Mortgage broker business plan template free

Brokering home equity loans online Providing an online mortgage marketplace Providing other related loan cum mortgage consulting and advisory services Sales Forecast The fact that it is pretty difficult for the average individual and start — ups out there to obtain mortgage loans from banks and other financial institutions gives leverage to mortgage brokerage and loan services firms like ours. This goes to show that the potential to generate income for the business cannot be ruled out. We have been able to critically examine the mortgage brokerage and loan services market and have analyzed our chances in the industry and we have been able to come up with the following sales forecast. The sales projection is based on information gathered on the field and some assumptions that are peculiar to startups in Albany — New York.

Mortgage broker business plan template free

Strategic Analysis with current research! The Mortgage Brokerage, Inc. The Company was founded by John Doe. The Company will also maintain a base of corporate and institutional clients that seek the expertise of the team to finance the acquisition of mortgages and real estate investments.

Regardless of the credit quality or income of a client, the Company seeks to provide residential and commercial mortgage financing to clients. The terms, dividend payouts, and aspects of the deal are to be determined at negotiation. Doe has more than 10 years of experience in the mortgage industry.

Through his expertise, he will be able to bring the operations of the business to profitability within its first year of operations. Doe expects a strong rate of growth at the start of operations.

Below are the expected financials over the next three years. As the real estate market returns to normal conditions, the Mortgage Brokerage will be an excellent position to capture a significant portion of its targeted mortgage broker business plan template free.

The Company is registered as a corporation in the State of New York. Below is a breakdown of how these funds will be used: Doe may seek to sell the business to a third party for a significant earnings multiple. Most likely, the Company will hire a qualified business broker to sell the business on behalf of the Mortgage Brokerage.

Based on historical numbers, the business could fetch a sales premium of up to 4 times earnings. These services will include mortgage brokering, and investment banking operations that will allow investors and homebuyers access to the capital markets.

To some extent, this business will have a more erratic revenue stream as this business is dependent on deal flow and not guaranteed payments by debtors or tenants. The Company will operate an affinity mortgage banking facility in association with its associated lenders that may include a warehouse line of credit for our financing transactions.

Doe expects that each financing deal made by the Company will yield approximately 5. The risks associated with this business are low as the Company does not plan on holding long term debt instruments unless the credit quality of the mortgagee is excellent.

As interest rates decreased, and the overall value of properties skyrocketed, the number of agents in this market has more than tripled. However, the industry has been pummeled in the last two years with the fallout of the mortgage market.

Currently, the economic market condition in the United States is in recession. This slowdown in the economy has also greatly impacted real estate sales, which has halted to historical lows.

Many economists expect that this recession will continue until mid, at which point the economy will begin a prolonged recovery period. In the United States, the market for mortgages is the largest consumer and commercial finance market.

For most people, a purchase of real estate for both primary residence or investment purposes is the largest financial transactions that they will ever conduct.

Any standing structure has monetary value and can be used as an investment. Offices and homes are a necessity for all people and businesses. The overall market for real estate will continue to grow as the population continues to grow despite the current economic conditions. Additionally, there has been a shift in taste among Americans such that people now desire to have more than one home.

While this concept has been a dream among many people, the ability for a middle income family to purchase a second home has become a reality with the change in how lending works. However, recent changes in the credit market, namely the sub prime mortgage meltdown, have resulted in difficulty for middle and upper middle income borrowers to refinance and acquire second mortgages.

mortgage broker business plan template free

As such, the business may have issues with top line income generation at the onset of operations. In this section, you can also put demographic information about your target market including population size, income demographics, level of education, etc.

However, there are not many investment banking firms that specialize solely on small and medium sized real estate transactions. Doe feels that the Mortgage Brokerage can use its lending, investment, and advisory service for each client so that they receive more than just the financing they need.

Management will seek to essentially partner with clients in their real estate endeavors, rather than just provide a one time financing. By allowing clients services beyond traditional lending, Mr.This plan includes every element required by most investors, secondary market entities or regulators to be part of a quality control program.

This product has evolved into two separate modules - a Quality Control Plan and a Compliance Plan. While our entire system - for mortgage lender, banker, correspondent or broker - is designed to be what we call a "franchise level business plan" with complete operating details, often a regulator or investor will require a more traditional business plan, which we refer to as a business goal development and management plan.

A mortgage broker acts as an intermediary who brokers mortgage loans on behalf of individuals or businesses..

Mortgage fraud - Wikipedia

Traditionally, banks and other lending institutions have sold their own products. As markets for mortgages have become more competitive, however, the role of the mortgage broker . All applicants are required to provide a general business plan indicating how they plan to conduct business and a description of the policies and procedures that the mortgage broker and its mortgage agents will follow to arrange, make and service loans.

Free Mortgage Brokerage Business Plan For Raising Capital from Investors, Banks, or Grant Companies! Please note that the financials in this complete free business plan are completely fictitious and may not match the text of the business plan below.

This free business plan demonstration purposes you are interested in purchasing the completed editable MS Word and Excel documents for. Claremont Funding mortgage broker business plan executive summary. Claremont Funding is a mortgage brokerage serving the lending needs of real estate /5(17).

Sample Business Plans - Mortgage Broker Business Plan - Palo Alto Software