Massachusetts just recently passed legislation making additional requirements for prospective licensees. Among those changes were audited financial requirements, increased bond requirements, and other minor changes. This has made it difficult for smaller mortgage brokers to get licensed since they do not have they time or money to complete audited financials. Audited Financials often can cost between $2,000 to $10,000 to complete and weeks of gathering paperwork for the Certified Public Accountant (CPA)
Massachusetts has now passed another bill requiring loan officers to be licensed. Details have not been released about exactly what the timeframes will be for licensing, but with the US Senate looking at a bill to require Loan Officer licensing in every state, we may see more of this soon.
New licensing requirements should be coming out very soon. I am expecting the state of Massachusetts to require fingerprint background checks, tests, continuing education, and a hefty fee between $200 to $300 per Loan Officer.
The Massachusetts Senate passed House Bill 4306, a bill protecting and preserving home ownership on October 25, 2007. The bill, which the Massachusetts House of Representatives passed on October 18, will be returned to the House for concurrence on Senate amendments.
Highlights of the legislation include:
o New requirement for loan originator licensure;
o 90 day right to cure to borrowers of owner-occupied family homes who default on a mortgage payment;
o Felony or misdemeanor offense for mortgage brokers or lenders operating without a license;
o $3 million appropriation to fund staff at the Division of Banks to implement and enforce mortgage loan originator licensure; and
o $2 million appropriation to fund at least 10 foreclosure education counseling centers through the Division of Banks.
The legislation also offers incentives to lenders to revise adjustable or variable rate home loans to fixed terms.
Commercial real estate loans are used to purchase all kinds of commercial real estate properties such as office buildings, hotels, apartments, health care facilities and more. There are various lending sources including banks and building societies that provide these loans. There are various online loan services as well that can make the entire process of loan origination extremely easy, convenient and fast.
If you are trying to purchase a real estate property for commercial purposes, and are looking for suitable loans, commercial real estate loan brokers can help you immensely in the process. They help you find the most appropriate lender, and also provide assistance in arranging essential documents required for securing the loans. In short, real estate loan brokers play the role of an intermediary between borrowers and lenders, helping them to get in touch with each other. Their job is to make sure that borrowers can obtain these loans quickly and conveniently without any kinds of hassles and difficulties.
If you want to pursue a career in commercial real estate loan brokering, the following things might help:
Qualification: You must have the academic qualifications needed to become a real estate loan broker. While in most cases, it is sufficient to hold a high school diploma, it can nevertheless be extremely beneficial to have deep insight into subjects like economics, finance, business and communication to understand the financial condition and the requirements of the borrowers better. Expertise over these subjects can also help in clearly and thoroughly understand the loan statements.
Personality: In order to become a successful commercial real estate loan broker, you must have great communication skills to efficiently connect borrowers with suitable lenders. They should have the qualities of being patient, dependable and confident. Adequate knowledge and expertise in the field of land is also required to efficiently respond to all the queries and concerns of the borrowers.
Training: You must undergo appropriate training in order to become a successful land loan broker. Appropriate training helps you in learning the skills and abilities required for understanding the requirements of the borrower, and connect them successfully to potential lenders. You can either choose to attend some of the training programs that are organized by various companies or opt for working with some financial institutions to obtain essential knowledge required to work in the field of loan brokering. The level of training required depends largely on the rules and regulations set by your state.
Lender Network: A successful loan broker must have a strong lender network to provide borrowers with suitable and appropriate lenders in accordance with their financial condition and requirements.
License: While it is not a compulsory rule in every state to have a license to work as a loan broker, it can be immensely beneficial for you to have a successful career in the field. There are various loan brokerage exams that you can choose to pass in order to obtain a license in the field. It is mandatory to answer at least 75% of the questions correctly in order to get through these exams.
So you’re thinking about becoming a mortgage broker. Should you get a mortgage broker license? Most states require a license for all mortgage brokers. But you will also benefit from a broker license in your career. Read on to learn how you can get a broker’s license, and what the certification entails.
