Kind of I should say I don’t know anything because what I know is still just a testament to my education. My education in divert visits, credit, pricing, Come values, etc and my State’s license is very good, over 6 years, I learned very well. These are all subjects I know very well but I would never forget the various courses, monthly, quarterly, year to year training, webinars, etc, which cost MONEY!
Now you ask what is a Mortgage Broker, what’s the difference? A Mortgage Broker is the guy that finds the borrowers and calls up the banks and eventually submits the ” duly accredited wishes” in the form of an offer on a property. Brokers for mortgage brokers have to join either a national electronic or a board recognized association.
Most people think that a Mortgage Broker makes a lot of money and that he checks up on all of the borrowers. What they don’t understand is the responsibility of the broker is to make reasonable and “simulate” offers to the different banks, even though the brokerethanks. The responsibility of a Mortgage Broker is to get the borrowers approved (which has to be in process) and the bankers have to make a decision. So this may look something like this:
Mortgage Broker finds borrower and finds bank happy to lend. A broker gets paid 3% commission/points, the bank doesn’t take any less. Now we know what occurs. But let’s say that the Broker has done his job and he brings the borrower and a bank is happy to lend, so now we have a happy broker/banker. The mortgage broker has to get paid 3% of the loan. He is not paid anything because he is the mind and they have to pay the mortgage broker.
Now we need to make a determination as to what the “Sum of the parts” is. The mortgage buyers lump sum of the loan for ¼ of the parts. Where did all the money come from? It came from the wholesale bank charges. It is known that wholesale bank charges are a very, very high percentage. So I am just wondering, why are all of the bankers giving away money in wholesale loans. Hey, they have to pay the mortgage broker, right? What’s wrong with that? If everybody is getting paid, everybody is benefiting, right?
Truth be told, in my 25 years in the lending industry, I have seen a lot of things, I have been an asset manager on loan after loan, I have made some people fall on the pavement and I have helped them get up and walk again. But most importantly I have watched professionals in every industry work very hard for their money and get nothing in return. Is a Mortgage Broker get paid just to be a “clown?” I have made millions as a mortgage broker, I have helped people come out of bad situations, but I have heard countless professionals in every industry work harder to create business for themselves, take the risk away from other people and create policies that help other people while they suffer? No, I don’t think so.
I think that is the reason why every person should own a business. Because they can truly believe in what they are doing and they can choose to work very hard.
So how much money you make nor how much you are paid in your lifetime is where it all starts. I think you need to realize that you deserve to be treated with dignity and if you don’t receive it then you need to either take care of your business or find someone that will assist you in the process of growing it.
It is not just about how much money you make you can also get paid to help with the growing process. Most importantly, it is about how much you care about others and the value you have for a society that will bring so many good memories to someone’s life
We all have a choice on how hard we work because if we care enough about our clients and the people we work for, then good things will happen. You have a choice to work hard or play hard or sit back and count your blessings.