The biggest fulfillment for any mortgage loan originator is the fact that he or she can transform the dream of every home buyer into reality, more so for those buying a home for the first time. The ways of working for these loan officers are varied; they can either work for a small mortgage brokerage shop which has a license to work only in a couple of states or work for large mortgage lending companies which hold a license for working in almost all of the states in the country.
Top performing loan officers have an option to start a mortgage company net branch with the support of a bigger well-known mortgage lending company. They can grow their business exponentially with marketing and financial backing of the parent company and there are several net branch companies which have reaped the benefits of such a business model. How do you choose the right mortgage net branch opportunity?
Confirm the working of the business model
The words ‘net branch’ have become all-pervading in the world of mortgage lending; however, it is essential to confirm if the opportunity truly works on this business model. A net branch opportunity enables you to become a branch of a bigger mortgage lending company. In simple terms, you are the owner of your branch, earn remuneration by way of commission and send a part of your earnings to the parent mortgage lending company. And you have to follow stipulated guidelines.
It is necessary to take into consideration the size of the mortgage net branch lending company. A company with a good reputation passes on this benefit to the net branch company enabling it to obtain more customers. However, bigger may not essentially always be better. Smaller companies too, perform better in some areas.
Compliance with government regulations
If the majority of your possible clients are those interested in VA and FHA loans then you have to confirm that the parent mortgage company has the necessary approval to offer such loans. Otherwise, you may run into trouble down the years. Partnering with approved companies guarantees you about them complying with government regulations.
In this business model you will largely earn remuneration by way of commission. The amount of fees involved will matter to you while choosing the net branch opportunity. Comparing the amount of commission obtained for every signed mortgage alongside the fixed cost of the mortgage lending opportunity has to be done. Comparison of the different fee structures helps you to make a profitable choice. It may be better to choose an opportunity that gives you lesser commission but at the same time entails payment of lesser fees rather than going for the one which offers greater commission for a greater fee.
On a Concluding Note
There are several factors to be considered while reviewing the varied net branch opportunities. At the end of the day, you need to make a choice depending on the ease of making money and the comfort levels felt by you while representing the parent mortgage lending company. Blueraven group is one such mortgage lending company who offers net branch opportunities for mortgage brokers, mortgage bankers, entrepreneurial mortgage and federally chartered bank in Arizona, California.