what does a mortgage broker earn and what is the source of income?

Answer 1

Mortgage brokers can work with employees or as the sole originator of the business. My mom has about 15 employees, from administrators to sales assistants. Annually the income the past few years was between 2-3 million a year. That was the business revenue. However the business requires offices ( 3 at one time), technical support, cable. servers, phones, equipment, suplies, postal items, alarms, service providers, state and local licensing fees, insurance, and probably 100 more expenses. Taking that into account and the largest expense of all was a leads contract with internet companies costing over $20,000 a month. But if you spend $20,000 and make $200,000 you have invested money to earn money. Final incoming & outgoing expenses left about 1.5 million that was then subject to taxes. That 1.5 million was her share and the business generated more around 6 million. It takes more work, just overseeing the business then it does selling loans.
The recent decline of business, made her decide to consolidate into 1 bussiness suite that still costs about $15,000 to operate and the support staff salaries are still quite high. If you want to bring in the exrta revenue and maximize your earning potential you have to spend the money to make money. If you provide a good envioronment to let people work, they will still always want the biggest comission split possible. They like the executive office environment but wont like paying for it.

The key to business success is spending money to make money. Walmart and Nordstrom shoppers are similar to loan shoppers. They will pay for quality or they will shop for a discount. No one will be happy if you do not disclose reasonable estimated fees.

Answer 2

fee's, points (origination) and back end yeild spread or rebate on selling a higher rate then a floor rate. Entirely commision based business. Talk to me if you want to work with somebody very reasonable while providing excellent service.