Loan Officer & Real Estate Agent Professional Tips

You’ve decided to get into real estate, especially with the crazy rates houses are selling and mortgage applications are climbing. But what’s a better fit for you – a real estate agent or loan officer?

Both positions involve sales and earn a commission, but require different skill sets. As for salaries, real estate agents earn a median salary of $59,000 per year and loan officers $63,000, but at the top of the scale, the best agents earn $129,000+ and loan officers earn $184,000+.

Skills Needed to be a Real Estate Agent or Loan Officer

Real estate agents and loan officers have many similar skillsets including:

• Great communication skills – Both real estate agents and loan officers must be able to communicate well with clients. They provide important information that can make or break the deal whether they are buying/selling a home or taking out a mortgage.

• Mentoring skills – Real estate agents and loan officers must be mentors. They both deal with clients who may have never been through the real estate process before. Being able to teach, guide, and consult is the key to success in both positions.

• People skills – Whether you’re selling houses, helping people buy houses, or helping clients get a loan, you need to deal with many personalities. Finding ways to connect with your clients, and going above and beyond what they expect will help you surge ahead in your career.

• Marketing skills – Real estate agents and loan officers rely on referrals and marketing. Referrals come naturally when you have great communication, mentoring, and people skills, but marketing is important too. Getting your name out in the community takes time, effort, and knowledge about when and where to best market yourself.

How the Skills Differ

Real estate agents need a solid knowledge of the real estate market in the area as well as the surrounding areas. They need in-depth knowledge of the area itself, what it offers, what it’s good for, and who should or shouldn’t live there.

Loan officers need more mathematical and analytical skills. Sometimes you have to be ‘creative’ when helping clients find a mortgage that suits their needs. You also need to have patience and a way with words so you can let clients down gently if they don’t qualify for a loan. Helping them see how to fix the situation and apply in the future helps too.

Bottom Line

Real estate agents and loan officers make great livings. When you have the skills necessary, you can succeed at either. Which one is right for you depends if you want to be the sales end, watching a client achieve their dreams of buying or selling a home, or behind the scenes, helping clients get the financing necessary.

Both positions require ample face time with clients, time management skills, and the ability to market yourself as an expert in the industry that people should trust.