What Does a Mortgage Loan Processor Do?
Mortgage loan processors are responsible for reviewing and verifying mortgage loan applications in order to ensure that all necessary requirements and guidelines have been followed. Professionals in this role work with underwriters, loan officers, and borrowers to collect all relevant documentation and information. They also review appraisals, title reports, and other important loan documents. After the mortgage loan processor has gathered all the necessary information, he or she prepares the loan package for submission to the underwriter.
It is crucial for mortgage loan processors to pay close attention to detail, to have excellent organizational skills, and to have the ability to work in a fast-paced environment. Knowledge of mortgage loan products and regulations, as well as strong communication skills, enable them to collaborate with all parties involved in the loan process effectively. The ability to work independently and in a team is also a strength, as well as solid analytical and problem-solving skills.
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National Average Salary
Mortgage loan processor salaries vary by experience, industry, organization size, and geography. To explore salary ranges by local market, please visit our sister site zengig.com.
The average U.S. salary for a Mortgage Loan Processor is:
Mortgage Loan Processor Job Descriptions
It’s important to include the right content in your job description when hiring a mortgage loan processor. The following examples can serve as templates for attracting the best available talent for your team.
The primary purpose of this role is to provide detailed guidance and advice in order to fulfill all loan qualification requirements in a compliant manner. You need to be able to provide exceptional member service through ongoing communication to members and business partners. You will be responsible for evaluating and validating all information provided to you by the client on the residential loan application and communicating to members any additional requirements. If you’re extremely organized and dedicated to helping others.
Typical duties and responsibilities
- Guides the borrower through the buying process
- Administer loan applications
- Assemble loan documents
- Review all loans and registrations for completeness and accuracy
- Provide and collect financial documents for underwriters
- Act as clients’ main point of contact throughout the entire mortgage process
- Determine the initial potential for qualification by evaluating credit history, income levels, and assets
- Meet the deadlines required for loan application
- Correct any errors in applications
- Check clients checking and savings accounts, monthly bills, and debts i.e. student loans and car loans
Education and experience
- High school diploma or equivalent
- Associates degree in finance, banking, or business
- Completion of the National Mortgage Licensing Program (NMLS)
- 1 year or more of experience
Required skills and qualifications
- Basic knowledge of underwriting terminology
- Meticulous attention to detail and accuracy
- Experience working on loan origination/processing software, like Point, ProDeal, Encompass
- Strong analytical and time management skills
- Ability to accurately and efficiently process and record a large volume of data
- FHA Direct Endorsement preferred
- Bachelor’s degree in finance, banking, or business
This candidate will be responsible for the entire end-to-end mortgage loan process. They will gather and process all loan documentation and ensure compliance with policy, regulatory, and loan terms.
- Review each loan file to verify that documents are present, accurate, and complete before underwriting
- Manage loan process through mortgage software system
- Ensure that loan rules, obligations, and deadlines are met
- Audit and prepare quality files that meet closing objectives
- Obtain mortgage loan documentation for clients
- Bachelor’s degree or equivalent
- Previous experience with mortgage loan processing preferred
- Knowledge of FHA, VA, Conventional, and USDA loans
Responsible for routing mortgage loan files through internal processing systems and obtain information needed to assist in completing a file for approval and closing; Complies with all regulations which apply within the scope of the position, including Bank Secrecy Act.
- Communicate with borrowers, underwriters, and loan officers to assemble file for underwriting
- Ensure that all of the documentation necessary to obtain loan approval has been received, reviewed, and updated
- Review all files for completeness and accuracy prior to loan submission
- Review items needed on conditional approval
- Obtain and verify all underwriting and funding conditions
- Submit loan for final approval to underwriting
- Maintain a pipeline of loans and is responsible for the timely and compliant flow of loans until closing
- Perform other duties as assigned
- Education: High school diploma or equivalent; AA degree preferred
- Experience: Minimum 2 years of current mortgage loan processing experience
- Skills/Abilities: Computer literate; effective verbal and written communication skills; excellent time management and organizational skills; knowledge of FNMA, FHLMC, VA, and FHA guidelines; bilingual (English/Mandarin) preferred
Prepares and processes mortgage loan records, files, and correspondence from application through approval. Assures compliance with bank, regulatory and investor guidelines and customer service standards. Communicates with customers, internal staff, brokers, counsel, title companies, etc. to respond to inquiries, resolve problems, and obtain all necessary documentation required for the file.
- High school diploma or equivalent
- Minimum one year of related experience
- Ability to manage multiple tasks/projects and deadlines simultaneously
- Ability to identify and resolve/escalate problems with guidance
- Effective verbal and written communication skills
Candidate Certifications to Look For
- Certified Mortgage Processor. This certification may be required by some companies. To obtain this, candidates will need to pass four separate loan classes and pass a 30-question exam. They’ll also need to abide by the set rules and NAMP code of conduct.
- Certified Master Loan Processor. This certificate can advance a candidate’s mortgage processing career and is considered professional development training. This includes 7 online training classes and a timed online proctored exam. Once they pass, they will renew this certification every year by taking continuing education courses.
Sample Interview Questions
- Would you be able to describe your experience with processing mortgage loans, and what types of loans have you worked on before?
- If you are processing a mortgage loan application, what documents and information do you need from borrowers?
- What are some red flags that you look out for when reviewing appraisals, title reports, and other important loan documents?
- What loan software systems have you used in the past, and how have they worked for you?
- In order to prioritize your workload, how do you handle multiple loan applications at once?
- Can you tell me about a time when you dealt with a difficult borrower and how you handled the situation effectively?
- What steps do you take to manage your workload so that mortgage loan applications are processed accurately and efficiently?
- Are you familiar with loan regulations and underwriting guidelines, and what steps should you take to ensure that all loans are in compliance?
- How do you ensure that loan officers, underwriters, and borrowers are kept informed throughout the loan process?