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Underwriter vs loan originator

The differences between underwriters and loan originators can be seen in a few details. Each job has different responsibilities and duties. Additionally, an underwriter has an average salary of $61,751, which is higher than the $41,291 average annual salary of a loan originator.

The top three skills for an underwriter include customer service, investor guidelines and mortgage loans. The most important skills for a loan originator are customer service, origination, and FHA.

Underwriter vs loan originator overview

UnderwriterLoan Originator
Yearly salary$61,751$41,291
Hourly rate$29.69$19.85
Growth rate-4%4%
Number of jobs8,51010,716
Job satisfaction3-
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 61%
Average age4445
Years of experience-6

What does an underwriter do?

An underwriter's duties depend on the line of work or industry involved, such as mortgage companies, insurance, or lending firms. However, an Underwriter's responsibility will mainly revolve around using their extensive expertise on how a company will achieve financial gains, and assessing the possible financial risks of a client by reviewing various aspects to determine their capacity to uphold monetary obligations. Most of the time, the Underwriter's tasks will also involve evaluating a client's credit history, health, assets, overall financial history.

What does a loan originator do?

A Loan Originator is a potential liaison between borrowers and lenders. They help borrowers complete loan applications and evaluate which loans are most appropriate for the customers.

Underwriter vs loan originator salary

Underwriters and loan originators have different pay scales, as shown below.

UnderwriterLoan Originator
Average salary$61,751$41,291
Salary rangeBetween $39,000 And $96,000Between $28,000 And $60,000
Highest paying CityBoston, MANew York, NY
Highest paying stateMassachusettsSouth Dakota
Best paying companyGoogleCentennial Bank
Best paying industryManufacturingTransportation

Differences between underwriter and loan originator education

There are a few differences between an underwriter and a loan originator in terms of educational background:

UnderwriterLoan Originator
Most common degreeBachelor's Degree, 66%Bachelor's Degree, 61%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Underwriter vs loan originator demographics

Here are the differences between underwriters' and loan originators' demographics:

UnderwriterLoan Originator
Average age4445
Gender ratioMale, 38.4% Female, 61.6%Male, 54.0% Female, 46.0%
Race ratioBlack or African American, 9.2% Unknown, 2.5% Hispanic or Latino, 9.6% Asian, 5.6% White, 72.7% American Indian and Alaska Native, 0.4%Black or African American, 9.2% Unknown, 4.6% Hispanic or Latino, 16.1% Asian, 6.4% White, 63.2% American Indian and Alaska Native, 0.5%
LGBT Percentage9%8%

Differences between underwriter and loan originator duties and responsibilities

Underwriter example responsibilities.

  • Attain Jr. underwriter status and AUS underwriting authority.
  • Manage AUS findings and analyze approvals and results accordingly.
  • Complete initial review of appraisals, borrower credit documents, and DU/LP findings according to Fannie Mae and investor guidelines.
  • Research and develop SBA program.
  • Work on project putting together HPR policy.
  • Resolve issues preventing final disposition of REO properties.
  • Show more

Loan originator example responsibilities.

  • Supervise and manage the processing staff and also underwrite conventional loans for correspondent lenders.
  • Complete yearly the NMLS continuing education requirements.
  • Direct lender with FNMA while maintaining all loan servicing.
  • Increase revenues and product awareness by cross-selling service lines and packages.
  • Complete a rigorous training program and have obtained 25 NMLS state licensing requirements to be a loan originator.
  • Review FHA case number assignments, mortgage credit rejects and refinances authorizations to determine qualification.
  • Show more

Underwriter vs loan originator skills

Common underwriter skills
  • Customer Service, 11%
  • Investor Guidelines, 6%
  • Mortgage Loans, 5%
  • Underwriting Guidelines, 5%
  • Financial Statements, 4%
  • FHA, 3%
Common loan originator skills
  • Customer Service, 18%
  • Origination, 9%
  • FHA, 6%
  • Va, 6%
  • Phone Calls, 6%
  • Excellent Interpersonal, 5%

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