Can Realtors Be Loan Officers And Real Estate Agents At Same Time?

This Article Is About Can Realtors Be Loan Officers And Real Estate Agents At Same Time

Real Estate Agents are professionals who are licensed to represent home buyers and home sellers. Gustan Cho Associates is looking to hire real estate agents as remote loan officers. You need to have at least one-year full-time loan origination experience and be knowledgable with a loan officer origination system such as Encompass and/or Calyx Point.

  • The best real estate agent is one who is knowledgeable not just in showing homes or listing properties but has extensive knowledge in all areas of real estate
  • Top realtors have knowledge of the neighborhoods
  • They always have areas they represent, comparable sales, title issues, zoning, legal issues, and last but not least have general knowledge in mortgage lending
  • A professional real estate agent should know the basics of mortgage loan programs available in today’s marketplace
  • Besides Conventional, FHA, USDA, and VA Loans, Gustan Cho Associates has countless lending relationships with non-QM wholesale mortgage lenders
  • Top realtors should know the proper questions to ask a loan officer about mortgage lending guidelines
  • Many licensed real estate agents hold special certifications in areas of real estate besides just holding their real estate licenses
  • I have encountered many real estate agents who have law degrees, appraisal licenses, and insurance licenses
  • Many realtors who have licenses in other areas may not be active in those fields
  • However, holding licenses because having areas of expertise in other areas of real estate makes them a more marketable real estate agent

In this article, we will discuss and cover Can Realtors Be Loan Officers And Real Estate Agents At Same Time.

Can Realtors Be Loan Officers?

Can Realtors Be Loan Officers And Real Estate Agents At Same Time?  The answer is yes. GCA Mortgage Group is recruiting professional real estate agents with at least a one-year of loan origination experience. Need to be familiar and expert with a loan origination system such as Encompass and/or Calyx Point. Realtors who have no loan origination experience may be considered on a case by case basis if they are close to our Lombard, Illinois headquarters and/or one of our branch offices.

  • Many realtors are licensed mortgage loan originators
  • Some realtors who are licensed mortgage loan originators do not originate many loans
  • We are only looking for realtors who are actively originating at least one to three loans per month

Some real estate agents with their NMLS MLO licenses just hold their mortgage licenses while other realtors practice loan origination to supplement their full-time real estate careers. Gustan Cho Associates will provide exclusive leads.

Regulations And Guidelines

Can Realtors Be Loan Officers And Regulations

Licensed realtors can be loan officers, however, there are strict rules and regulations.

  • There are many successful full-time realtors who are also full-time mortgage loan officers
  • These hard-working professionals are in demand
  • Many home sellers will definitely choose a realtor who is also a licensed mortgage loan originator due to their professional’s credentials
  • Here are the rules and regulations in being both a licensed real estate agent and licensed mortgage loan originator at the same time
  • Real Estate Agents with their own real estate client CANNOT represent the same client as a loan officer
  • GCA Mortgage Group has a team of loan officers who are not realtors who can team up with reators who are loan officers
  • Realtors who are licensed loan officers cannot originate FHA Loans for their own real estate clients
  • In theory, they can originate any type of conventional loan, jumbo loan, portfolio loan, or commercial loan for their own real estate client
  • However, most mortgage companies will not allow licensed real estate agents to be loan officers for the same client in any loan transactions
  • The reason is many buyers of mortgages on the secondary mortgage market will not purchase closed loans of borrowers who were represented by a realtor and loan officer on the same transaction after the loans are funded

If the real estate client is not their own and does not represent the home buyer or property buyer as a real estate agent, then they can originate any mortgage loan program including FHA Loans, VA Loans, USDA Loans.

We Are Hiring Realtors For Loan Officer Positions

Licensed real estate agents who have an interest in becoming a licensed mortgage loan originator, please contact us at Gustan Cho Associates at 262-716-8151 or text us for a faster response. Or email at gcho@gustancho.com. Gustan Cho Associates Mortgage Group is a mortgage company licensed in multiple states with no lender overlays on government and conventional loans. Gustan Cho Associates is always looking for hard-working real estate professionals who also want to originate loans. The ideal candidate is a hard-working realtor with at least one-year of mortgage loan origination experience. The candidate should be an expert in a loan origination system (LOS) such as Encompass and/or Calyx Point. Gustan Cho Associates provides exclusive leads 7 days a week. Please send a cover letter and a copy of your resume to gcho@gustancho.com.

Visit CAREER OPPORTUNITIES

105 Comments
  1. Sofia says

    I’m a licensed DRE broker in CA. What courses do I need to be an originator?

    1. Gustan Cho, NMLS 873293 says

      You need to get an NMLS license through the DBO for California to become a loan originator

      1. Estela Aceveo says

        HI Im a licensed real estate agent. Ive completed my 20hrs safe class and I’m waiting to test in Jan.
        Should I get my LO license with the DRE or the DBO

        1. Gustan Cho, NMLS 873293 says

          Once you passed the NMLS exam, apply for the California DBO license. If you need sponsorship, please contact us at gcho@loancabin.com. The best to you.

  2. William Curington says

    I am currently working on both loan originators and R.E. licenses in GA..whom do I talk to about onboarding?

    1. Gustan Cho, NMLS 873293 says

      Contact Mike Gracz at mgracz@gustancho.com and/or call and/or text Michael at 630-659-7644

  3. Joe says

    Currently working on getting my LO and RE in Florida. Anyone down here I can work with?

    1. Gustan Cho, NMLS 873293 says

      We offer remote loan officer positions to qualified licensed individuals. Please email me at gcho@loancabin.com.

  4. Lauren says

    I’m a licensed realtor in Florida and I finished the course for mlo; I need to take exam. Anyone I can talk to here?

    1. Gustan Cho, NMLS 873293 says

      What is your question? I can answer your questions here

    2. Candace says

      Hi Gustan , I stubbles upon your blog here , I’m living in New Mexico now , I have my California RE lic hung with Park and refer for now , I also have a Nevada lic that I’m gonna have expire in Sept since CE is a pain in the ass they require you to be in a class room 12 hr unlike Cali you renew every 4 years and can do it online ,
      I’m going to be taking my MLO test in July I believe , 17 hr Fed and 3 hr State for NM , I’m planning to use my California lic for referrals since I live in NM ,
      My goal is to work Remote , but would be nice to have some training , I have been watching lots of online training on You tube , some real good stuff on there .. Does your company do New Mexico , Do you have an office here too by chance ?

