As a loan officer, your job involves helping individuals and families pursue their dreams. It’s hard work and something you have to have a passion for. 

Unfortunately, many loan officers never get the recognition or compensation they deserve. They work for years for large mortgage companies and barely advance their careers. 

If this sounds familiar, becoming a branch manager is the next step you should consider. Unlike the net branch model of the past, MortgageRight designed an innovative platform that sets mortgage professionals up for success and compliance. 

Working as a branch manager gives you the freedom to conduct business on your terms and finally make the money you’ve missed out on. It’s a big decision, but one that could allow you to live the life you’ve always wanted. 

Benefits of Transitioning to a Branch Manager 

When you decide to run a branch, you begin under the umbrella of a larger organization. This isn’t just the next step on the corporate ladder, it’s the beginning of a whole new way of life.  

Once you’ve made the transition, you can expect some major changes. 

Boost Your Income 

Loan officers for larger mortgage companies often have a set commission. They make the same amount regardless of how hard they work or how much business they bring in. 

However, as a branch manager, you have the opportunity to unlock your earning potential. You can create your own compensation plan, set your own margins, and have complete control over your branch’s profit and loss. 

Entrepreneurial Freedom 

Becoming a branch manager means you run your own operation with the support of the larger mortgage company. This platform allows you to make business decisions including marketing strategies, operational protocol, and technology. 

The best part – you don’t have to worry about the risks associated with starting a business from the ground up. 

Career Advancement and Industry Recognition 

As a branch manager, you’re no longer a cog in a corporate wheel. Instead, you’re able to take your career and brand wherever you’d like. 

You’ll have the opportunity to market your branch in a way that sets you apart from the local competition. This gives you the chance to meet more mortgage professionals, network, increase your skill set, and build a name in the mortgage industry.  

Diversification of Your Portfolio 

By expanding your knowledge and skill set as a branch manager, you have a chance to move into different areas of financial service. This helps grow and diversify your portfolio, something mortgage professionals need for long-term career growth.   

Understanding the Risks and Challenges 

The advantages of branch management far exceed the risks, but that doesn’t mean you won’t encounter hurdles. However, knowing what to expect will prepare you for a smooth transition when you start your own mortgage branch.

Let’s go over some of the challenges you may face. 

More Responsibility

Becoming a branch manager is like running your own business. Expect a lot of work and responsibility, especially at the beginning. 

It’s up to you to build your team, establish a sound infrastructure, and decide how you want to market your business. It’s a lot to take on, but if you’re driven and passionate about the mortgage industry, it’s worth it. 

Market Fluctuations 

As a mortgage professional, you understand the impact that economic changes have on the industry. As a branch manager, these fluctuations hit harder. 

The sudden increase in interest rates and drastic changes in housing market trends can affect your revenue. It’s important to stay on top of market fluctuations and anticipate dips and spikes.  

Operational Costs 

Before you get started you’ll need to consider the expenses involved in running a branch. Some of these costs include: 

• Office space 
• Equipment
• Regulatory and licensing fees 
• Insurance 
• Staffing and Training
• Advertising 

These expenses are daunting at first, but once your branch is making steady revenue, it’ll all seem like a drop in the bucket. 

Risk Mitigation and Contingency Planning

Managing risk is a fact of life for any business. The mortgage industry has a unique set of potential risks you’ll need to understand and prepare for. 

There’s always an economic risk associated with market fluctuations – that’s a part of working in the mortgage industry. You’ll also need to understand the risks associated with: 

• Borrower default 
• Legal compliance 
• Technology issues 
• Recruiting 

In addition to creating contingency plans for emergencies, it’s important to partner with a mortgage company that supports its branches by providing the resources they need to run a successful operation.  

Strategies for Long-Term Growth  

Once you’ve transitioned from a loan officer to a branch manager, there are things you can do to set yourself up for success. It first helps to think about your long-term goals and form strategies that align with them. 

Regardless of the direction you plan on taking your branch, there are several actionables that help create a solid foundation for growth. 

Create a Business Plan 

Consider the goals for your branch and develop a strategic plan that you can turn to when again and again. This should include your target market, financial goals, marketing strategy, and revenue projections.  

Focus on Your Loan Origination Process 

Providing good service requires you to streamline the loan process from the initial application to closing. This makes things easier for your staff and clients. It also speeds things up and allows you to originate more loans, which means higher profits. 

Building and Nurturing Relationships

Networking with industry professionals in your area is key when you start a mortgage business as a branch manager. Many of these people will end up helping your branch grow.

Real estate agents, home builders, attorneys, and financial advisers are all good people to know. Take part in industry events in your community and start building long-term relationships. 

How MortgageRight Can Help You Start a Mortgage Branch 

Since 2005, MortgageRight has been helping people secure home mortgages with a focus on high-quality service and seamless communication. We’ve also designed a branch platform that’s different from anything out there.

We’ve set ourselves apart by offering branch managers a level of support that’s geared toward success. By partnering with us, you’ll enjoy benefits you won’t find with other branch platforms. 

Higher Earnings 

MortgageRight pays branch managers more basis points than anyone else. Plus, because you have the freedom to grow your branch the way you want, there’s no cap on how much you can make. 

Lower Rates

Because we’re a direct lender, we can provide managers with lower rates than any broker out there. This makes it easier to close loans and make more revenue. 

Freedom 

When you open a branch, we don’t hold you back. You have the freedom to run your business your way. 

We don’t micromanage our branches. This means you get to choose your team, get creative with marketing, and establish your own loan origination process. 

Fewer Layers of Management 

Large mortgage companies have multiple layers of management that get paid when you close loans. This isn’t how MortgageRight works. There’s nobody between you and the owners, which means you make what you earn and can get in touch with an owner whenever you need to. 

Transparency

Communication is at the core of our platform. We make it a point to be fully transparent with our branch managers about everything. 

We also encourage our managers to have a voice and let us know if they have questions, concerns, or suggestions. 

Longevity

Our branch managers stick around. Many have been with us for years and have experienced tremendous success. This is evidence of our unique P&L model and the support we provide. 

Ready to Run Your Own Branch?

Open your own mortgage branch and take a giant leap toward the career you deserve. Make the transition from a loan officer to a branch manager with MortgageRight.

Start today by scheduling a live demo.