Becoming a Mortgage Broker?

[Moneyman_85]

Hi all,

No idea where to put this one but...


Any recommendations of proper recognised courses I can complete in sydney to become a mortgage broker

or anyone want to take in a newbie for a week for some experiance?

The only one in syd from Tafe is in bankstown - no thanks and a pain to get to

PS: for Brady only
havent ruled out CBA

 

[Michael_X]

I am doing the Certificate IV in Finance and Mortgage Broking and Diploma of Finance and Mortgage Broking Management in February.

PM me if you like for the course details. Doing it with another forumite

 

[Redwood]

Hi Honeyman,

Good on you for the big move, there are a number of course offerings for Certificate IV - I went for Kaplan, cost just under $500, not bad at all includes an assessment and project and can be done online which course materials sent to you in the mail. 12 weeks max to finish it and you can easily finish in a couple of weeks depending on your level of experience and of course reading through the materials.

Whats next after the study?
Cheers, Ivan

 

[westminster]

Hi all,

No idea where to put this one but...


Any recommendations of proper recognised courses I can complete in sydney to become a mortgage broker

or anyone want to take in a newbie for a week for some experiance?

The only one in syd from Tafe is in bankstown - no thanks and a pain to get to

PS: for Brady only
havent ruled out CBA

Lesson 1: How to spell mortgage

 

[Brady]

Haha don't worry about me, do what makes you happy

 

[Moneyman_85]

I thought I spelt it right Westminster?

Or did someone correct this lol?

 

[Mick C]

http://www.mfaa.com.au/default.asp?menuid=619

^ List of preferred training and providers.

I would suggest Kaplan and i have had some good feedback from some of my new brokers with the face to face options that's available ( a bit more expensive ~sub $1,500-2k)

 

[Mamaof3]

Hi Honeyman,

Good on you for the big move, there are a number of course offerings for Certificate IV - I went for Kaplan, cost just under $500, not bad at all includes an assessment and project and can be done online which course materials sent to you in the mail. 12 weeks max to finish it and you can easily finish in a couple of weeks depending on your level of experience and of course reading through the materials.

Whats next after the study?
Cheers, Ivan

Do people have to also now undertake the Diploma course as well?

 

[Peter_Tersteeg]

The MFAA requires its members to hold a Diploma. The FBAA doesn't.

Personally I think the diploma requirement is a bit over the top for new entrants. It's more realistic to complete this after you've actually written a few loans. The MFAA will waive the requirement for 12 months if you're part of their certified mentoring course. Unfortunately I'm not very impressed with many of the individuals running the course.

I'd recommend the MFAA as an industry body overall, but for new entrants it's much simpler to join the FBAA. In practice it doesn't make much different to the broker (or the client).

 

[Jamie M]

I'd recommend the MFAA as an industry body overall, but for new entrants it's much simpler to join the FBAA. In practice it doesn't make much different to the broker (or the client).

Sage advice

Apparently the FBAA's membership has skyrocketed since the MFAA introduced the diploma requirement.

If I was starting out - I'd opt for the FBAA. I don't think the diploma adds any value. It certainly doesn't teach you how to be a good broker.

Cheers

Jamie

 

[D.T.]

If there's stuff all difference, why is there more than 1?

 

[Jamie M]

If there's stuff all difference, why is there more than 1?

It's a really good question DT.

 

[Redom]

If there's stuff all difference, why is there more than 1?

Competition to keep them on their toes. Its a business essentially.

I recommend Kaplan - great course provider and easy.

Diploma is useful after 6-12 months on the job - its more for commercial lending purposes. After getting residential lending down pat, its useful. Perhaps not so much for new entrants.

Cheers,
Redom

 

[Moneyman_85]

Thanks all!

I'll check out the Kaplan one, do you need this before you start work? Like a real estate agent needs their licence?

 

[Peter_Tersteeg]

Diploma is useful after 6-12 months on the job - its more for commercial lending purposes. After getting residential lending down pat, its useful. Perhaps not so much for new entrants.

The diploma is certainly useful, but new entrants simply don't have the experience to tackle it effectively given they have little context for it.

The problem with both the Cert IV and Diploma is that the case studies are asked in such a way that suggests the training organisations have no clue about what makes a good broker. They seem to think it's someone who can fill out all the paperwork in a compliant manner.

 

[Peter_Tersteeg]

Thanks all!

I'll check out the Kaplan one, do you need this before you start work? Like a real estate agent needs their licence?

To operate as a broker you need:
* Cert IV
* Diploma (for the MFAA only)
* PI Insurance
* EDR membership
* Police check
* Copy of your CRAA
* A mentor if you don't have industry experience
* AML accreditation (usually done as part of MFAA or FBAA membership)
* Professional body membership (MFAA or FBAA)
* Australian Credit License or be an authorised rep of an ACL holder
* Aggregator membership
* Lender accreditations
* No expectations of making money for the first few years.

 

[Redom]

The diploma is certainly useful, but new entrants simply don't have the experience to tackle it effectively given they have little context for it.

Agree Peter - I think it'd be a great idea to make people do it after 1 year as a broker. Or perhaps 2 years.

KAPLAN assignments to be pretty useful preparation. But as I've said in other threads, the education requirements are basic and simple (anyone could do it easily). Plenty have the education and the badge, fewer put in the hours to master serviceability calcs/policy/structuring, etc. Even then, a good broker doesn't necessarily mean successful.

Cheers,
Redom

 

[D.T.]

I'm using kaplan at the moment, they seem pretty decent so far
(Not for Broking though)

 

[Redom]

* No expectations of making money for the first few years.

This is entirely up to you and not necessarily true for all. I've met plenty of brokers writing 20 mill + in year 1.

Work hard, learn as much as possible and have a solid plan - you can definitely accelerate the timeline.

Have a cash flow buffer though and expect not to have no cash flow coming in for the first 3-6 months.

Cheers,
Redom

 

[Rolf Latham]

This is entirely up to you and not necessarily true for all. I've met plenty of brokers writing 20 mill + in year 1.

me too............. but they are very much the exception, as is the Ferrari driving REA

Unless you have a ready source of work or pay a bunch for it, most people will fall just either side of the bell curve, approx 75 k pa gross before costs in upfront

BUT, if that is one's expectation, stay in a job id say

ta
rolf