If you are a loan officer, does your broker allow you to earn 100% commission on your loans after some type of annual cap? What is considered a good commission arrangement for loan officers when they first start, and how should the split change over time? Do you have to pay for your e&o?

I work in real estate sales, but I'm trying to learn more about the loan side. It seems to me that in real estate, brokers more and more recognize that revenue is driven by the sales agents and they need to offer good commission splits, often with annual caps. Do mortgage brokers recognize that loan officers drive revenues on the loan side, and offer good splits with caps?

I'll start with the way our company is structured.

A new LO that gets deals with out the use of company advertisement or leads will start out at 50%. This normally stands for the first three loans.

After the third loan, the base commission stay's at 50% but can go up as high as 70% depending on volume.

If the leads are provided by the company, the LO generally gets 35%, the source (telemarketer, or company advertisements) gets the other 35% while the rest goes to the broker.

After you're at the company long enough and earn seniority (which in the mortgage industry doesnt take much), you get a base commission of 70%.

In some rare cases like with one loan officer we have in Arizona the commission may be higher. Branch managers and the owner obviously have a much higher split. The guy I mentioned in Arizona gets about 90% because he closes something around $200,000+ in just fees!!!

He's exceptional though...

100% companies put almost all the risk on you so E&O, Security, Protection Of Data, Office Space...

I like my place. You are provided with so many tools, training, benefits, high volume pricing discounts, direct lending with local underwriter, processing, products... Then you can broker too.

I will say there is not a better setup for the customer or referral agent than here.

#10 in the nation and growing.. Wall Street darling. 2nd best quarter in the company history last quarter....

New Century Financial..

Come on board...