      1. Gustan Cho, NMLS 873293 says

        Unfortunately we are not licensed in New Mexico at this time. I highly recommend that you work for a smaller mortgage shop that is local to you where you can go into the office. Remote loan origination is very difficult if you do not have hands on experience. Once you have about one to two years experience, then you may work as a remote loan officer. Call me at that time. By then we should be licensed in New Mexico.

  5. MATT BROSIOUS says

    Will Loan Cabin work with a loan originator from Florida. Whos should I contact for info on any program you offer?

    1. Gustan Cho, NMLS 873293 says

      We are licensed in Flordia. Please reach out to gcho@loancabin.com. Looking forward to working with you.

  6. Tatiana AnikinaDick says

    What about VA? I have MLO and BR broker’s licenses.

    1. Gustan Cho, NMLS 873293 says

      You can be a licensed loan officer and real estate agent at the same time with us at Gustan Cho Associates

  7. Martha Irene Irene Mendoza says

    HI Im a licensed real estate agent and I just passed the NMLS test and Im about to submit my application to get the MLO license but my concern is, if I decide to apply through the DRE am I going to be able to do Real Estate and Loans at the same time with the NMLS Endorsment or will I be forced to only do one or the other? I will really appreciate if you help me to clarify this concern because I do not want to be in the position that I will have to pick to only do one or the other going through the DRE..Or in another words, if I apply through the DRE being a sales person not a broker will I be able to do both loans and Real Estate? Looking forward to hear the right answer. Thank you very much.

    1. Gustan Cho, NMLS 873293 says

      Congratulations on your passing the NMLS exam. We have many licensed real estate agents who are loan officers. You need to apply for an NMLS MLO license through the DBO and NOT the DRE. The DRE is only for companies that are both realtors and licensed lenders. You can hold your real estate license with the DRE but need to apply with the DBO in order for you to get licensed with us and/or other mortgage lenders. If you are interested in becoming part of our team, feel free to contact me at gcho@gustancho.com or call and/or text me at 262-716-8151. Thank you.

  8. Martha Irene Irene Mendoza says

    I will. Thank you very much.

    1. Gustan Cho, NMLS 873293 says

      You are very welcome. Please do not hesitate to contact us if you have any questions. The best of luck to you.

  9. Cindy Hipwell says

    So can you hang your Realtor license with one company and also be a licensed loan officer with another in CA and NV once you have passed the tests?

    1. Gustan Cho, NMLS 873293 says

      Of course. That is how it is done. You can work both as a real estate agent and loan officer at the same time. You would need to be sponsored by a realtor for your real estate license and by a mortgage lender like us for you to be sponsored as a mortgage loan originator.

      1. Patrick Anthony Archuletta says

        I am located in Colorado are you licensed here?

        1. Gustan Cho, NMLS 873293 says

          Yes we are. We are licensed in 15 states and Colorado being one of them.

  10. Bill Tsoukalas says

    In Illinois are you able to have both your real estate license and mortgage broker license?

    1. Gustan Cho, NMLS 873293 says

      You can have your real estate agent’s license and mortgage loan originator’s NMLS license in all states.

  11. Travis Tran says

    I’m a real estate agent in Oregon and Washington. I’m getting my Loan officer license soon. Do you know where I can start or connect after I get my Loan Officer license?

    1. Gustan Cho, NMLS 873293 says

      Go to http://www.loanofficerschool.com and ask for David Reinholtz to sign up for the 20 hour NMLS online course. I highly recommend the Loan Officer School because they have the best study practice questions. After you pass the exam, you can contact us at gcho@gustancho.com to start the hiring process.

  12. James Graff says

    I finished the 20 hrs + 4 hrs New Jersey specific training. I am now studying to take the S.A.F.E. NMLS MLO exam in New Jersey. Once I pass I will need a company to work for as an MLO (I have one that is interested and willing…However, I have been informed that they do not allow MLOs to use their RE licenses – they must “put them aside”). I would also like to get my Real Estate license in New Jersey as well: is that possible?? Could I work as an MLO for you?? (Would that allow me to use a RE license in N.J.??

    Thanks!!

    1. Gustan Cho, NMLS 873293 says

      Most lenders will require you to forfeit your real estate license and place it in hibernation. Other lenders like us do not require that you give up your realtor license. However, you cannot represent your own real estate clients and be the loan officer on the same transaction. You can have one of our loan officers represent your real estate client and you be the loan officer assistant and get paid. But you cannot be dually a realtor and loan officer on the same transaction. You can represent other realtors mortgage transactions.

  13. Brandon Foy says

    Hey Gustan, I had already passed my SAFE exam in 2016 and found out that it was still good for up to 5 years so I would like to reinstate it. I also have been a Realtor for the last 4 yrs but want to supplement my income by being a LO and only take listings in RE sales. However do you advise me to take the 20hr edu to be eligible to take SAFE, not to get licensed b/c I already have it…but as a refresher to learn again? or do you all have a training that your firm offers or recommends? I didn’t close many loans due to lack of training and why I went into sales in the first place back then But def looking to learn about mortgage industry during these times now

    1. Gustan Cho, NMLS 873293 says

      As long as the last time you got licensed is five years or less, you do not have to retake the 20 hour NMLS course or take the 125 question national NMLS exam again. You can get your license reactivated by applying for a state. Contact David Reinholtz at http://www.loanofficerschool.com and tell him I sent you. He will answer all of your questions and set you up.

  14. Jay says

    Hello Gustan, I am real estate agent in California and planning to take MLO license exam this month to become Loan Officer as well. Can you please confirm:
    1. I will be eligible to work for you as a Loan Officer while still holding my real estate license with my broker?
    2. You mentioned in one of the comments that to do above, we might have to apply for NMLS MLO license through DBO and not DRE. I’m not sure if DRE provides MLO license.
    Did you mean I should not get endorsement from DRE for my MLO license?

    Thank you very much for your helpful insights. Appreciate it.

