Thinking of Becoming an MLO?
Mortgage Loan Originators help borrowers secure residential mortgage loans, with over 556,190 NMLS-licensed professionals nationwide. Earning an average salary of $76,020 through base pay plus commission, MLOs enjoy stable demand tied to the housing market.
What Does a Mortgage Loan Originator Do?
Mortgage Loan Originators (MLOs) help borrowers obtain residential mortgage loans. They work for banks, credit unions, mortgage companies, or as independent brokers. MLOs are regulated under the SAFE Act and must be licensed through the Nationwide Multistate Licensing System (NMLS).
Borrower Evaluation
- Evaluate borrower applications
- Assess creditworthiness
- Verify income and assets
- Determine loan eligibility
Loan Processing
- Guide loan product selection
- Process mortgage applications
- Coordinate with underwriters
- Manage closing timelines
Compliance & Relations
- Manage SAFE Act compliance
- Provide required disclosures
- Build referral partnerships
- Stay current on regulations
Is Becoming an MLO Right for You?
You Might Thrive If You...
- Are detail-oriented and organized
- Enjoy financial analysis and working with numbers
- Want a stable base salary plus commission income
- Are comfortable navigating regulations and compliance
- Are a strong communicator who builds trust with clients
Things to Consider
- Strict NMLS regulatory requirements and ongoing compliance
- SAFE exam has a 30-day retake waiting period
- Must be sponsored by a licensed mortgage company
- Interest rate changes directly affect loan volume
- Background check includes credit history review
How to Become a Mortgage Loan Originator
Complete SAFE Act Pre-Licensing Education
Complete 20+ hours of NMLS-approved education covering federal law, ethics, non-traditional lending, and mortgage origination.
Pass the SAFE MLO National Exam
Pass the Prometric-administered national exam with a score of 75% on national, varies by state. The exam has 120 questions with a 190-minute time limit.
Complete NMLS Registration & Background Check
Register through the NMLS system, submit fingerprints for FBI background check, and authorize a credit report review.
Find a Sponsoring Mortgage Company
Secure sponsorship from a licensed mortgage company, bank, or credit union. Compare compensation, training, and lead generation support.
Apply for State License Through NMLS
Submit your state license application through the NMLS portal with all required fees and documentation. Some states require an additional state-specific exam.
Salary & Career Outlook
MLO compensation typically combines a base salary with commission on loan originations (often 1-2% of loan amount). Income scales with loan volume, and top producers in high-value markets earn well into six figures.
Ready to Take the Next Step?
Get detailed MLO licensing requirements for your state or dive into our comprehensive guide.