Becoming a mortgage advisor

[C_mc]

Hi, I am currently in very early stages of starting my CeMAP and I'm looking for some advice on a few topics.

I have a background in working in sales, I was an estate agent in London for many years, and am currently working in recruitment - but due to personal circumstances, and the potential of my role being made redundant I am looking in to my options. One of my parents was a mortgage advisor for around 20 years so aware of the basics, but this was a while ago now, so hoping for more up to date feedback!

I am mainly interested on what the best way to start in the industry is, I am looking for some flexibility with hours worked due to childcare - so ideally would like to be self employed, but from my research it seems like joining a mortgage network might be the best option? I can see that not all will take you on without direct experience, are there any that would that are recommended?

I am also fully aware, that it will take a while to become successful on my own, and wondered if networks let you have another role alongside?

Are there any other pro's and con's?

As I said, this is very early days so apologies if some of my questions are naïve! Thanks so much.

 

[Mark T Jones]

@tony84 is the man to talk to

 

[tony84]

When you become a broker you have a few options. If you want to set up on your own they are:
DA - Directly Authorised, you wont have this open to you due to lack of experience. You probably also dont want it with the extra grief that comes with it.
Network - They give you a process to follow and some guidelines the rest is up to you.

If you just want to be self employed, you can be a registered individual (RI), this is where you are basically a mortgage broker under a pre-existing firm.

All have their pros and cons, some may be cheaper, some easier, some provide additional benefits such as leads or admin support.

Getting CeMap is the easy part. Getting into a firm as an RI or a network is the harder part. I dont think I have ever come across an applicant like the ones in the books, but I am sure one of your parents could tell you that.

Like anything you need a business plan. I look at my original business plan and laugh sometimes. The income wasnt too far off, but the breakdown was well off.

The biggest problem I see is put yourself in the network or the firms position. You want a job part time and you want flexibility because of childcare. Imagine a client comes to you and you submit a mortgage and then 2 days later the underwriter declines the application. The customer gets a refund of their valuation fee and starts to panic. They cant get hold of you because your in your other job... As a customer thats pretty poor.

By the time you finish your job its 5pm and the underwriter has gone home...

When I started out, I had a full time job. I was trying to answer the phone on my break and lunch. It was a nightmare.

Im not trying to talk you out of it btw. I love my job, its the best decision I ever made. But it took a few years to have flexibility and freedom and I did all my hard work before I had a kid. Shes sat next to me now doing her homework whilst I do applications and whatever else.

I honestly couldnt imagine having a kid, a part time job and trying to be a broker because people want you at all hours and if something goes wrong, you have to jump on it straight away as there is a lot at stake.

 

[fisicx]

I am looking for some flexibility with hours worked due to childcare ...

This is the bit where I see you struggling. When Barclay's fell over last week I can image all the panic calls to the brokers. If you are busy bathing the baby or doing the school run or whatever and can't take the call it won't take long for your reputation to tank. We met our broker once at a garden centre on a Sunday morning. We did buy him breakfast though. Would you be able to do that?

 

[tony84]

This is the bit where I see you struggling. When Barclay's fell over last week I can image all the panic calls to the brokers. If you are busy bathing the baby or doing the school run or whatever and can't take the call it won't take long for your reputation to tank. We met our broker once at a garden centre on a Sunday morning. We did buy him breakfast though. Would you be able to do that?

I can do that! What time?