Unlocking Long-Term Fulfillment in Mortgage Broking

Broking opens a door to enduring fulfillment and satisfaction.

Vantage broker Bechara Boutros is eager to welcome new talent into the mortgage broking industry. Based in Adelaide, Boutros expresses concern that the career he cherishes is often overshadowed by the seemingly more glamorous world of real estate. Social media often paints real estate agents as living a life of luxury and success, enticing many eager dealmakers into that field instead of finance broking, despite their intrinsic connection. “Real estate is appealing because it’s shareable and social,” Boutros explained during a conversation with MPA. “These young agents showcase attractive properties they probably can’t afford themselves, living a dream through someone else’s life.”

He noted that the allure of freedom and self-expression in real estate is tempting. Broking, however, is deeply data-oriented, involving long hours with detailed Excel spreadsheets. “To be frank, it can seem dull,” Boutros admitted. His typical day involves significant office time with his team, professionals, or clients, leading him to ponder, “Would you prefer spending hours calculating rates, or exploring luxurious properties in person?”

Even as Boutros acknowledges the lure of real estate, he’s equally passionate about broking’s potential for long-term rewards. While real estate offers its perks, he values the enduring client relationships broking can build. It’s about adding true value rather than just finalizing a deal.

He emphasizes, “Would you rather have a series of transactions or build a reputation for repeat business and ongoing income?” As an experienced broker, “We offer insights that are simply not available online,” he said. “Clients can’t Google or ask ChatGPT for specifics on a lender’s construction policy for self-employed individuals with unique circumstances.”

The perception of brokers as trusted advisors is gaining momentum, reflecting their expanding role in residential and commercial markets.

Indeed, real estate agents tend to earn more from luxury home sales than brokers from similar deals, which captures young people’s attention, Boutros acknowledged. But that’s only part of the picture. “They miss seeing the seasoned business owners with thriving ventures and trail books built on client loyalty.”

Top brokers look beyond transactions to retain clients over the years, becoming their go-to source for future finance needs, from refinancing to commercial and equipment loans. This approach is particularly vital in today’s diverse market.

Brokers might not bask in viewing high-end homes, but the savvy ones can develop lucrative trail books, creating income beyond the typical point of sale – possibly for generations.

“Money’s most exciting aspect, perhaps unfortunately, is spending it,” conceded Boutros.

Boutros posed a thought: How important is your weekend? Crafting a career adaptable to his lifestyle was pivotal for his shift from banking to broking.

Mortgage broking undoubtedly demands commitment from the start, as mastery of any skill does.

Yet, unlike an estate agent, building a profitable trail book offers financial stability. “Agents must constantly feed their system. There are no ongoing management fees or income – just a cycle of listing, selling, and earning,” Boutros explained. “Without a team, a rent roll, or a rental agency, agents must perpetually seek new stock to sustain their earnings.”

Having spent 16 years in the field, Boutros appreciates the deep satisfaction mortgage broking can bring. “The effort invested in helping a client secure a much-desired home or improve their financial standing is immensely rewarding.”

Boutros advocates for government initiatives to attract more brokers through subsidized apprenticeships. “Welcoming apprentices under a structured training program benefits everyone,” he proposed. “Apprentices gain essential skills and business owners expand, while the government successfully engages more youth in skilled employment.”

Subsidized apprenticeships could significantly scale brokerages. “Brokers facilitate 75% of home loans, clearly preferred by homebuyers,” he stated. “But, regrettably, much talent drifts to real estate. Both professions require similar skills: lead generation, building trust, compliance, among others.”

Is he concerned about market saturation with over 22,000 brokers counted recently? Not at all. Boutros believes that more brokers mean healthier competition, benefiting the industry. “High-performing brokers enhance our field collectively. Conversely, when low-performing brokers fall short, it highlights the excellence of good brokers,” he said.