A mortgage loan officer’s salary depends on many factors, including experience, education, certifications, and geographical location.
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Mortgage loan officers typically work for banks, credit unions, and mortgage lenders. They help people get loans to purchase homes and businesses. Mortgage loan officers typically have a four-year degree in business, economics, or a related field. Many begin their careers as loan officers in training programs offered by their employer.
Mortgage loan officers typically work for commercial banks, mortgage companies, credit unions, and savings and loans associations.
The majority of mortgage loan officers are employed full time and many work more than 40 hours per week.
Their workdays and hours vary with the business needs of their employer. Some institutions offer weekend and evening appointments to accommodate borrowers’ schedules.
Mortgage loan officers must abide by regulations set by the Federal Reserve Board, the Office of the Comptroller of the Currency, and other federal and state agencies. They must have a thorough knowledge of these regulations in order to be able to explain them to borrowers and stay within the guidelines when approving or denying loan applications.
Loan officers must also keep up on changes in the marketplace, such as new types of financing, so that they can offer borrowers the most current information about products that might meet their needs.
Mortgage loan officers typically need at least a bachelor’s degree in finance, economics, or a related field. They must also complete 20 hours of continuing education every year. To become licensed, mortgage loan officers must complete a pre-licensing education program approved by the Nationwide Mortgage Licensing System and Registry (NMLS). Some states require additional licensees.
Prospective mortgage loan officers can stand out from the competition by completing an internship with a financial institution while they are still in school. Mortgage loan officers must have strong math skills and be good at problem solving. They need to be detail oriented and able to work under pressure, sometimes dealing with difficult situations. Because they often work with customers who are going through a stressful time, they need to be compassionate and have excellent customer service skills
Education and Training
Becoming a mortgage loan officer usually requires completing a bachelor’s degree program in finance, economics, business administration, or a related field. Some employers prefer candidates who have a master’s degree in business administration (MBA) with a concentration in finance. MBA programs typically take 2 years to complete and often include coursework in accounting, statistics, and financial analysis.
Most mortgage loan officers require a bachelor’s degree and on-the-job training. Some companies prefer to hire individuals who have a degree in a related field, such as business or economics. Mortgage loan officers must be licensed.
Mortgage loan officers typically need at least a bachelor’s degree, although some employers may prefer candidates with a master’s degree in business administration (MBA) or a related field. Coursework should include classes in business, economics, accounting, finance, and statistics.
Salary and Job Outlook
Mortgage loan officers earned a median annual salary of $64,660 in 2016, according to the U.S. Bureau of Labor Statistics. On the low end, mortgage loan officers earned a 25th percentile salary of $49,770, meaning 75 percent earned more than this amount. The 75th percentile salary is $84,210, meaning 25 percent earn more. In 2016, 265,600 people were employed in the U.S. as mortgage loan officers.
The median national salary for a Mortgage Loan Officer is $36,290 per year or $17.49 per hour. Entry level positions start at $25,790 per year while most experienced workers make up to $56,010 per year.
Income for mortgage loan officers varies greatly by region. The following are average salaries for regional mortgage loan officers as of May 2019, according to the U.S. Bureau of Labor Statistics:
-Northeastern States: $78,610
-Midwestern States: $64,560
-Southern States: $61,490
-Western States: $74,870
The U.S. Bureau of Labor Statistics (BLS) reported that the average salary for loan officers as of May 2017 was $63,630 per year (www.bls.gov). Wages ranged from less than $32,410 for the bottom 10 percent to more than $105,670 for the highest 10 percent. The median wage was $64,660 per year, which means that half of all loan officers made more than this amount and half made less.
Loan officers in the top-paying industries earned the following wages:
Management of companies and enterprises: $81,430
Federal executive branch: $78,930
Local government: $70,470
Finance and insurance: $68,350
Activities related to real estate: $65,940
Loan officers typically need at least a bachelor’s degree in finance or a related field to qualify for entry-level positions with lenders. However, some employers may prefer or require candidates who have a master’s degree in business administration (MBA) with a concentration in finance.