Realtors and Mortgage Originators Working Harder than Ever

I know, realtors and mortgage people don't have a very good reputation right now.

But the good news is that this mortgage mess and housing slowdown are doing good things to the industry.

Last year the State of MN implemented a licensing program for mortgage originators. Believe it or not, in the past, there was no requirement to have a license. Now all mortgage people need to get training, hold a license, and even have a net worth of $250k in their business. This is good news.

Already the number of people working as mortgage originators has fallen. And it has fallen a lot. So hopefully the bad eggs and the part timers are getting out of the business, leaving the work to be done by the pros.


Same thing is happening to Realtors. We are losing Realtors. There are lots of Realtors that do one or two transactions per year -- which isn't enough to cover the costs of the required continuing ed and the annual dues to the local Realtor's Association (which is required to do the job -- it gives access to the MLS).

Doing one or two transactions per year just does not allow a Realtor to stay up to date on all of the latest laws and trends in real estate.

So when the annual Realtor's Association board dues came around in November -- $398 -- about 400 Realtors decided not to renew their license.


It's just going to be harder. Harder for mortgage people and Realtors that used to make lots of "easy money" in the boom years. Clients are taking more time, and spending less, than they used to. Realtors and mortgage people will feel this in the pocketbook. And many of them will quit. Or sell their homes and Lexuses.


There are also rumors of entire real estate offices closing. I don't have good information on this yet, but you will hear it here when I know for sure.


(For the record I am still going gangbusters and am currently shirking a thousand responsibilites by writing this post.)