Depending on what state you live in, you will have different requirements for getting your mortgage broker license. Although not all states subject brokers to licensing and regulation, most do. Further, clients often feel more comfortable knowing you have a license and a disclosed history with the state government. The states that require broker licenses do so because licenses protect the consumers. Many clients will research their broker before signing a deal with the broker, and the Internet provides a large supply of information on brokers. On the Internet, you can find lists of brokers who have new licenses, inactivated licenses, and suspended licenses. In order to have your name on the good list, you need to have a state license.
Maybe you already work as a loan officer or as a property agent and even have a real estate license. That means you have great experience; however, you still need to get a broker license if you want to perform the duties of a mortgage broker. These duties include serving as an agent for other people who want to either get or lend a loan. All loans serviced by a broker have to be secured by a lien on real property; in other words, you can’t market unsecured loans. But if you are already HUD-approved, you don’t need to get a broker license because that covers it.
Having a mortgage broker license will tell your clients that you follow high ethical standards set forth by the state. Some common rules for brokers with a license include how to advertise honestly. Advertising requirements include that the ad must show the broker has run the ad – an easy way to do this is by putting your license number in the ad. Broker license requirements prohibit false, misleading, or deceptive ads, so you also have to specify the conditions and requirements on the advertised loans and products. Other common rules involve the fees you charge clients. You have to indicate all the fees in the agreement, and the total should not exceed 10 percent of the cost of the loan. These rules follow the provisions of law dealing with conscience and ethics, and they try to guide you as a broker, as well as ensure your clients of your legitimacy.
All states have different specific requirements for getting a mortgage broker license. Most states require a minimum amount of experience and education, such as either a B.S. in finance or a related field, plus 18 months work experience; or three years experiences in the mortgage lending field as a full-time loan officer with a mortgage broker. Some states require an examination, as well.
As a broker, you have to have a physical office in the state, with the address of the office on your license certificate. This physical office requirement allows people to take part in something called netbranching. In netbranching, if you don’t meet the minimum experience requirements, you can serve as an in-state office for an out-of-state broker who needs to meet the physical office requirement.
Other requirements might include having a surety bond of, for example, $50,000, which you can get for around $300. Most states require you to renew your broker license every two years, and sometimes you have to take a few hours of continuing professional education to renew your license, as well.
When you apply for a mortgage broker license, it usually takes about two to four weeks to get your license. A mortgage broker license will help your customers feel secure about getting a loan through you, and will therefore help your business. Especially when interest rates change rapidly, brokers can get a lot of business.
If your car insurance is due for renewal and you are considering buying another policy then this article will provide you with important facts that you should know about. Car insurance policies are getting increasingly expensive and you should do all that you can to reduce your costs. How much you have to pay for your car insurance is dictated by a variety of factors as they apply to you and your vehicle.
In this article we will examine coverage limits, your age, gender and marital status, your location and insuring other household members. All of these factors will have a great influence on how much you will have to pay for your policy.
Coverage limits are generally dictated by the price that you are willing to pay for your insurance. A higher level of coverage will generally result in higher premiums. The best way to find a good value policy is to comparison shop. Nowadays it is generally accepted that the best way to do this is by using a car insurance comparison website.
Your age, gender and marital status will have a great effect on the auto insurance rates that you are offered. Insurers rate drivers using a variety of criteria, if you are a young single male driver you will usually have to pay higher rates. If you are a middle-aged female married driver then your rates will be lower. Insurers calculate the best car insurance rates for you by comparing levels of risk. Those groups which are statistically more likely to be involved in an accident have to pay correspondingly higher rates.
Location plays an important part in deciding how much your premiums will cost. Drivers who live in an urban environment will usually pay more than those from a rural area. This is because drivers who live in cities and heavily populated areas are more likely to be involved in an accident, or to have their car stolen or vandalized. Insurers generally offer better rates if you’re able to demonstrate that you keep your vehicle in a garage at night. You may also be able to improve the security arrangements of your automobile by fitting an alarm, immobilizer and steering wheel lock.
Insuring other household members will have an influence on the cost of your policy and the best car insurance rates that you offered. If you have teenage family members living with you and they are added to your policy, then your costs will increase. This may still work out cheaper than if your teenage driver were to have a separate policy in their own name.
In conclusion, there are a variety of different factors which can affect your ability to be offered the best insurance rates. Some of these are coverage limits, how old you are, whether you are male or female and whether you are married or single. Your rates will also be affected by the area where you live and whether other household members are included in your policy.