Becoming a mortgage loan originator is a great career path in Florida’s thriving real estate industry. Mortgage loan originators help connect home buyers with mortgage lenders and guide them through the loan application process. This role is critical in enabling many individuals and families to purchase homes.
The demand for talented mortgage loan originators is strong across Florida. According to the U.S. Bureau of Labor Statistics, employment for loan officers, including mortgage loan originators, is projected to grow faster than average between 2022 and 2032 in Florida (8% growth) and nationally (3% growth).
With fast employment growth and high turnover in this career, there should be abundant job opportunities for those who obtain the proper licensing and training.
Steps to Become a Licensed Mortgage Loan Originator
Follow these key steps to launch your career as a licensed mortgage loan originator in Florida:
- Earn a High School Diploma or GED/HiSET
- Complete Mortgage Loan Originator Prelicensing Education
- Pass Two Exams – National and State Components
- Submit License Application and Fees
- Complete 20 Hours of Annual Continuing Education
This guide will explore each of these steps in further detail. It will also cover FAQs for those considering becoming a mortgage loan originator in Florida.
1. Earn a High School Diploma or GED/HiSET
The first step is making sure you have either a high school diploma or equivalency GED or HiSET credential. All mortgage loan originators must have at minimum a high school level education.
If you do not have a high school diploma, GED programs and HiSET high school equivalency exams provide alternative pathways. You can prepare for and pass a high school equivalency test to qualify for mortgage loan originator licensing.
2. Complete Mortgage Loan Originator Prelicensing Education
Florida requires mortgage loan originator candidates complete 20 hours of prelicensing education. You must take this education through an approved provider before applying for your license.
This prelicensing education covers essential information you will need to conduct mortgage loans ethically and legally. Typical subject areas include:
- Ethics and Fraud Prevention
- Federal Laws and Regulations
- Loan Products and Terms
- Credit Evaluation
- Loan Processing
You can find approved prelicensing education providers on the website of the Nationwide Multistate Licensing System (NMLS). Most classes range from $200 to $300.
3. Pass Two Exams – National and State Components
After finishing prelicensing education, mortgage loan originator candidates must pass two exams to demonstrate readiness:
National Test Component with Uniform State Content
State Component Test for Florida
The National Test Component with Uniform State Content consists of 125 multiple choice questions covering general mortgage knowledge. You must answer 90 out of 125 questions correctly (a score of at least 72%) to pass.
The State Component Test for Florida contains 50 multiple choice questions relating to relevant state laws and regulations. You need a score of at least 75% (38 of 50 questions) to pass.
You can schedule and take these tests prior to submitting your license application or within 12 months after submitting it. The exam provider is Applied Measurement Professionals, Inc. (AMP).
We suggest allowing 2-3 months after education to study and pass both exam components. Frequently reviewing materials and taking practice tests will help prepare.
4. Submit License Application and Fees
After completing prelicensing education and passing required exams, the next step is to submit a mortgage loan originator license application to the NMLS. This is done online through the NMLS website.
As part of the application, you will need to:
- Disclose personal, financial, criminal, and employment history
- Submit fingerprints for an FBI criminal background check
- Complete 20 hours of prelicensing education
- Pass required test components
- Pay license and processing fees
Application fees include a $100 fee for the NMLS processing and $195 fee payable to the Florida Office of Financial Regulation. You may also incur fingerprint processing fees.
If approved, you will be granted a unique NMLS identifier number as a licensed mortgage loan originator! This needs to be renewed annually by December 31 each year.
5. Complete 20 Hours of Annual Continuing Education
Maintaining an active mortgage loan originator license in Florida requires completing 20 hours of NMLS-approved continuing education annually.
At least 8 of these hours must cover federal laws and regulations, 2 hours must cover ethics (preventing borrower fraud), and 2 hours must cover non-traditional mortgage lending. The remaining 8 hours can cover various electives.
Annual continuing education ensures you stay updated on changing federal and state regulations and mortgage products.
Many employers will pay for continuing education. There are also affordable online self-study packages available to fulfill hours on your own schedule.
Frequently Asked Questions
Here are answers to some common questions about becoming a mortgage loan originator in Florida:
Do mortgage loan originators need to be licensed?
How much does getting licensed cost?
How long does it take to get licensed?
What is the average salary for a mortgage loan originator?
Can mortgage loan originators work from home?
Conclusion
Becoming a licensed mortgage loan originator presents an exciting and rewarding career opportunity amid Florida’s growing housing market. By following the licensing steps in this guide, you can help connect more Florida families with the dream of homeownership.
With strong employment demand for mortgage expertise, competitive salaries, flexible remote working options, and low barriers to entry, this career offers many advantages. Use the resources in this guide to launch your mortgage loan originator licensing journey today!