    1. Gustan Cho, NMLS 873293 says

      Yes, you can still be licensed as a licensed real estate agent and be licensed as an NMLS loan officer at the same time. You need to get your NMLS license through the DBO. You need to complete a 20 hour online NMLS course and pass the 125 question 3 hour federal NMLS exam and get a 75% to pass. Once you pass, you need to apply for your NMLS California license through the DBO. You can get licensed in any state your sponsoring company is licensed in. We are licensed in 15 states and have 7 states that are pending. We are seeking licensed real estate agents who are licensed loan officers but need to be producers. You may email me at gcho@gustancho.com or text me at 262-716-8151 if you have any questions. I highly recommend David Reinholtz from Loan Officer School. You can go to loanofficerschool.com and call the toll free number and tell hime I referred you. He will give you a discount. He has the best study materials and practice questions.

  15. Steve says

    Hi Gustan. I have my RE Broker license in California and Florida. I am getting ready to take the NMLS exam. Would I sign with a mortgage company as a broker associate? I would like to originate loans and list and sell property in both CA and FL. Is that possible? Thanks

    1. Gustan Cho, NMLS 873293 says

      You would have to get hired by a mortgage company. Please email me your contact information at gcho@gustancho.com and I can guide you the right way.

  16. Eddie says

    Hi Gustan, I have both MLO and RE license in California. I know I can’t originate loan and do RE transaction on FHA clients. Can I do loan and RE transaction for the same client if it’s conventional loan?

    1. Gustan Cho, NMLS 873293 says

      No lender will allow you to be a loan officer and real estate agent for a client. The main reason is because the secondary mortgage bond market will not buy loans that has the same realtor and loan officer.

  17. carlos says

    hello gustavo, Can i do loan and RE transaction in the same client if it is a conventional loan in texas?

    1. Gustan Cho, NMLS 873293 says

      No you cannot. You cannot be a real estate agent and loan officer in the same transaction

      1. Cedric says

        Hello, Can you clarify what does the article above means then ? I’m sorry but it confuses me ! It says that RE agent can originate conv. loans

        It reads the following:
        “Realtors who are licensed loan officers cannot originate FHA Loans for their own real estate clients”

        “However, they can originate any type of conventional loan, jumbo loan, portfolio loan, or commercial loan for own real estate client

        1. Gustan Cho, NMLS 873293 says

          You cannnot be a realtor and loan officer on the same transaction. You can handle other peoples loans but not loans that your are an agent on.

  18. Dustin McIntosh says

    Hi! I’m dual licensed in RE and MLO in Oklahoma. The above article reads that I cannot originate a loan and represent the buyer in the same transaction on FHA. What about VA and USDA? I hear so many different responses.

    1. Gustan Cho, NMLS 873293 says

      On all loan programs you cannot be a realtor and MLO for the same client. The secondary mortgage bond market with not purchase MBS on mortgages that have the same loan originator and realtor for the same transaction.

  19. Mark Browne says

    My wife is the broker of record of our small team of Realtors and I am an agent. We both passed the NMLS test today in California. Do you see any issues of me doing real estate and her doing the loan for any future clients?

    1. Gustan Cho, NMLS 873293 says

      That should be fine. You just cannot represent the buyer on both sides of the transaction as a realtor and loan officer at the same time.

  20. Iggi says

    Good afternoon Quick question. I am a licnsed Realtor and Licensed LO in Florida. As stated above, “Realtors who are licensed loan officers CANNOT originate FHA Loans for their own real estate clients
    However, they can originate any type of conventional loan, jumbo loan, portfolio loan, or commercial loan for own real estate client.”

    I know i can be the realtor and lo on a conventional transaction when representing a buyer. FHA is a no go.

    My Question: If my realestate broker has an FHA buyer he is representing on a sale and would like for me to assist in the FHA financing, can i do the mortgage since i am not the realtor even if my realestate license is with that broker???
    For Example:
    John Doe is a realtor and LO. John has his realestate license with ABC Realestate company. The broker of ABC Realestate company is Tom. Tom is representing the buyer on a transaction and contacted John Doe to assist. The Buyer needs FHA financing. Can John Doe do the mortgage even if it is not his client But his realestate license is with the broker company???

    1. Gustan Cho, NMLS 873293 says

      Thank you for your questions and my apologies for the delayed response. Here are the answers to your questions:

      Under HUD Guidelines, you cannot be a loan officer and realtor on the same client at the same time. Theoretically, you can do conventional, va, or other loans for the client and represent them as a realtor and a loan officer at the same time, however, you need to have your client sign an affiliated business agreement. Unfortunately, most lenders will not have real estate agents represent clients as loan officers on the same transaction as a realtor and loan officer due to liquidity issues on the secondary mortgage bond market. So in reality, you cannot be a realtor and loan officer on the same client at the same time. You can represent clients of other realtors as a loan officer and not sign an affiliated business agreement including your managaging real estate broker. Hope this answers you questions.

  21. Will Flannigan says

    Hi Gustan, I’m thinking about getting my MLO license but I’m not sure if my Brokerage will prevent me from working as both a Realtor and MLO with an unaffiliated company. Our brokerage doesn’t have an in-house lending arm, but my previous brokerage did and they did not allow their Realtors to also work as MLO for any company. Is this common? Am I going to waste time getting my MLO with the DBO if my Broker has a prohibition against their licensed agents also earning money as MLO (I understand I can’t represent a client as their Realtor AND be the MLO- either one or the other). Does that include a prohibition as the MLO if the client is represented by another agent in the same Brokerage? Thanks much for the info

    1. Gustan Cho, NMLS 873293 says

      You should be fine. We have loan officers who are also real estate agents. You just cannot be a realtor and loan officer on the same transaction.

  22. C Green says

    Do you offer training or hire an entry level MLO? Basically a person that never did real estate or first time entering the mortgage industry. I have my NMLS identifier and I take the nationwide test on 07/11/2020.

    1. Gustan Cho, NMLS 873293 says

      It is very difficult to get started as a remote loan officer without any experience. Your best bet is to get a position with a local brick and mortar mortgage broker where you can report to the office.

  23. Mike says

    Hi Gustan, I am currently RE licensed in AZ and have been for nearly 20 years. My wife recently accepted a job Transfer to Idaho and I will get my RE license there as well. I ran a RE brokerage in AZ and hired/trained hundreds of agents in that state, so I want to become a MLO and capitalize on my AZ agent contacts along with new mortgage prospects in Idaho. Can you help or point me in the right direction?

