What are the habits of a successful mortgage broker?

Updated 23 May 2024

There is no shortcut on how to be a successful mortgage agent or broker. It takes skills, perseverance, and experience to thrive in the mortgage broking industry. In addition, a mortgage broker’s career is a fulfilling one. You help people achieve their dream of owning a home by serving as the mediator between the homebuyer and mortgage lenders.

Some may think that technical skills alone will push you to the top, but it takes more than being book-smart to become a successful mortgage broker. If you are already in the mortgage broking industry, developing effective habits and a work routine will help you succeed. If you are an aspiring mortgage broker, it is beneficial to know what it is like to be one. We hope that this article can help show you how to succeed in the mortgage industry.

How to be a successful mortgage agent

Aside from earning a licence to be a mortgage broker, effective habits and a work routine, as mentioned earlier, will help you succeed.

What do you need to be a good mortgage broker? First, you need to follow the rules and regulations set for this profession. Second, you need to be good at developing hard and soft skills as you move forward with your career.

Hard skills

Hard or technical skills are specific to a particular job. For example, a banker should be good at banking principles and the financial needs of their clients. Mortgage brokers should have the following hard skills:

• in-depth knowledge of mortgage products and services
• understanding of the rules and regulations set by your local governing body
• mortgage broking industry and lenders’ market awareness

Soft skills

Soft skills are transferable and can apply to different professional fields. These skills are not exclusive to mortgage brokers; they’re for other professions too. Also, soft skills are developed to build positive relationships and contribute to one’s personal and professional growth. Some examples of soft skills that mortgage brokers should have are:

• good communication for talking to clients, mortgage lenders, etc.
• teamwork and collaboration; this is needed when you work with other mortgage brokers under one mortgage company
• intrapersonal and interpersonal skills

Interpersonal skills vs. intrapersonal skills

Two key soft skills for a mortgage broker are strong interpersonal and intrapersonal abilities.

Let’s first discuss what interpersonal skills are. These refer to the set of abilities that enable a person to effectively communicate, interact, and build positive relationships with another individual.

For example, you can use your interpersonal skills when talking to your clients, other mortgage brokers, or to mortgage lending companies. Interpersonal skills are best needed by successful mortgage brokers for social interactions and collaborations. Other examples of these skills are:

• active listening
• persuading and influencing
• solving conflicts

On the other hand, intrapersonal skills refer to the ability to know and communicate with yourself. This involves being composed despite setbacks and understanding your capabilities and limits. To thrive in the industry, mortgage brokers should know that they are in the right career. With this, intrapersonal skills like self-awareness and confidence become helpful.

Intrapersonal skills include the ability to manage your reactions and emotions. This is important because mortgage brokers face various types of people in their profession. As such, it is essential for brokers to keep their cool when faced with difficult people. Effectively using your own strengths and resources is also an example. Others include:

• resilience
• self-reflection
• self-motivation
• time management

Problem-solving and conflict resolution skills

Successful mortgage brokers also have strong problem-solving and conflict resolution abilities. This means being able to deal with an issue when it comes to your clients and mortgage transactions. Mortgage brokers should be able to analyse complex financial situations while understanding their clients' unique goals and needs.

It is common for problems to come up during the loan application and approval process. A mortgage broker should know what to do in such events or ask for help from a more experienced colleague.

Humility

Confidence in your ability is vital but so is humility. Mortgage brokers must be humble to keep learning. If possible, ask a well-established broker to be your mentor and learn from their work ethics. Listen to sound advice and know when to ask for help.

Adaptability

Adaptability is a valuable trait for mortgage brokers. The mortgage sector and the real estate industry is subject to constant change. You must adapt to the ever-shifting interest rates, regulations, and lending practices.

Mortgage brokers must stay updated on these developments to succeed. You must continuously learn and adapt to new market conditions. Also, embracing lifelong learning and professional development helps brokers remain competitive in the industry.

Ethical practices: maintaining integrity as a mortgage broker

Another tip on how to be a successful mortgage professional is committing to ethical standards and maintaining integrity. They advocate for the interests of their clients, ensuring transparency and honesty in all the transactions.

