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Mortgage processor vs loan officer

The differences between mortgage processors and loan officers can be seen in a few details. Each job has different responsibilities and duties. While it typically takes 2-4 years to become a mortgage processor, becoming a loan officer takes usually requires 4-6 years. Additionally, a loan officer has an average salary of $45,817, which is higher than the $40,527 average annual salary of a mortgage processor.

The top three skills for a mortgage processor include customer service, FHA and va. The most important skills for a loan officer are customer service, origination, and loan origination.

Mortgage processor vs loan officer overview

Mortgage ProcessorLoan Officer
Yearly salary$40,527$45,817
Hourly rate$19.48$22.03
Growth rate-3%4%
Number of jobs9,05763,663
Job satisfaction-4.5
Most common degreeBachelor's Degree, 52%Bachelor's Degree, 61%
Average age4245
Years of experience46

What does a mortgage processor do?

A mortgage processor is responsible for reviewing mortgage loan applications, evaluating applicants' documents, and verifying their eligibility for approval. Mortgage processors consider the applicant's financial statements, credit score, and other possible mortgage options. They also interview loan applicants to confirm the accuracy of submitted documents and keep them updated with the progress and final decisions. A mortgage processor works closely with the underwriting department for loan applications subject for further review. The mortgage processor needs to have a broad knowledge of the banking industry and loan procedures to guide the applicants with their application inquiries and concerns.

What does a loan officer do?

Loan officers are responsible for assisting borrowers on the best type of loans to avail and guiding the clients throughout the application process. A loan officer must be highly knowledgeable about different lending products, payment plans, loan regulations, and essential files for fast loan approval. Loan officers also act as the first point of contact, conducting an initial screening of the customers, process loan contracts and appropriate documentation, update account records, and respond to customer's inquiries. A loan officer also has the right to reject loan applicants who do not meet loan qualifications.

Mortgage processor vs loan officer salary

Mortgage processors and loan officers have different pay scales, as shown below.

Mortgage ProcessorLoan Officer
Average salary$40,527$45,817
Salary rangeBetween $31,000 And $52,000Between $30,000 And $69,000
Highest paying CityPhoenix, AZNew York, NY
Highest paying stateArizonaNew York
Best paying companyCyberCodersBangor Savings Bank
Best paying industryProfessionalFinance

Differences between mortgage processor and loan officer education

There are a few differences between a mortgage processor and a loan officer in terms of educational background:

Mortgage ProcessorLoan Officer
Most common degreeBachelor's Degree, 52%Bachelor's Degree, 61%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Mortgage processor vs loan officer demographics

Here are the differences between mortgage processors' and loan officers' demographics:

Mortgage ProcessorLoan Officer
Average age4245
Gender ratioMale, 24.2% Female, 75.8%Male, 55.3% Female, 44.7%
Race ratioBlack or African American, 13.0% Unknown, 4.2% Hispanic or Latino, 14.1% Asian, 6.6% White, 61.6% American Indian and Alaska Native, 0.4%Black or African American, 9.0% Unknown, 4.6% Hispanic or Latino, 15.7% Asian, 6.3% White, 63.9% American Indian and Alaska Native, 0.5%
LGBT Percentage7%8%

Differences between mortgage processor and loan officer duties and responsibilities

Mortgage processor example responsibilities.

  • Manage applicant s mortgage applications from origination to closing, ensuring service excellence and adhering to federal and compliance guidelines
  • Function in processing role for streamline first market mortgage transactions pursuant to Fannie, Freddie, VA and FHA policy guidelines.
  • Support FNMA portfolio loans in default and imminent default loans with a focus on loan modifications.
  • Work directly with FNMA counselors to negotiate mortgage terms for the homeowner that will prevent foreclosure.
  • Comply with bank, investor and regulatory guidelines while having a strong understanding of RESPA, HDMA, and ECOA guidelines.
  • Generate accurate RESPA require disclosures.
  • Show more

Loan officer example responsibilities.

  • Manage a multifacete commercial real estate investment firm.
  • Supervise and manage the processing staff and also underwrite conventional loans for correspondent lenders.
  • Follow up leads for refinance loans gather all applications and necessary paperwork to qualify applicants from origination to close of escrow.
  • Analyze available resources to determine suitable mortgage products (FHA, FNMA/FHLC) to meet clients' purchasing or refinancing goals.
  • Originate and process various loan products including government, conventional, portfolio, construction, USDA mortgages, home equity line/loans.
  • Originate FHA, VA, conventional, jumbo, and USDA loans, according to specific lender guidelines in broker environment.
  • Show more

Mortgage processor vs loan officer skills

Common mortgage processor skills
  • Customer Service, 24%
  • FHA, 6%
  • Va, 6%
  • Underwriting Guidelines, 6%
  • Property Appraisals, 6%
  • Origination, 5%
Common loan officer skills
  • Customer Service, 17%
  • Origination, 13%
  • Loan Origination, 5%
  • FHA, 5%
  • NMLS, 5%
  • Loan Products, 4%

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