    1. Gustan Cho, NMLS 873293 says

      I highly recommend David Reinholtz of http://www.loanofficerschool.com. Give him a call on the number on his website. He has the best online 20 hour NMLS course and the best practice exams for you to study so you can pass your 125 question the first time.

      1. Mike says

        Sorry, I should have mentioned that I have already passed the NMLS exam… I am now having a difficult time finding a company that will allow me to start without 2 years of experience already, and one that operates in Idaho and Arizona/California.

        1. Gustan Cho, NMLS 873293 says

          Congratulations on passing your national NMLS exam. Unfortunately, we are not licensed in Idaho and Arizona yet. We are licensed in California and 15 other states. Most lenders will not hire anyone without two to three years of full-time experience. However, there are mortgage brokers and bankers that will. My advice is for you to hook up with a small mom and pop brick and mortar broker shop where you can go into the office and get physical training. Training remotely is very difficult. This way you get to be hands-on and talk to other loan officers and in house support states such as mortgage processors and support staff. From your experience, I think you will do phenomenal. I would love to have you on my team once we are licensed in Arizona and Idaho. I think you make a great addition to our growing team. All of our loan officers who are licensed real estate agents far exceed production levels than others who are not realtors. Please do not hesitate to contact me if you have any questions.

  24. Ruth Laguna says

    I recently got my real estate agent licence , how long do I have to wait to became a loan consultant and do both things at the same time? how much money it cost to become a loan consultant

    1. Gustan Cho, NMLS 873293 says

      You can get your loan officer NMLS license right away. I recommend David Reinholtz. Contact http://www.loanofficerschool.com. Call the number on the website and ask for David Reinholtz. They have the best online NMLS 20 hour study course and the best NMLS study and practice questions. Congratulations and the best of luck.

  25. Scott T says

    Hi Gustan,

    You said get your mortgage originator license through California DBO, but I never read where you said get your mortgage originator license through DRE. What is the advantage or disadvantage getting MLO from DBO vs. DRE?

    1. Gustan Cho, NMLS 873293 says

      If you want to work as an NMLS licensed loan officer and be sponsored by a mortgage lender, you need to get the California DBO license. DRE is for real estate brokers and not mortgage bankers.

  26. Jonathan says

    I’m currently a Real Estate Broker in Florida, would I be able to originate a loan for a client of one of my agents under my BK license?

    1. Gustan Cho, NMLS 873293 says

      You can become a loan officer and be a realtor at the same time. However, you cannot originate a loan for the same real estate client at the same time.

  27. Lin says

    I want to become a mortgage originator in MO, but I have to find a sonsorship whose also licensed in MO. Can you help me?

    1. Gustan Cho, NMLS 873293 says

      Are you licensed? Do you have any experience?

  28. Lesha Stull says

    I am licensed in NV and TX (Realtor) – are you licensed in either state? I am interested in becoming licensed as a loan officer as well

    1. Gustan Cho, NMLS 873293 says

      We are licensed in Texas but not Nevada. If you want to get your mortgage NMLS license, I highly recommend David Reinholtz from http://www.loanofficerschool.com. Go to that website and call the toll free number. Ask for David Reinholtz and tell him Gustan Cho referred you. He will give you a discount.

  29. Lesha Stull says

    OK thank you –

    How would I get licensed in NV as well?

    1. Gustan Cho, NMLS 873293 says

      Contact David Reinholtz at http://www.loanofficerschool.com. He will guide you in the right direction. He is the President of http://www.loanofficerschool.com, the largest and best loan officer school in the country.

  30. Amin Zarif says

    Hello
    I am real estate agent for almost 2 years and I got my NMLS license recently. I would like work with your company. can you help me out

    1. Gustan Cho, NMLS 873293 says

      What state are you in and have you had prior mortgage loan origination experience?

  31. Edrees Feda says

    Hello,

    I’m a licensed real estate broker in multiple states including California. Do you happen to know the states in which I can broker mortgages/loans/notes with only a real estate broker license? I think I read somewhere you can do so in California. If not, do I have to take additional classes and pass a separate exam to get a mortgage broker or loan originator license in California?

    I’m confused and would really appreciate your help. Thanks!

    1. Gustan Cho, NMLS 873293 says

      You need to get a DBO NMLS license. Please contact David Reinholtz at http://www.loanofficerschool.com. He has the best online training program and the best practice exam. Mention my name and he will get you a discount.

  32. Irena Tokar says

    Do you hire newly licensed loan officers in Colorado?

    1. Gustan Cho, NMLS 873293 says

      We are licensed in Colorado. However, we are not hiring loan officers without experience due to the high volume of loans we are having. We have nobody to train new loan officers. I highly recommend you contact a local brick and mortar mortgage broker and get your training there. Contact us if you have any questions. I will guide you the right direction.

  33. Jay Caywood says

    I have an Alaskan Real Estate License, can I also have a LO license here too concurrently?

    1. Gustan Cho, NMLS 873293 says

      Yes. You need to apply for the individual states.

  34. Danny Vesokie says

    You Need a commercial loan or hard money loan?

    Contact Danny Vesokie of Affiliated Financial Partners, a private money (LOAN) lenders and also a commercial loan broker. Here comes a good commercial loan offer for all those who needs Financial assistance at a low rate of 3%. With Danny Vesokie loan Improvement, you can say goodbye to all your financial crisis and difficulties. Affiliated Financial Partners give out loans of any amount. We fight financial crisis and to give a room for bright future in our society as we do our business .If you are interested you should indicate your interest and we shall assist you in securing your loan.

    Apply with details.

    1. Your names:
    2. Amount Needed:
    3. Your country:
    4. Loan Duration:
    5. Your address:.
    6. Phone Number:
    7. Monthly Income:
    8. VALID ID:

  35. Martin Arevalo says

    Hi Gustan,

    I live in SoCal and I’m interested in becoming a MLO. Do you need DRE # to be a loan officer or just NMLS #? Lastly, what would you recommend to be able to get my foot in the door where most brokers want someone that already has experience?

    Thank you in advance!

