How to get started in mortgage broking career?

Blog 20

Mortgage broking is a thriving industry in Australia, and for those looking to break into this field, there are a few key steps to follow to get started. Here are some tips on how to get started in mortgage broking career in Australia:

1. Research the industry and understand the role of a mortgage broker Before embarking on a career in mortgage broking, it’s essential to understand the industry and the role of a mortgage broker. Mortgage brokers act as intermediaries between borrowers and lenders, helping borrowers find suitable mortgage products and lenders to find qualified borrowers. They provide advice and guidance to clients throughout the home buying or refinancing process.

2. Obtain the necessary qualifications and training To become a mortgage broker in Australia, you will need to obtain the necessary qualifications and training. The minimum requirement is a Certificate IV in Finance and Mortgage Broking, but many brokers also choose to obtain additional qualifications to enhance their skills and credibility in the industry. Some popular courses include the Diploma of Finance and Mortgage Broking Management and the Bachelor of Business (Finance).

3. Register with an industry association It’s important to register with an industry association such as the Mortgage and Finance Association of Australia (MFAA) or the Finance Brokers Association of Australia (FBAA). These associations provide support, resources, and networking opportunities for mortgage brokers, as well as guidelines on professional conduct and ethical behaviour.

4. Gain industry experience Like any profession, gaining experience is crucial for success in mortgage broking. Many brokers start their careers working for an established brokerage firm, where they can learn from experienced brokers and gain valuable industry insights. As they gain more experience, they may choose to start their own brokerage firm or work as an independent broker.

5. Build a strong network Building a strong network is essential for success in the mortgage broking industry. This includes building relationships with clients, lenders, and other industry professionals such as real estate agents and financial advisors. Attending industry events and participating in online forums can also help to build a strong network and keep up-to-date with industry trends and developments.

6. Stay up-to-date with industry developments and regulations The mortgage broking industry is constantly evolving, and it’s important to stay up-to-date with industry developments and regulatory changes. This includes changes to lending policies, interest rates, and government regulations. Staying informed can help brokers provide the best advice and guidance to their clients and ensure compliance with industry standards and regulations.

Conclusion

According to ABS data from May 2020, the average weekly earnings for full-time workers in the financial and insurance services industry, which includes mortgage brokers, was $1,784. This translates to an annual salary of approximately $92,768.

It's important to note that this figure is an average and may vary depending on factors such as experience, location, and the size and type of brokerage firm. Additionally, many mortgage brokers work on a commission-based model, which can significantly impact their earnings. Therefore, it's difficult to provide an exact figure for the average earnings of mortgage brokers in Australia.