Although the economic/housing market is in shambles right now, there is some good news. The drop in home values has spurred the younger generation to get out there and find a home. The housing market is on the rebound and because of this, entrepreneurs are looking into entering the mortgage broker business.
Each state has its own specific set of rules and regulations for becoming a mortgage broker. Let’s look at what it takes to become a mortgage broker in Ohio.
First of all, it is important to understand which government entity regulates all of the mortgage brokers in Ohio. The Financial Institutions Division of the Ohio Department of Commerce regulates each and every mortgage brokerage in the state. This entity has the power to regulate brokers under the Ohio Mortgage Broker Act or the OMBA. If you are seriously considering becoming a mortgage broker in Ohio, you need to become familiar with this particular piece of legislation.
The state of Ohio defines a mortgage broker as anyone who is able to assist a potential buyer in obtaining a mortgage loan and receives payment for those services. Those individuals who are responsible for the management of the Mortgage Broker business, all compliance requirements and the day-to-day operations of the business are called Operations Managers.
If you wish to become an Ohio Mortgage Broker, you must first apply. All applicants are required to pay an application fee that is non-refundable. Similarly, all applicants must provide a $50,000 Surety Bond. Applicants must also provide a written statement describing any criminal behavior and fingerprints. The department will then perform a background check and will investigate the character, financial condition and experience of each and every applicant. Before applying, each applicant is required to have at least three years experience in the real estate mortgage financing field.
As you can see, the state of Ohio requires a specific procedure to go through before becoming a mortgage broker. If you want to become a mortgage broker in Ohio, first obtain your three years of experience in the real estate mortgage financing field. From there, you can begin the application process and be well on your way to helping your first va loan customer.