    1. Gustan Cho, NMLS 873293 says

      You need the DBO from California. Depends on your background. Due to the mortgage industry being so busy, the problem we have training someone without any experience. What is you background? I am open minded. We are based in Redding California and licensed in multiple states.

  36. Mary Nguyen says

    Hi,
    I’m in the process in taking the course to become a real estate license in Michigan get close near end to take exam. My questions is what courses or certifications will I need to take to line up ahead so I can also become a loan officer?

    1. Gustan Cho, NMLS 873293 says

      As long as you pass the 125 question federal NMLS exam and pass it by getting a 75%, you can then start applying for any state licenses. Once you get approved for your Michigan state license and/or other licenses you want to do business in, you can start applying at mortgage companies. Is this the question you are asking? Please feel any other questions you have on this section.

  37. Davin says

    I hold a Loan Originators license…currently studying for the Illinois Real Estate exam. But I’m finding many Mortgage sponsors don’t want you using both. They actually want you to suspend one or the other. It is a bit discouraging… Does your firm sponsor for the state of Illinois?

    1. Gustan Cho, NMLS 873293 says

      I have licensed loan officers who are licensed real estate agents. Our company accepts licensed loan officers and licensed real estate agents and they can work at both jobs. However, you cannot do both sides of the transaction on the same client. If you have a real estate client and act as a the purchasing realtor, you can refer it to one of our loan officers and you will make half the regular loan origination commission.

  38. Davin Little says

    Thanks for that. As I am most interested in your firm, I need to ask a question unrelated….. If I NEVER intertwine both services in any transaction I perform, must I make both sponsors aware I am both a Realtor and a Loan Officer?

    1. Gustan Cho, NMLS 873293 says

      Correct. You can be a loan officer and real estate agent at the same time. However, you need to disclose your employers about this. We are fine with having our loan officer be licensed real estate agents.

  39. Jorge Jaimes says

    Hello Gustan :

    I am licensed real estate broker in florida and would like to get LMO licensed and interested in your firm , the rule of dual licensed on the same transation is not allowed also applied for brokers/owners ? if your agents are the one dealing with the clients ?? im appreciated

    1. Gustan Cho, NMLS 873293 says

      You can be licensed as a realtor and loan officer at the same time. You cannot be the realtor and loan officer for the same client. However, you can refer your realtor client to one of our loan officers and you can be the LOA and the assigned loan officer will be the loan officer of record. We have licensed loan officers who are also licensed real estate agents. I think it is a great idea for realtors to be licensed loan officers. You can do business in other states as a loan officer. You are not just stuck in your geographical area. Let me know if you have any questions.

  40. Oscar Miller says

    Hello!

    I was googling to see if I was able to get my nmls license with a “serious delinquency” on my credit report and came across your webpage. I saw that you had offered your email for questions, so if it is appropriate could you please answer a question for me?

    My score is 670’s but I have a a serious delinquency on my report. I had an unpaid credit card debt that I settled rather than paid in full. I hadn’t known any better. This was back in June. I am gearing up to take my SAFE test in December for WA. Would this hinder my ability to get licensed?

    Thank you,

    Oscar Miller

    1. Gustan Cho, NMLS 873293 says

      You should be fine and not have any issues

  41. Massimo Ressa says

    The RMLA is a law that comprehensively regulates the New Jersey mortgage loan origination activities of Mortgage Companies and their individual mortgage loan originators (MLOs). Among other things, it establishes licensing requirements for Mortgage Companies and MLOs, sets forth the qualifications needed to obtain those licenses, lists the fees that Mortgage Companies may charge to consumers and otherwise regulates the manner in which Mortgage Companies deal with consumers, gives the New Jersey Department of Banking and Insurance (Department) supervisory and enforcement authority over Mortgage Companies and MLOs, and imposes upon Mortgage Companies various reporting requirements. On Aug. 24, 2018, the State of New Jersey enacted a bill, Assembly Bill 2035, that made significant and important amendments to the Residential Mortgage Lending Act, which had not been amended since it was passed in 2009. Over the years following the RMLA’s enactment, Mortgage Companies have had to grapple with a number of issues arising from ambiguities and/or a lack of clarity in various provisions in the RMLA. The amendments were enacted to resolve many of these issues. The amendments made several substantive changes. One such change allows MLO’s who are either 1) federally registered bank MLO’s looking to begin working for a New Jersey-licensed Mortgage Company, or 2) state-licensed MLO’s (in states other than New Jersey) looking to start originating New Jersey loans for a New Jersey-licensed Mortgage Company (which could be their current employer or a new employer), to start taking New Jersey loan applications while awaiting approval of their New Jersey license applications. Another important change is the creation of an “approved conditional” license status that will allow a license applicant to engage in licensed activities while striving to meet the required standards for financial responsibility, and an “approved inactive” license status that will allow licensed MLO’s essentially to put their licenses “on the shelf” for a period of time while they are not employed by a New Jersey-licensed mortgage company. Yet another significant change – actually, a long-needed clarification – concerns the fees and charges that mortgage companies may charge or pass through to their customers when originating loans on their behalf. As we progress through this course we will touch on important topics from the original act and the amended act. Let us start by looking at licensing requirements.

    Massimo Ressa
    CEO of Loan Cabin, Inc.

