How to Start Your Own Online Mortgage Business

Want to be part of the biggest financial commitment most people ever make? Why not become an online mortgage broker and help those about to take the plunge? Here, we cover the key factors you need to know as you start an online mortgage business.

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Worth a huge £1.5 trillion, the UK’s mortgage market is the biggest in Europe. As most Brits can’t afford to be cash buyers, the majority of UK property sales are made with the help of a mortgage. At the moment, there are over 10 million, with an average debt of over £130,000.

Online mortgage businesses can support prospective buyers as they take their first steps into the world of property ownership. Here’s why you should consider becoming a mortgage broker, and some tips for getting started.

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Why you should start an online mortgage business

• Customers will value your expertise. Mortgage brokers have extensive market knowledge and a good understanding of current interest rates. They also take clients’ deposits, credit histories and monthly payment preferences into account when finding suitable loans. The mortgage world can be very confusing for many people - especially those with limited knowledge of finance - and many borrowers appreciate a helping hand.
• You’ll provide a convenient service. Approaching a mortgage broking business is a quick and easy way to find out how much you can borrow. We live in a busy world, where potential homeowners have work to do, children to look after, parents to visit, pets to feed, a social life to enjoy and other life admin to complete. So, an online mortgage business can offer a useful service for many people.
• Customers may be reluctant to visit a mortgage broker in person. Some people prefer to use an online service as opposed to travelling somewhere and meeting a broker face-to-face. On the internet, you have time to think about your situation and you’re not put on the spot, as you would be in a mortgage broker meeting.
• You don’t need to persuade customers to buy your service - it’s free. Most lenders pay brokers a commission when a borrower takes out a loan with them. So, you won’t have to spend time and effort enticing people to use your business - and if you do, it should be an easy sell.

Tips for becoming an online mortgage broker

• Mortgage businesses can sometimes come across as untrustworthy, and your customers may feel you are biased. Although you may be tempted to push them in the direction of lenders offering higher commissions, you should always act in their best interests. To reinforce your credibility in the eyes of your clients, you must be able to explain the reasoning behind each of your suggestions. Never give out unreliable or irresponsible advice - this could come back to bite you in the future.
• The more knowledge you have and the partnerships you establish, the more you’ll be able to offer your clients. Mortgage brokers don’t usually work with every mortgage provider, and some lenders don’t work with brokers at all. Customers know that, unless they get in touch with several brokers, they won’t benefit from extensive market knowledge. You’ll be able to attract more customers by expanding your industry expertise.
• Some people might be reluctant to trust your mortgage business without meeting you face-to-face. Don’t forget, applying for a mortgage is a huge milestone and often means a lot to the borrower. Using an online chatbot can feel incredibly impersonal, or even awkward. You can try to sidestep this issue as much as possible by working towards building a human connection with your customers. Make sure your mortgage business prioritises the process of creating a personal bond with clients and try to be as friendly and approachable as possible.
• If you don’t benefit from the training you get when you join a mortgage broker franchise, you’ll need to gain some industry-specific qualifications. The Certificate IV in Finance and Mortgage Broking and The Diploma of Finance and Mortgage Broking Management is great for people with basic knowledge who’d like an entry-level qualification. Alternatively, you could opt to complete the Graduate Diploma in Financial Planning, the Graduate Certificate in Applied Finance, the Master of Applied Finance, or the Diploma of Insurance Broking. All these courses can be taken online from the comfort of your sofa.

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Online mortgage broker franchise opportunities

Your Mortgage Plus

This online mortgage and insurance specialist has more than 15 years of industry experience.

• Becoming a Your Mortgage Plus franchisee: Franchisees have the freedom to work from home with part- or full-time hours, adapting their work-life balance to suit them. Before you get up and running, you’ll work towards completing industry-recognised qualifications with the support of the head office team. Then, you’ll have the option to do further training in fields like equity release and wills and trusts.
• How much you need to invest: Prospective franchisees can choose from a selection of franchisee packages starting at £19,995. Payment plans are also available, and you can expect a return of £25,000-£60,000 within the first year, £75,000 in the second, and then over £100,000.
• What you get for your investment: You’ll benefit from an established training scheme consisting of three weeks of business coaching (available at locations across the UK). Ongoing professional development training is also available for all investors, so you’ll have the chance to join seminars, webinars and meetings. Plus, you’ll get help in a range of areas, including website development and marketing.

Get started today

Launching an online mortgage business gives you the chance to become your own boss with a great work-life balance. Take a look at our full range of mortgage broker franchises to find your perfect opportunity.