Apology

[Andrew Ikeda 0]

Greetings Fellow Investors,

 

Some time ago, someone posted a question regarding N.L.C mortgage of which Mpine is a member.

 

In a response to that post, I made a comment that I thought the commission 'stinks' without realizing the impact or outcome of this. While Mpine was silent on this matter, two or three other people inquired about being a loan officer and commissions, etc.

 

First, I'd like to apologize (to Michael Pine and anyone else concerned) for the errant remark. It was not meant to slander or be snide or cocky....just came out wrong, plain and simple. Actually 70% is not bad. At US Funding, we started at a 50/50 split for loans 1-5, then 60/40 split for loans 6-10, and 70/30 for loans 11-15. After 15 loans, we are at 100%. However, we also are required to do our own loan origination and processing, which is a real nightmare and can give the most serene of all people the fits!

 

Now that I've come to my senses (which as you all can tell isnt often) I realize that if you are making 70% for loan origination only and you can do all 50 states, that's not a bad deal.

 

I'm not sure how other mortgage people are doing out there but in my experience, it is very competitive and cut-throat out there. You lose clients to competitors or the lenders tell you they can do a particular loan and then the underwriters tell you 'no' because of something the AE didnt catch or the borrowers situation changes and they back out at closing. Being the super honest guy I am, I sometimes have to tell others I dont have an answer but I'll get back a.s.a.p with it but that doesnt suffice either.

 

On the good side, it is very rewarding and it is one heck of an education in real estate investing. You get a bird's eye view of the whole process from start to finish and my apartment complex deal was a big learning experience as well as highly educational. For those interested in becoming a loan officer or processor, I would recommend it under these three conditions:

 

1) Treat it as education - because it is! (You may not see any income for awhile too, or maybe you will!)

2) If you have a spouse that earns income - pure commissions is feast or famine so be prepared for the latter but hope and strive for the former.

3) If you know a lot of people and have a good referal base - start with people you know that will trust you. The top producers in our company are ones that are established investors who know other investors who know others who need financing so the 'pipeline' is never dry. The top guns at US Funding consistently earn $20,000 to $30,000 per month.

 

That's my straight talk, no holds barred comments for those of you thinking of becoming a part of the financing world.

 

Again, my sincerest apologies and best wishes to everyone!

 

Andrew Ikeda