Why You Are Lucky to Be A Manager in The Mortgage Industry

Responsibility brings its own set of challenges – and rewards.

Insider

Dave Hershman

A woman mortgage manager stands with her arms crossed.

There are a significant number of headaches associated with being a manager in the mortgage industry. Most managers are producers which occupies most of their time fighting fires and getting loans to closing. Plus, recruiting, mentoring and coaching loan officers takes much effort and time, which interferes with production. We also get to be psychologists and sometimes marriage counselors.

Regardless of all of these obstacles, being a manager can be quite rewarding – especially in this industry. Why is this a privilege, not a burden? Here are a few reasons:

First, this is one of the most important industries in America. We are not talking about size here. It is a large industry, of course. The industry is so important because the activity of purchasing and/or financing of a home represent the most important economic decision most people will make in a lifetime.

A loan officer helps people with this very important decision and typically does this with little training and even less direction. It is significant to note that people do not go to college with a curriculum of loan officer. So, there is no preparation for this industry before they get here, unlike accounting or teaching. And there is no in-depth training like there is for a stockbroker once they arrive. Yet, what we do is even more important than advising on the purchase of stocks or taxes.

Thus, as a loan officer delivers a great service to Americans and does so in such a way that they can make a lot of money and be very independent, a manager has an even better privilege. A manager helps people develop careers in the mortgage industry. In essence, no one can help more people with this important decision than a manager. And there is nothing more satisfying than helping someone develop a career in such an important industry.

In some ways, every loan officer in this industry is running their own business. Obviously, if this is true for a loan officer it is even more on point for a manager within this industry, whether this manager is managing their own company or for a larger company. In other words, there are few industries that enable you to independently exercise your entrepreneurial skills as much as the mortgage industry. In this respect, having little training and direction available for managers in the industry is an opportunity rather than an obstacle.

You can also make a lot of money as a manager, you are very independent and you help people develop careers in the most important industry in America. What more can you ask for? Well, there is an additional important point. A loan officer has no safety for continuity of income in case of a slump or sickness. You don’t produce next month and you don’t get paid. A manager of a producing office produces a stream of income regardless of their production level. Obviously, personal production helps produce a large stream of income—but management can provide a base below that stream. In effect, this is a type of residual income.

Finally, management and/or ownership represent examples of career advancement opportunities in this industry. These opportunities do not end at this juncture. Larger production organizations provide additional opportunities. A branch manager can become a regional manager or head of production. Small companies can become large companies. The better managers tend to produce these opportunities. And that is what our management course is about—helping you find the tools, support and direction to become a better manager and more importantly, a leader.