Mortgage brokers make their money through commissions on their client’s loans which could equal 1% -2%. This commission could accumulate to $80,000 every year.
A mortgage broker is a professional individual with the license to connect a borrower and a mortgage lender, helping with financial documentation and comparing rates to facilitate a home purchase or renewing an existing mortgage.
As a homebuyer or borrower, you may choose to hire a mortgage broker or not however, it is expedient to hire one. Mortgage brokers are very helpful when it comes to navigating the whole process of getting a mortgage loan. This is because they’ve gathered experience over the years and are not confused about the best step to take regarding your mortgage loan. And the best part is they only cost a little percentage of the loan amount.
How mortgage brokers profit from transactions
Mortgage brokers earn about 1%-2% of the overall loan value which can be paid either by the borrower or the lender. The larger the loan, the larger the profit for the mortgage broker.
Different brokers have different ways by which they get paid. So you need to do your research on how your mortgage broker charge and how they want to get paid.
How much money do mortgage brokers in Chattanooga make?
Mortgage brokers get paid by transaction because their job is commission-based. For instance, a broker whose commission is 2% on a $2,500 loan would earn $5,000. Also, the broker can choose to increase their rate depending on their level of experience and the local real estate market. For instance, a mortgage broker in Alabama may earn $61,458 annually while a mortgage broker in Hawaii may earn $81, 458 annually.
Before a broker can become qualified and certified, he must first complete 20 hours of coursework and pass the SAFE Mortgage Loan Originator Test.
How to find a mortgage broker
You can find the best mortgage broker for you by searching online, and asking your friends, family, and your real estate agent. You can also find your mortgage broker through:
Websites and online reviews
You can find a mortgage broker on sites like FindAMortgageBroker.com. Also, you can check for reviews on Google and other platforms to people’sple’ opinions about a mortgage broker. Before you choose a mortgage broker, check for comments about:
- Closing times
- Loan Success
- Customer service
- Responsiveness
Recommendations from friends and family
You can ask your friends and family whether they’ve used a mortgage broker and if they’re okay for you to hire. Your friends and family will give you honest reviews on whether a particular broker performed beyond expectations or not. They may also give extra information that you may not find in an online review such as personality and their modus operandi.
Referrals from a real estate agent
You can also ask your real estate agent to refer mortgage brokers to you. Your agent knows the best mortgage brokers who can work with you to get the type of mortgage and home you’re looking for.
Looking for the best mortgage lenders in Chattanooga?
If you’re looking for the best mortgage lenders in Chattanooga, you need to work with the best mortgage broker. Being one of the best mortgage companies in TN, we have the best mortgage brokers who can help you get the type of mortgage you need.
Our mortgage brokers have the experience and access to different mortgage lenders in TN which leaves you with a wide range of options before you choose a mortgage lender.
Contact us today to learn more about our services!