Loan Officer Training Table of Contents
01-Job Description
- Principal Job Duties and Responsibilities
- Job Requirements
- Special Knowledge and Skills
02-Communication
- Use the skill of listening to ensure that what is being heard is what the customer intended to convey.
- Use open-ended, closed-ended and lending questions to quickly get the information needed to help the customer.
- Use positive phrasing to keep the relationship with the customer on a positive track.
- Use verification techniques to ensure that the information being obtained and conveyed is accurate.
- Control conversations to request certain documentation or to make future arrangements and conclude calls in the least amount of time
while maintaining a high degree of customer satisfaction.
03-Communication
- Define what success means to you
- Avoid mistakes fatal to a loan officer's career development
- Set goals and define objectives to reach your desired levels of success
04-Mortgage Forms
The 1003 mortgage application is the most valuable tool we have when a customer applies for a mortgage. If filled out properly, the
mortgage application can instantly provide you with enough crucial information to get the mortgage process started. This chapter takes you
line by line through a mortgage application, covering the following topics:
- Type of Mortgage and Terms of Loan
- Property Information and Purpose of Loan
- Borrower and Co-Borrower Information
- Employment Information Co-Applicant
- Income Information and Housing Expense
- Assests and Liabilities
- Details of the Transaction
- Declarations
- Acknowledgement and Agreement
- Goverment Monitoring
05-Credit Reports
- How a credit score is determined
- Types of credit reviewed
- What to do with derogatory credit explanations, limited or no credit history, bankruptcies and foreclosures
- What a Co-maker/Co-signer's obligations are
- What garnishments, attachments, judgements and tax liens are
06-Credit Worthiness
- How to use the mortgage application and credit report to determine the borrower's willingness and ability to repay the debt
- Understanding the different types of obligations a borrower may have and how to verify them
07-Smooth Transaction
This lesson provides you with steps to follow to ensure that the customer is taken care of in a timely, organized and efficient manner.
- Taking The Application
- The Processing Procedure
- Final Approval
- Schedule Closing
- Stipulations
- What's Needed For Processing
- Truth In Lending Act & Regulation Z
- Calculating Debt To Income Ratio
08-Income & Debt
- General Underwriting Guidelines
- Compensating Factors & Other Underwriting Criteria
- Loan To Value Ratios
- Underwriting The Loan File
09-Time Management
Learn what you need to do to for effective time management to generate the most leads and loans.
- The Effective Work Schedule
- Setting Up Your Loan Files for Effective Processing
10-Flood & Hazard
- What is hazard insurance and who needs it?
- Why does the lender require hazard insurance?
- How much coverage is required?
- What is guaranteed replacement cost?
- How do I increase the insurance coverage if there is not a replacement endorsement?
- What exactly is liability coverage?
- What type of insurance policy is carried on condominiums?
- How and where do I get hazard insurance information?
- How much does insurance coverage cost?
- Is flood insurance a part of standard hazard insurance coverage?
11-Income Sources
- Determine the borrower's sources of income to help evaluate their ability to re-pay the loan.
- Salary Income, Commissions, Bonuses/Secondary Incomes, Investments, Self-Employment
- Social Security, Pension, Annuities, Miscellaneous Income
- Employment Stability, Probability of Continuation, Monthly Base Income, Monthly Secondary Income, Overtime and Part Time Income,
Commission Derived Income, Trade Income, Teacher's Income
- Fixed Incomes from Social Security
- Trust, Inheritance, Alimony/Child Support, Military Income, Recently Graduated Borrower, Tips/Gratuites/Cash, Foster Parent
Income
- Calculation of Rental Income of New Properties
12-Business Entities
Learn and understand the different types of business entities.
- Sole Proprietorship
- General Partnership & Limited Partnership
- C-Corporation, S-Corporation
- Limited Liability Company
- Limited Liability Partnership
13-Tax Returns
- Evaluating Tax Returns
- Income Verification and Calculation
- How to Read a W-2
14-Title Orders
- What does title insurance protect against?
- Types of policies
- Title Insurance Commitment
- Standard Exceptions
- Specific Exceptions
- Title Vesting
15-Appraisals
- Market Value vs. Market Price
- Market Value vs. Cost
- Basic principles of values that affect the value of real estate
- Residential Appraisal Report
- Cost Approach
- Sales Comparison Analysis/Market Data Approach
- Flood Certifications/Flood Insurance
- Appraisal Report Forms
- Handling Appraisal Problems
- Appraisal Guidelines
16-Selling Strategies
Learn and understand the different types of business entities.
- Suggest A Solution
- Identifying and Overcoming Objections
- Closing
- Inbound/Outbound Calls
- Presenting Your Company
- Complete the 1003 Fannie Mae Application
- Credit Review
- Working Your Leads
- Presenting Your Proposal
- The Art of Closing The Deal
- Handling Objections
17-Federal Compliance
- Fair Credit Reporting Act
- Equal Credit Opportunity Act
- Real Estate Settlement Procedures Act
- Truth in Lending Act
- Regulation Z
- Home Mortgage Disclosure Act
18-Terms & Definitions
Definitions of mortgage terms
