all the key aspects on how to become a mortgage loan officer in Florida.
From basic eligibility requirements to specialized educational qualifications, we will dive deep into how to prepare for a career in the mortgage lending industry.
Let us start with the basics of the job profile, key job duties, must-have skills and the other important aspects of building a career.
Who is a mortgage loan officer
Loan officers are responsible for serving consumers and clients who want to obtain a mortgage to buy a new home or refinance an existing one.
A loan officer is a licensed professional who is in charge of working on behalf of financial institutions such as banks, credit companies and private lenders.
A mortgage is a financial loan secured by real property which is offered by lenders to borrowers who agree to pay back the loan amount on a fixed installment basis.
For buying a new home or refinancing an existing one, lenders provide residential mortgage which help individuals to split a large sum of amount into smaller installments
In a mortgage, a lender is granted the legal right to claim ownership of a property if the borrower is unable to repay the loan as per the agreed mortgage terms and conditions.
As a mortgage loan officer, you will be working with various lenders and loan originators to help borrowers secure residential mortgages on the basis of their requirements.
By helping your clients compare, evaluate and choose from various loan solutions, you will be their guiding partner at each stage of the loan process.
You can consider the role of a mortgage loan officer as a blend of inside sales, customer service, accounting, finance and marketing.
Loan officers are paid on a fixed salary basis and they can also earn additional commissions based on their performance and targets.
Before you start preparing for getting a Florida mortgage license, let us walk you through the key job responsibilities of a mortgage loan officer.
The duties of a mortgage loan officer
Mortgage loan officers (MLOs) are expected to perform multiple tasks and duties as part of their core profile and here are some of the common ones you will perform.
- Respond to inquiries from individuals and prospective clients who want to secure a mortgage loan.
- Collect, process and review various financial documents such as income stubs, bank statements, debts, credit reports and tax receipts.
- Profile individuals on the basis of their financial health and credit worthiness to provide customizable solutions and services.
- Assist clients in completing the loan application and providing all the required documents for getting a mortgage.
- Educate clients about the various loan products, terms, payment terms, features in a clear, easy to understand manner.
- Guide consumers in comparing, choosing and evaluating different mortgage plans to meet their needs and requirements.
- Ensure all the required documents and paperwork are accurate and in compliance with the state and federal laws and guidelines.
- Provide customer service and support to answer any queries or clarify any doubts which clients may have.
- Manage a portfolio of clients and prospects on behalf of your employer and seek opportunities to nurture relationships.
- Liaison with internal and external stakeholders to expedite the loan process and resolve any issues.
Note that the above list is not exhaustive and is representative of the frequent tasks and duties performed by industry professionals.
Must have skills for mortgage loan officers
To become a successful professional and ensure that you are able to deliver your best work in this job profile, you must be adept at some specific skills and qualities which are:
- Proficiency in mortgage lending principles, laws, practices and policies
- Strong understanding of loan products, financial services and mortgage plans
- Ability to manage time and handle multiple tasks efficiently
- Strong reasoning, mathematical and administrative skills
- Excellent communication and interaction skills to meet client needs
- Ability to collaborate with industry professionals to get work done
- Strong attention to detail with ability to manage documentation and records
- In-depth knowledge of various state and federal laws and financial risks
- High-degree of professionalism to maintain work and ethical standards
- Eagerness to grow your knowledge and expand your skill set
- Ability to work in a fast-paced, dynamic industry in various work environments
As evident, you need to inculcate various competencies and preferred skills to build a thriving, successful career as a mortgage loan originator.
In addition to the above, candidates applying for this job role might be subjected to completing state and employer specific requirements.
Now that you have learned about what it takes to succeed, let us walk you through the various steps in getting your mortgage loan originator license in Florida.
How to obtain a MLO license in Florida
Florida follows the NMLS (Nationwide Multistate Licensing System) protocol to process, issue and renew licenses for industry professionals and firms.
All states require individuals to fulfill the NMLS licensing criteria and qualifying requirements to obtain a license.
First comes the basic eligibility requirements which you must meet to become eligible for applying for a MLO license anywhere (including Florida).
As per the NMLS, every individual must meet the statutory requirements which are:
- You must be at least 18 years of age or older
- You must have a legal proof of residency of the United States
- You must have a high school diploma or GED equivalent
Next comes the qualifying education requirements as per which every applicant must complete a minimum level of education to be able to work as a mortgage loan officer.
In Florida, you are required to complete a minimum of 20 hours of pre license education and training from a NMLS approved education provider.
If you are seeking a MLO license, you must complete the following mandatory and elective courses:
- Federal Law (3 hours)
- Ethics, Fraud and Consumer Rights Protection (3 hours)
- Non-Traditional Mortgage Lending (2 hours)
- General Electives (10 hours)
Note that Florida also requires students to complete an additional 2 hours of course credits to acquaint themselves with state specific laws and licensing regulations.
After completing your pre license education, you can proceed to the next step which is passing the MLO licensing exam in Florida.
As per the S.A.F.E (Secure and Fair Enforcement) Law, every student must take and pass the MLO licensing test after completing their education.
Let’s take a closer look at what the test consists of to help you plan and prepare for it with confidence.
The MLO licensing test covers state and national specific portions and asks questions related to federal laws, state laws, mortgage lending practices, license laws, consumer rights, ethics, regulatory guidelines and other key concepts of the industry.
Passing the licensing exam is a must to obtain your MLO license in Florida for every individual and you must pass both the state as well as national components.
You will have to tackle 120 multiple choice questions in total and you will get 190 minutes to attempt them all. To pass the licensing exam, you must score at least 75 percent or above.
Once you have completed your education and successfully passed the NMLS licensing exam, you will be eligible to apply for your license.
To do so, you must visit the NMLS website and login using your unique NMLS identification number and credentials.
Once logged-in to your NMLS account, you can click on the select individual option and select the new license option to apply for your MLO license.
Next comes another important step in your licensing journey which you must complete to obtain your license from the state of Florida.
The S.A.F.E Act requires all applicants to complete mandatory background verification and clear the federal criminal history check as part of the licensing and registration standards.
To complete this step, you must submit an electronic scan of your fingerprints taken at any of the state approved live scan vendors in Florida.
Additionally, you need to submit a latest credit report and a FL application to receive your MLO license.
Once your background verification is completed and your application is approved by the NMLS, you will receive your license within a few weeks.
Lastly, you need to find employer sponsorship to activate your MLO license and start your career in the industry.
The SAFE Act requires every newly licensed professional to be sponsored by a Florida licensed firm or employer.
It is important to learn the workings of your profession and gain practical industry experience under the supervision and guidance of an experienced employer.
To complete this requirement, you must find job sponsorship and submit the employer details to the NMLS via your account.
Once you complete this step, you will be all set to do business anywhere in the state of Florida and embark on a rewarding and fulfilling career journey as a licensed loan officer.