Seeing that one’s credibility is vital, brokers maintain a high level of professionalism to excel. Maintaining integrity will also foster long-term relationships with clients and industry partners.

Compliance and ethical conduct

As stated above, you should follow the regulatory guidelines and the ethical standards of the mortgage broking profession, especially by the ASIC. You must be knowledgeable on consumer protection regulations, lending laws, and compliance requirements. This is to assure your clients that you are trustworthy, and you will do your job without considering any illegalities.

Compliance is not just necessary for maintaining your professional reputation. It is also for protecting your clients' interests and building trust.

How do you get clients as a mortgage professional?

Strategies for success as a mortgage agent or broker involve a combination of professional skills, industry knowledge, and effective business practices. But how do you get clients as a mortgage professional? Consider the following:

Align with the right network

If you are just starting out, aligning with the right network can be overwhelming. It is important early in your career that you want to network with the right people, and not just anyone. The people you will want to network with will help improve your reputation, grow your business, and develop professionally.

A professional broker group is a great place to start. If you find the best fit, you will immediately have access to more opportunities for professional development and a lender panel that may have taken years to accrue on your own.

However, some prefer to work alone and that’s fine. If being in a group doesn’t work, you can still thrive in your career.

If you’re looking to be inspired, listen to Justin’s story. He started out in public relations but shifted into mortgage broking, with the goal of helping people build wealth:

Be proactive, not reactive

Being more proactive when securing loans means you will be able to close deals for your clients more quickly. While there are always instances where you will have to deal with delays, you will be prepared for them when they do happen. To avoid any headaches, you can be proactive and get all the information you need ahead of time to help the client as soon as possible.

Develop strong lender relationships

This can have a significant impact on your business. Mortgage brokers who have strong lender relationships are more familiar with their processes. This means they will be able to close deals more quickly, because the next steps and requirements are anticipated.

That’s why you must acquaint yourself with many lending companies and loan officers. Building rapport with them can lead to faster loan approvals, better rates, and access to a broader range of loan products. Strong lender relationships can give you a competitive edge and help you deliver better service to your clients.

Know your local market

This is a major advantage you can have as an independent mortgage broker. Being a member of your local community will provide you with specific knowledge of the market that bigger banks and remote, online lenders will not be able to compete with.

Embrace change and technology

While it is common for brokers to be well-versed in interest rate developments and lending trends, the more accomplished ones understand how to be successful mortgage agents. This is by welcoming change. This also means constant professional development in areas such as new technology and customer service.

Try to adopt digital document management systems to simplify the loan application process and enhance data security. You can also use online tools such as mortgage calculators and digital signature platforms to give a more convenient experience for your clients.

Consider specialisation or niche markets

Mortgage brokers can also succeed by specialising in a particular mortgage niche or target market. By focusing on a specific market, you can develop expertise in that area and tailor your services to meet the unique needs of those clients. Examples of niche markets are:

• first-time homebuyers
• self-employed individuals
• property investors

Specialisation can help you stand out in a crowded market and position yourself as a go-to expert for specific client groups.

Referral and partner relationships

Cultivate relationships with professionals who can refer clients to you. These can be real estate agents, bankers, real estate lawyers, and financial planners. Try to offer value to these professionals by keeping in touch, joining events, or participating in referral programs.

If they make referrals, be sure to express your appreciation. A strong referral network can be a consistent source of leads and clients in the future.

Networks and partnerships are good sources for leads, but there are others. Here are ten more lead generation strategies.

Becoming a successful mortgage broker

There is no shortcut to becoming a successful mortgage broker. You must develop your skills and effective work habits as you move forward in the profession. It takes time but you need to be patient and willing to learn. Analyse the work ethics of the experts in the mortgage broking industry and use the skills above to improve your own.

Overall, applying these principles will help you be a successful mortgage agent or broker. No doubt, continuous professional development and a solid set of proven strategies will help you get to the top.

Do you have other tips on how to be a successful mortgage agent or broker? Feel free to share them in the comments section below.