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Can Real Estate Agents Become Loan Officers at the Same Time
Many mortgage companies do not allow real estate agents to become loan officers at their mortgage company. Licensed realtors need to surrender their real estate license and put the real estate license in hibernation if the mortgage lender is going to sponsor them. This is not the case at NEXA Mortgage. Realtors can become loan officers at the same time and can represent their homebuyers as their loan officers on the same transaction. Here is the blog that was posted on this matter:
https://gustancho.com/can-realtors-be-loan-officers/
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This discussion was modified 6 months, 2 weeks ago by
Gustan.
gustancho.com
Can Realtors Be Loan Officers at the Same Time?
Can Realtors Be Loan Officers and make money on the same transaction? The dual realtor/MLO gets compensation as the realtor and loan officer.
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This discussion was modified 6 months, 2 weeks ago by
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2 Replies
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Here is the NEXA Revenue Share blog https://gustancho.com/mlo-revenue-share-residual-income/
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This reply was modified 1 year, 4 months ago by Gustan.
gustancho.com
MLO Revenue Share Residual Income For Loan Officers
Loan officers at Gustan Cho Associates will have the opportunity to participate in the MLO Revenue Share Residual Income, up to $3 million down.
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This reply was modified 1 year, 4 months ago by
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Yes, real estate agents can become loan officers at the same time, and this dual role can be beneficial for both the professionals and their clients. However, there are certain considerations and regulations to keep in mind:
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Licensing Requirements: Both real estate agents and loan officers require specific licenses to operate legally. For real estate agents, this typically involves passing a state-specific real estate exam and obtaining a license. Loan officers, on the other hand, generally need to be licensed under the Nationwide Multistate Licensing System & Registry (NMLS). This process includes education, examinations, and background checks.
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Conflict of Interest Considerations: While it’s legally permissible in many places for a person to hold both licenses and operate as both a real estate agent and a loan officer, professionals should be cautious about potential conflicts of interest. For instance, using one’s position as a real estate agent to unduly influence or pressure a client into using their services as a loan officer could raise ethical concerns and is generally frowned upon by industry ethics boards.
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Benefits of Dual Roles: Operating in both capacities can be advantageous as it allows the professional to provide a full-service experience to clients, helping them find a home and secure financing all in one place. This can streamline the process for the client, potentially leading to quicker closings and higher levels of client satisfaction.
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State Regulations: Specific rules and regulations regarding practicing as both a real estate agent and loan officer can vary by state. Some states may have specific disclosures or other legal requirements designed to protect consumers from conflicts of interest.
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Professional Capacity: Professionals choosing to take on both roles must be careful to maintain clear boundaries and transparency with clients, ensuring they are fully informed and able to make independent decisions without undue influence.
For those considering this path, it’s important to fully understand both the legal and ethical requirements and ensure that they are capable of managing the responsibilities of both professions effectively. It’s also wise to consult with legal or professional advisors to fully understand how these roles interact within their specific state or regulatory environment. There are indeed career opportunities for individuals who are dually licensed as a Realtor and a Mortgage Loan Originator (MLO). Here are some key points:
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Gustan Cho Associates<sup>1</sup> and NEXA Mortgage LLC<sup>2</sup> offer unique REALTOR-MLO career opportunities for full-time realtors<sup>2</sup>.
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If a full-time real estate agent has an NMLS MLO license, they can partner with one of their veteran experienced loan officers and engage in a dual partnership<sup>2</sup>.
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The real estate agent will represent the home buyer on the home purchase transaction as the buyer’s realtor and will be the assigned loan officer for the same client<sup>2</sup>.
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The realtor will have a veteran experienced loan officer who will be the assigned loan officer and will act as the loan officer assistant (LOA)<sup>2</sup>.
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The realtor and the LOA will team up and service the client as a realtor/MLO team<sup>2</sup>.
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The goal of the REALTOR-MLO Career Opportunities program is to relieve the dually licensed realtor-MLO from the origination part and have the realtor concentrate and focus on generating more clients<sup>2</sup>.
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The realtor/MLO will naturally learn how to originate and close loans by shadowing the loan officer’s assistant<sup>2</sup>.
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The realtor-MLO career opportunities dually license program is a great way for a real estate agent to get compensated for both sides of the transaction (real estate home purchase commission, and origination commission on his joint dually licensed realtor-MLO partnership agreement with the loan officer assistant<sup>2</sup>.
Please note that the specifics of these opportunities may vary depending on the company and the location. It’s always a good idea to reach out to potential employers or mentors in the field for more personalized advice. Good luck with your career exploration!
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