  42. Alex Carlucci says

    PERSONS REQUIRED TO BE LICENSED
    LICENSING REQUIREMENTS FOR RESIDENTIAL MORTGAGE LENDERS AND RESIDENTIAL MORTGAGE BROKERS, AS BUSINESS LICENSEES:
    No person may act as a residential mortgage lender or broker without first obtaining a license. The department will issue licenses that specify whether a business licensee is licensed as a residential mortgage lender or broker. Please note that a person licensed as a residential mortgage lender may act as a broker, if proper disclosure is made. Additionally, no person may be issued or hold a license as a residential mortgage lender or residential mortgage broker unless one (1) officer, director, partner, owner or principal is a qualified individual licensee of that same type sought or held. The commissioner may, by regulation, require a licensed residential mortgage lender or broker to employ additional qualified individual licensees to properly supervise the business licensee in its branch offices. If a qualified individual licensee allows his license to lapse or for some other reason is no longer affiliated with the business licensee, the business licensee must notify the commissioner within ten (10) days, and must also appoint another qualified individual licensee within ninety (90) days or a longer period as permitted by the commissioner.
    Finally, no person licensed as an insurance producer with title insurance authority may be licensed as a business licensee or engage in the business of mortgage loan origination. While on the subject of residential mortgage lenders and residential mortgage brokers, it is important to note that neither are required to maintain an office an New Jersey as long as they are qualified to do business in New Jersey and have a registered agent for service of process. However, if a business licensee changes the address of its principal office or a branch office serving New Jersey consumers, it must file a notice of address change.
    FOR RESIDENTIAL MORTGAGE LENDERS AND RESIDENTIAL MORTGAGE BROKERS, AS QUALIFIED INDIVIDUAL LICENSEES:
    No individual may act as a qualified individual licensee for a residential mortgage lender or residential mortgage broker without first obtaining a license under the RMLA. A qualified individual licensee licensed as a residential mortgage lender or broker may act as a mortgage loan originator. However, no person licensed as an insurance producer with title insurance authority may be licensed as a qualified individual licensee or engage in the business of mortgage loan origination. It should be noted that this license is required for a natural person who must be an officer, director, partner, owner or principal of a business entity licensed or to be licensed as a Residential Mortgage Broker and is required as a condition of the business entity’s qualification for licensure. The individual must at a minimum meet all of the licensing criteria for a mortgage
    loan originator. Residential mortgage loans include both first and second mortgage loans on New Jersey property. A licensed Qualified Individual may act as a mortgage loan originator without additional licensure.
    FOR MORTGAGE LOAN ORIGINATORS:
    No individual may act as a mortgage loan originator without first obtaining a license or transitional license. Furthermore, no individual may be issued or hold a license or transitional license as a mortgage loan originator unless employed as an originator by one, and not more than one, business licensee, and is subject to the direct supervision and control of that licensee, employed by an exempt company, or who is under a written agreement with and sponsored in the Nationwide Mortgage Licensing System by one, and not more than one, person exempt from licensing requirements and registered with the department, and is subject to the direct supervision and control of that exempt person. There is one exception to the above rule. No individual may act as a loan processor or underwriter who is an independent contractor, or employed by an independent contractor without first obtaining a mortgage loan originator license under this act, with the exception of exempt companies, which we will discuss in the next section. Finally, no person licensed as an insurance producer with title insurance authority may be licensed as a mortgage loan originator or engage in the business of mortgage loan origination.
    A NOTE ON TRANSITIONAL LICENSES
    The 2018 amendments to the RMLA established a statutory framework for the issuance of “transitional MLO licenses.” These transitional licenses will allow many MLO’s – those who have been working for a bank or a bank subsidiary (Bank MLO’s) and those who have been working for a Mortgage Company not licensed in New Jersey (Out-of-State MLO’s) – to begin working for and earning commissions from a New Jersey-licensed Mortgage Company without having to first apply for and obtain a New Jersey MLO license. The 2018 amendments permit Bank MLO’s to obtain transitional licenses if they were validly registered in the Nationwide Multistate Licensing System & Registry with a depository institution or a depository institution subsidiary (and thus exempt from state licensing requirements under the SAFE Act for at least the one-year period immediately preceding submission of their application for a New Jersey MLO license, and become employed by a New Jersey-licensed Mortgage Company, as well as submit an application for a New Jersey MLO license. The amendments also permit Out-of-State MLO’s to obtain transitional licenses if they are validly licensed as an MLO in at least one state, are or become employed by a New Jersey licensed Mortgage Company, and submit an application for a New Jersey MLO license. Bank MLOs and Out-of-State MLO’s who obtain a transitional license will be immediately authorized to take New Jersey loan applications for their New Jersey-licensed Mortgage Company employer, while awaiting approval of their pending New Jersey MLO license application. If, however, they are unable to obtain such approval after 120 days, their transitional license will expire, and they will have to cease acting as an MLO for their New Jersey-licensed Mortgage Company employer until their application is approved.
    FOR EXEMPT COMPANIES
    No person qualifies for registration as an exempt company unless the person is in the business of mortgage loan origination solely by virtue of its performance of loan processing or underwriting functions. The commissioner has the authority to adopt rules in accordance with the “Administrative Procedure Act,” specifying additional criteria on the basis of which a person in the business of mortgage loan origination solely by virtue of its performance of loan processing or underwriting functions may qualify for registration as an exempt company. An exempt company must register with the commissioner and with the Nationwide Mortgage Licensing System and Registry. An applicant for registration or for renewal of registration as an exempt company must:
    • Submit a completed application to the commissioner;
    • Pay to the commissioner at the time of application a nonrefundable application fee not to exceed $500 as established by the commissioner by regulation;
    • Pay to the Nationwide Mortgage Licensing System and Registry any fees required by that system and registry, or any fees which, by arrangement of the commissioner, are payable to the Nationwide Mortgage Licensing System and Registry on behalf of the commissioner; and
    • Obtain a blanket bond in an amount and form prescribed by the commissioner, but not less than $25,000. The bond must be obtained from a surety company authorized by law to do business in New Jersey. The exempt company must procure the bond to cover its mortgage loan origination related activities. The bond will run to the state of New Jersey for the benefit of any person injured by the wrongful act, default, fraud or
    misrepresentation of any person covered by the bond. A registered exempt company must also:
    • Respond in a timely manner to any request of the commissioner for the production of and access to books, records, accounts, documents or other information relative to its operations;
    • Submit to the Nationwide Mortgage Licensing System and Registry a mortgage call report of conditions, in the form and manner, and with such information, at any time as may be required by the nationwide system and registry, and any other report to, or through, the nationwide system and registry pursuant to an arrangement for reporting and sharing information;
    • Provide written notice to the commissioner within 10 days of the occurrence of any event that would cause the exempt company to no longer qualify for registration as such under the terms of this subsection d. and so notify in writing all licensed mortgage loan originators employed or retained by the exempt company; and
    • Employ at least one individual who is licensed as a mortgage loan originator who does not engage in the origination of mortgage loans and who has been assigned supervision and instruction duties with respect to individuals employed as loan processors or loan underwriters.
    EXEMPTIONS
    The following persons are exempt from the licensure requirements of the New Jersey Residential Mortgage Lending Act:
    • Depository institutions. Note: subsidiaries and service corporations of these institutions are not exempt. Furthermore, a depository institution may register with the department for the purpose of sponsoring individuals, licensed as mortgage loan originators, provided that such registered entity obtains and maintains bond coverage for mortgage loan originators.
