Whether you are new to the industry or a seasoned veteran, a helping hand is always appreciated. This is especially true when entering into the owner financed mortgage industry as a new note broker.
Why spend years recreating the wheel to gain the knowledge you need to make money today? Take advantage of the knowledge, experience and volume pricing offered by a Master Broker to help you reach your goals for financial success. Essentially, a master broker offers a mentor program to the broker finding the transaction.
In most master broker programs it is the broker’s job to market and locate qualified leads while the master broker takes responsibility for the underwriting, pricing, due diligence, document preparation and ordering of title and appraisal, at no upfront cost or financial risk to the broker!
Through a network of established investors, the Master Broker is able to match the transaction with the best possible investor, providing both service and price. Here are just a few benefits to be realized when working with a master broker:
- Experience, experience, experience
- Valuable negotiation skills
- Familiarity with documentation that is frequently unique to each state
- Access to funding sources and private investors that may not advertise
- Ability to utilize investors that only deal wholesale
- Retail Pricing with no out of pocket risk or expense to the broker
- Creative problem solving skills
- Avoidance of costly mistakes
- Ability to “earn while you learn”
- Support system to handle client calls when you are not available
To enjoy these numerous benefits you must become affiliated with a qualified master broker. Remember to ask a Master Broker these important questions:
What types of transactions do you handle?
What are my duties as a broker and what are your responsibilities as a master broker?
How is my lead registered with your company?
How and when will I be paid?
How is my fee determined and are there any limits on what I can make?
What is your policy if a client contacts you directly on future transactions?
How long have you been providing these services and do you have references?
Each company providing Master Broker Services will have individualized guidelines. Most master brokers desire you contact them with qualified leads. While they provide mentor services they do not replace the education and support of a training program.
A Master Broker can be found through word of mouth and professional organizations. Be sure to target a mentor with at least 7-10 years of experience. There are several well known and experienced Master Brokers listed in the 2009 Directory of Owner Financed Note Buyers and Service Providers.
Once you select a Master Broker providing the services that meet your needs, remember to treat the relationship with honesty and fairness. Avoid seeking quotes from multiple investors unless your Master Broker is unable to provide competitive pricing.
Remember, the Master Broker only makes a profit when you get paid so they are motivated to close your transaction. Together you can close more deals and succeed in meeting your financial goals!