Loan Officer Salary Guide 2025: Median $76,690, How to Become One & Job Outlook
Loan Officers in the U.S. earn a median salary of $76,690, according to the Bureau of Labor Statistics. The mean wage hits $87,790, or about $37 per hour. Most earn between $39,430 (10th percentile) and $153,180 (90th percentile).
How much Loan Officers earn
The median annual wage for Loan Officers is $76,690. The top 10% earn over $153,180, while entry-level officers make around $39,430. Pay varies widely based on experience, location, and the type of loans they originate (mortgage, commercial, consumer).
Commission can push total compensation higher, especially in residential mortgage lending. The BLS figures reflect wages and salary only, not commissions or bonuses.
Pay by state
Massachusetts pays Loan Officers the most, with a mean wage of $101,600. Connecticut is close at $95,730, followed by New York ($95,710), Minnesota ($95,170), and Colorado ($94,520).
At the lower end, Mississippi averages $60,260, Utah $59,440, and West Virginia $57,580. Cost of living differences explain some of the gap, but rates and licensing requirements also play a role.
How to become a Loan Officer
Most Loan Officers need at least a high school diploma or equivalent, though many employers prefer an associate's or bachelor's degree in finance, business, or a related field. On-the-job training is common.
If you plan to originate mortgage loans, you must obtain a Mortgage Loan Originator (MLO) license through the Nationwide Multistate Licensing System (NMLS). That requires 20 hours of pre-licensing education, a state and federal background check, and passing the SAFE MLO test. Many states also require continuing education annually.
For commercial or consumer loans, licensing is less standardized. Strong math, communication, and sales skills are essential.
- Earn a high school diploma (or GED); consider a degree in finance or business
- Complete NMLS-approved pre-licensing education (20 hours for mortgage) – cost ~$300-$600
- Pass the SAFE MLO exam (fee ~$110)
- Submit fingerprints, background check, and credit report
- Find entry-level employment at a bank, credit union, or mortgage broker
- Maintain license with annual continuing education (8 hours)
Job outlook
Employment of Loan Officers is projected to grow 1.7% from 2024 to 2034, slower than the average for all occupations. That translates to about 20,300 openings each year over the decade, mostly due to workers retiring or leaving the field.
The slow growth reflects automation of some underwriting tasks and consolidation in banking. Still, demand for mortgage and commercial loans tied to the housing market and business investment will sustain openings.
Frequently asked questions
What is the highest-paying state for Loan Officers?
Massachusetts, with a mean annual wage of $101,600.
Do Loan Officers make commission?
Yes, many Loan Officers earn commission or bonuses in addition to base salary. The BLS salary figures do not include commission, so actual earnings can be higher, especially in mortgage lending.
How long does it take to become a licensed Loan Officer?
For mortgage loan officers, expect 2–4 months to complete education, pass the exam, and get licensed. Background checks and NMLS processing can add time.
Is loan officer a good career in 2025?
It offers a solid median salary of $76,690 and the potential for high earnings through commissions. But growth is slow (1.7%) and the field is competitive, with 20,300 openings yearly.
Salary figures are U.S. Bureau of Labor Statistics estimates (OEWS / Employment Projections). For informational purposes only; not career or financial advice. See the full Loan Officers data.