    • A registered mortgage loan originator that is registered under the federal “Secure and Fair Enforcement for Mortgage Licensing Act of 2008. Note: Registration is Required by the SAFE Act:
    The prevailing idea under this exception is that even though loan originators who work for depository institutions are exempt from individual licensing, these mortgage loan originators must still register with the NMLS and acquire and use a NMLS unique identifier. If a “registered” mortgage loan originator (MLO) discontinues employment with an exempt entity and wants to engage in the business of making mortgage loans in New Jersey with a non-depository institution such as a mortgage broker or lender, then that previously only registered MLO must now become licensed as a Mortgage Loan Originator (MLO).
    • A licensed attorney who negotiates the terms of a residential mortgage loan on behalf of a client, as an ancillary matter to the attorney’s representation of the client, unless the attorney is compensated by a residential mortgage lender, residential mortgage broker,
    or mortgage loan originator. Note: It is common for attorneys to prepare mortgages during the normal course of practicing law. This happens many times when private financing from investors is involved, rather than going through a financial institution. Other times, an attorney will
    prepare mortgage loans to secure an interest in a property as part of a contractual agreement. What the State of New Jersey is saying here, is that if an attorney is engaging in the mortgage loan business and is being compensated by any of the persons provided in the list above, they will be subject to the same licensing requirements as if they were, let’s say, a mortgage broker or originator.
    • A person licensed as a NJ real estate broker or salesperson and not engaged in the business of a residential mortgage lender or residential mortgage broker: Note: A real estate broker or salesperson is not deemed to be engaged in the business of a Mortgage lender or mortgage broker if:
    o The real estate broker receives two hundred and fifty dollars ($250) or less at the
    closing of the mortgage loan for reimbursement of expenses incurred in providing
    specific mortgage related services in connection with a particular real estate sale or
    real estate brokerage service;
    o The real estate broker itemizes in writing the specific services provided by the real estate broker or by the salesperson licensed with the broker and submits that itemized list to the mortgage lender prior to closing; and
    o The real estate broker or salesperson receives a real estate commission in connection with the transaction.
    • Any employer, other than a residential mortgage lender, who provides residential mortgage loans to his employees as a benefit of employment, which are at an interest rate which is not in excess of the usury rate in existence at the time the loan is made, as established in accordance with the law of New Jersey, and on which the borrower has not agreed to pay, directly or indirectly, any charge, cost, expense or any fee
    whatsoever, other than interest.
    • The State of New Jersey or a municipality, or any agency or instrumentality thereof, which, in accordance with a housing element that has received substantive certification from the Council on Affordable Housing, or in fulfillment of a regional contribution agreement with a municipality that has received a certification, employs or proposes to employ municipally generated funds, funds obtained through any State or federal subsidy, or funds acquired by the municipality under a regional contribution agreement, to finance the provision of affordable housing by extending loans or advances, the repayment of which is secured by a lien, subordinate to any prior lien, upon the property that is to be rehabilitated.
    • Any individual who offers or negotiates terms of a residential mortgage loan:
    o with or on behalf of an immediate family member; or
    o secured by a dwelling that serves as the individual’s residence.
    • Any person who, during a calendar year takes three or fewer residential mortgage loan applications or offers or negotiates the terms of three or fewer residential mortgage loans or makes three or fewer residential mortgage loans related to manufactured housing structures which are:
    o titled by the New Jersey Motor Vehicle Commission;
    o located in a mobile home park; and
    o are exempt from taxation as real property.
    • A bona fide not for profit entity and any individuals directly employed by that entity, so long as the entity maintains its tax-exempt status.
    LICENSEE QUALIFICATIONS AND APPLICATION PROCESS UNDERSTANDING THE NATIONWIDE MORTGAGE LICENSING SYSTEM
    As mentioned, all mortgage licensees in New Jersey are required to register through the
    Nationwide Mortgage Licensing System and Registry; referred to in this course as the (NMLS). The NMLS system is a secure, internet-based system, designed to manage mortgage licenses online. It gives state licensed mortgage lenders, brokers, and loan officers the ability to apply for, amend, update, and renew licenses. The registry is intended to bring greater efficiency and effectiveness to the supervision of mortgage licensees. The NMLS brings transparency and uniformity to the mortgage industry, without hindering the ability of states to approve, deny, suspend or revoke licenses. For example, if a loan officer is censured by a state that participates in the NMLS, agencies and regulators in other participating states would have access to that information and act thereupon accordingly to their particular state’s laws and guidelines.
    The NMLS does not issue approvals or denials of mortgage licenses. The system is only designed to process the applications. It was created by the Conference of State Banking Supervisors (CSBS), which is the organization that represents State Banking Supervisors and the American Association of Residential Mortgage Regulators (AARMR), which is the organization that represents the state residential mortgage regulators. The Nationwide Mortgage Licensing System is owned and operated by State Regulatory Registry LLC. http://www.stateregulatoryregistry.org
    The NMLS provides benefits for everyone involved in the licensing process, from the regulators to the licensees. The main benefit is that access to information is available, virtually all the time. With access to the secure site, a licensee is able to:
    ✓ View, update, and amend license records
    ✓ Check the status of the application
    ✓ Pay fees online
    ✓ View historical filing and license information
    ✓ Communicate online with regulators.
    This enhanced access allows a licensee to update and amend license data for multiple states at one time, as well as apply to additional states easily. With regard to multiple state licenses, it is important to remember that the NMLS only processes the information, and each state using the
    system can have their own unique requirements for licensure. In other words, being approved in one state via the NMLS does NOT mean an applicant would be automatically approved in all member states. The database issues unique identifiers for each company, its branches, owners and loan officials. These identifiers are similar to Social Security numbers and will follow that firm or person throughout the industry. By doing this, the NMLS prevents fraudulent loan originators from escaping punishment by moving to another company, businesses from changing their
    names, or owners from setting up new companies to avoid disclosing past violations. One feature of the NMLS that makes it efficient is the creation of 4 standardized and uniform application forms.
    These forms are to be used by:
    ✓ New licensees wishing to apply for a state license
    ✓ Existing licensees wishing to transition their current state license onto the NMLS
    ✓ Existing licensees wishing to surrender or withdraw their license
    The four (4) standardized forms used by the NMLS and approved for use in New Jersey are as follows:
    (1) MU1 Form, Uniform Mortgage Lender or Broker Application—This form is completed by companies and sole proprietorships that are currently licensed by, or applying for a new license with, a participating state.
    (2) MU2 Form, Uniform Mortgage Biographical Statement & Consent—Each individual identified as a control person or a qualifying individual on a mortgage company’s MU1 form must complete this form, as well as branch managers that submit an MU3 form.
    (3) MU3 Form, Uniform Mortgage Branch Office Form—Companies licensed in a state that requires registration or licensure of branch locations must complete a separate MU3 for each location. Each MU3 must identify a branch manager, and have an accompanying MU2 on that manager.
    (4) MU4 Form, Uniform Individual Mortgage License/Registration & Consent—This form is used to obtain or amend a license as an individual (mortgage loan officer), permitting the licensee to accept, or offer to accept mortgage loan applications. The NMLS uses a single record type system, which means that an applicant can create a company record (MU1), and then attach each associated control person’s record (MU2), each
    branch record (MU3), and each loan officer (MU4) record. Each record can be accessed and managed under the umbrella of the MU1, or company entry.

