How to Become an Independent Mortgage Broker

According to the Bureau of Labor Statistics, the job outlook for Independent Mortgage Brokers is good, with growth expected to reach 11 percent by 2016. These individuals often partner with financial institutions, but earn only commission on mortgage products sold to consumers and businesses. To launch your career as an Independent Mortgage Broker, you must earn a degree or have a few years of work experience in the financial industry.

Instructions

1. Earn your bachelor's degree in finance. The preferred degree for independent mortgage brokers is finance, however degrees in other areas such as business and communications are also accepted. Also, those with a background working for financial institutions such as tellers or customer service representatives can also be promote to this position.

2. Get accredited with your state if required. Although the majority of states don't require accreditation, some have specific guidelines for independent mortgage brokers. Find out if you state has this requirement by visiting their website and clicking on the State Department of Savings and Mortgage Lending. Most of the time, getting accredited with your state will require having a few years of industry experience and passing an exam.

3. Check out financial institutions that offer training. When you're first starting out, it's helpful to work with a company that offers in-house training for mortgage brokers. Although you'll be earning commission only at most of these positions, having the benefit of free training will allow you to be more successful. Check out large institutions like Bank of America and US Bank.

4. Earn your Certified Mortgage Banker Designation. This if offered by the Mortgage Bankers Association (see Resources) and makes you more appealing to clients. You can apply for this designation after working as a mortgage broker for three years and successfully pass the exam. The Mortgage Bankers Association offers a study guide that assists with focusing your preparation efforts.

5. Invest your time in marketing. Once you have the required education and accreditation, you should aggressively market your services. In the beginning, the majority of your time will be spent on marketing, until you build solid clientele. You can accomplish this by attending local home buying fairs, joining your chamber of commerce and asking friends and family to spread the word.

Tips & Warnings

• If you're in college, check out internships. Most of the major financial institutions offer these programs where you can shadow an established independent mortgage broker. This will provide an opportunity to network with industry professionals.

• Don't forget to negotiate compensation. Whether you're paid a percentage of the mortgage deal or a flat fee for per deal, it's important to negotiate this amount. According the Bureau of Labor Statistics, Independent Mortgage Brokers earn $29,000 to $73,000 annually.

Resources

• College Directory
• Sample Resume
• Mortgage Bankers Association