All Topics / Opinionated! / Mortgage Broker – Ramifications?

Viewing 2 posts - 1 through 2 (of 2 total)
  • Profile photo of slimshadyslimshady
    Member
    @slimshady
    Join Date: 2005
    Post Count: 2

    Hypothetical? What would happen if the following took place 1) To me 2) The Broker if the lending institution found out?

    Lets say that I decide I want to become a mortgage broker and I approach my broker to work in the industry in their business and they employ me. It is a commission only position and therefore having no other income stream to depend on it is fair to say that there will be a period of time in which I will not be earning money. Having quite a bit of equity in my home I suggest to my broker that I take out a LOC to supplement for the period of time I believe it could take for money to come in from broking, and they say “Good Idea” and are complicit in writing the deal and employing me.

    I am interested in hearing from licensed FB’s please?[blink]

    Profile photo of Mortgage HunterMortgage Hunter
    Participant
    @mortgage-hunter
    Join Date: 2003
    Post Count: 3,781

    Mortgage broking is not as lucrative as during the boom time. Even if you start writing business the minute you hit the ground you will not start receiving income until a month after those loans settle. This might be 8-10 weeks.

    I suggest that you don’t quit your current job but arrange to see clients after hours until you have replaced your income.

    What is your concern about using your LOC to live on for a while?

    All the best to you,

    Simon Macks
    Residential and Commercial Finance Broker
    ***NODOC @ 7.15% to 70% LVR***
    [email protected]
    0425 228 985

    Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic. If you don't have an account, you can register here.