    Alex Carlucci
    Associate Contributing Editor Capital Lending Network, Inc.

  43. Ann khieu says

    Hi Gustan,
    I’m real estate agent in GA and I just passed my MLO exam last week. I wonder can I do both at the same time but not on the same client . And do you know which lender in GA is hiring new MLO? Much appreciated

    1. Gustan Cho, NMLS 873293 says

      Congratulations. Yes, you can be a licensed loan officer and licensed real estate agent at the same time. We are hiring ONLY loan officers with at least one year full time experience. We just do not have anyone to train new loan officers at this time.

  44. Kortney Hardwicku says

    I am in Florida. I would like to become a real estate agent and loan officer. I am seeking some guidance with the overall process. Would you be able to help?

    1. Gustan Cho, NMLS 873293 says

      I recommend you contact David Reinholtz at http://www.loanofficerschool.com. He will tell you and guide you on what to do in getting your NMLS license and passing the national NMLS exam.

  45. Matthew Lake says

    Hi Gustan. I am in NC. Do you have any idea if there are restrictions on advertising myself as an MLO and as a Realtor? Even though I wouldn’t be able to be the MLO and Realtor for the same client, can I promote myself as a one-stop shop/solution? My wife is also a Realtor so I would put all of the real estate transactions in her name. Thanks for your thoughts on this.

    1. Gustan Cho, NMLS 873293 says

      Yes, you can promote yourself as a loan officer and realtor. The clients who need a buyer’s real estate agent, you can be the loan officer and your wife can be the real estate agent. That is perfectly legal and is no problem.

  46. Anthony Nguyen says

    Good Afternoon,

    I recently found an interest in loans, and I would like to pursue that route. These last few months I have been working on my RE License. I am currently studying for the state exam in February. I am curious to know if I could work on my LO license now and could I realistically gain a license within 30 days? Or sooner if possible? I have been unemployed for quite some time. I would like to get back into action sooner than later. Also, would I be treating this as two separate licenses? or is there something additional or unique I would need to complete to hold both licenses? Lastly, if you have any advice for me under these circumstance, please let me know. Thank you

    P.s. I am in Northern California and plan to operate in here.

    Best regards,
    Anthony Nguyen

    1. Gustan Cho, NMLS 873293 says

      My recommendation is for you to contact David Reinholtz at http://www.loanofficerschool.com. He has the best study materials for you to pass the NMLS exam on the first try.

  47. Sonia G says

    Hello Mr. Cho,
    Thank you for this chat, It is very interesting and helpful.
    I have a question:
    I am currently a bilingual licensed R. E. agent in Maryland working full time; I recently passed the NMLS test but I need
    to be sponsored by a mortgage company for the MLO license to become “active”.
    For now, I would most likely refer the clients I get, to another in-house loan officer (while I learn enough to “fly solo”) if that makes sense, lol : )
    Is your company licensed in Maryland? and if yes, would you be interested in sponsoring me?
    or can you advise of someone who would be able to do this for me?
    Thank you in advance for your time, sir : )

    1. Gustan Cho, NMLS 873293 says

      Sonia, our Maryland license is pending and should get approved and finalized within the next couple of weeks. Congratulations in your passing the NMLS exam. Let’s talk over the phone maybe over the weekend or anytime next week. I would love to hire you in my team. However, with no experience, it is hard to train brand new loan officers without any experience remotely. My recommendation is for you to get hired at a local brick and mortar mortgage broker shop so you can report physically to the office and work with other loan officers, mortgage processors, and support staff. Once you have closed six to ten loans, I can take you on in my team. We provide exclusive leads and have no lender overlays on government and conventional loans. We also broker non-QM loans and other alternative mortgage programs.

  48. Sonia G says

    Thank You for the advice Mr. Cho.
    I emailed you as well.

    Have a great day : )

    1. Gustan Cho, NMLS 873293 says

      Sonia, I got your email. Let’s talk early next week and go over your options. I am open-minded and am always looking for good people. It is the people that build the team and company. Have a great weekend.

  49. Kristofer Van Wagner says

    It is interesting that this post mentioned that it is beneficial if we enroll in on-demand real estate licensing school. It makes sense as once we are licensed, we will be able to earn more money and clients will be able to trust us more. Assuming that I need a career in real estate, I will definitely proceed.

  50. Mike Carter says

    Hello,
    I read your article about becoming a MLO with bad credit.
    My wife and I have just finished taking our per-requites so we can take the test here in Georgia.
    We were both licensed real estate agents in California for many years. I also did mortgages there for 7 years. We moved to Georgia 2 years ago and we would like to work for a national mortgage company.
    I would like to talk to you about your company when you have time.

    Thank you for your post and in advance for your time.
    Mike and Michelle Carter

Leave A Reply

Your email address will not be published.

Call Now ButtonCALL NOW