How to become a finance and mortgage broker

Housing is a hot topic in Australia at the moment. Prices in capital cities are still growing. Politicians are arguing about what to do about housing affordability. Renovation and ‘house flipper’ shows are some of the most viewed on Aussie television. Then you’ve got media commentators saying we’re heading for a housing crash. And regulators putting extra pressure on lenders to do the right thing by borrowers.

With all the hype and uncertainty around housing and mortgage lending, there’s never been a greater need for brokers who know what they’re doing. Professionals who are in the industry for the right reason can make a world of difference to their clients. But how does someone go from no experience, to practicing as a finance and mortgage broker?

Step 1: get to know the job

You know that being a finance and mortgage broker involves helping people get the right loan product for their needs. But do you know how that happens? What the day to day work of a broker involves? It might not be what you think. The first step towards your new career involves a bit of research. Do some reading online. Listen to some podcasts or vodcasts (yes, there are lots of broker channels out there!) You might even get in touch with a broker in your local area and ask them for a few tips.

Step 2: education

To become a mortgage broker, you need to become a representative of a credit licence holder. You’ll work as a representative of a licence holder for the first two years of your career. Then you can decide whether to continue as a representative or get your own credit licence.

The regulator, ASIC, has minimum education requirements for people who want to apply for a licence[i]. Currently the minimum education required is the FNS40815 Certificate IV in Finance and Mortgage Broking. The FNS50315 Diploma of Finance and Mortgage Broking Management exceeds the requirements. However, it’s a good choice for those who want to keep their career options open, and possibly move in to a senior role sooner.

Step 3: applications

At any one time, there are hundreds of broker jobs advertised all around Australia. Other jobs are filled through professional networking platforms. And according to government projections, the number of finance and mortgage broker positions are going to grow in coming years[ii]. To stand out in your applications, you’ll need to be able to demonstrate your knowledge and enthusiasm for the job in your cover letters. It can also help to have references from the trainers who’ve helped you meet your education requirements.

Speaking of, Monarch Institute’s finance and mortgage broking team are here to help you with your career ambitions. From the exclusive student Facebook page to the insider advice from trainers, your Monarch Institute qualification is more than just a piece of paper. It’s your foot in the door to becoming a successful finance and mortgage broker. Check out the study options online and enrol today!

Author: Eva Mellors

[i] ASIC Regulatory Guide 206: Credit licensing: Competence and training

[ii] Australian Government Department of Jobs and Small Business, JobOutlook: Financial Brokers