Does the state require a physical location within the state?
Yes.

Is there individual loan officer licensing?
No. However, loan originators must be individually registered beginning January 1, 2009.

What are lenders, brokers and loan officers called?
Arizona uses the terms mortgage broker, mortgage banker and loan originator.

What is the cost of a license? Surety bond? Are there net worth requirements?
The cost to apply for an Arizona mortgage banker license is $1,500.

The cost to apply for a mortgage broker license is $800. Additionally, the applicant must enclose with the application a $24 processing fee for each required fingerprint card.

Licensees must have and maintain a "brick and mortar" Arizona office operated by a designated "responsible individual" who is an Arizona resident employed by the company, is active in its management, and who has at least three years' experience in the business of making mortgage banking loans or equivalent lending experience in a related business.

The applicant must provide a surety bond in the amount of $25,000, provided that the applicant's loan investors are strictly institutional investors. If the applicant's investors are not limited solely to institutional investors, then the bond amount is based on the licensee's total assets. The bond amount ranges from $25,000 to $100,000.

Upon application approval, the department will assess an annual fee of $1,250 for the first office and $250 for each branch office.

Renewal fees are due on or before March 31.

Is there a pre-licensing education requirement? Is there a test?
The responsible individual for a mortgage broker applicant must attend a mortgage broker school and pass a state broker examination prior to licensing.

Is there a CE requirement?
No.

Are there different requirements for mortgage brokers and mortgage lenders (i.e. can you broker under a lender license?).
Arizona issues separate mortgage banker and mortgage broker licenses.

Are there any state specific high cost loan provisions?
No.

Are there any state specific predatory lending laws?
No.

Closing practices – attorney or title state? Wet or dry settlement?
Arizona is a good funds state by statute.

Are there 2nd mortgage policies and/or restrictions? Do you need a separate license to do 2nd mortgages?
No.

Who is the regulator and what is their contact information?
Arizona Dept of Financial Institutions
2910 North 44th Street, Suite 310
Phoenix, AZ 85018
Phone: (602) 255-4421
Fax: (602) 381-1225
http://azdfi.gov
DISCLAIMER: The data contained here is for informational purposes only. It should not be the sole resource for licensing decisions. Please consult the regulator and/or an attorney that specializes in these matters before taking action.

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