Compensation

The $695 Flat Fee: How It Works, File by File

The fee is $695 per funded loan, whatever the loan amount. The math below shows what it does to the compensation you elect on three file sizes.

Interview Us See the math
The plan terms

The terms that sit around the $695

One fixed fee, plus the plan terms you need to read it correctly: the monthly LOS fee, how the fee works where W-2 employment is required, and when you are paid.

$695 per funded loan

The same dollar amount on every file, on the individual plan and the team plan.

Elect up to 275 bps

You choose the level. It is not set per file or per borrower, and there are no tiered levels: what you elect applies from the first dollar.

Changeable quarterly

You can modify your compensation election each quarter.

100% of your elected compensation, less the $695

That is the individual plan. On the team plan the same amount is shared on your agreed split. Where state law requires W-2 employment, originators receive 85% of net after the $695.

$79.99 monthly LOS fee

On the individual plan, for ARIVE with unlimited multi-device access. It is monthly, not per loan. Team plan LOS access is covered below.

Paid within 24 hours of funding

What lands is your elected compensation on that loan, less the $695, after any team split or W-2 rule that applies to you. We walk through funded-to-paid timing step by step in 24-hour payouts.

On the individual plan, two inputs set your number on a file of a given size: the bps you elect and the $695. The team split and the W-2 rule then apply to that net. The examples below use 275 bps because it is the top of the range. That makes it an illustration, not a statement of what any originator earns.

The math

The $695 on three file sizes

Here is the fee against compensation at three loan amounts. The $695 is identical in every row. Watch the third column.

Illustration at 275 bps elected on the individual plan, per funded loan, before the $79.99 monthly LOS fee. You elect your own compensation, up to 275 bps. On the team plan this net is shared on your agreed split. Where W-2 employment is required, the originator receives 85% of the net after the $695.
Loan amountComp at 275 bpsFee as % of compAfter the $695
$200,000$5,50012.6%$4,805
$400,000$11,0006.3%$10,305
$900,000$24,7502.8%$24,055
A thin folder and a thick folder side by side, each tab printed with the Innovative Mortgage mark
A thin file and a thick file. Same mark on each tab, same $695.

Reading the table

At $200,000 the fee is 12.6% of the compensation on that file, roughly one dollar in eight. At $400,000 it is 6.3%. At $900,000 it is 2.8%.

The fee did not change. The compensation it is measured against grew.

The reading cuts both ways. A flat fee is a bigger share of a small file. If your book runs mostly to smaller loans, the $200,000 row is the one to study, and we would rather you study it here than meet it on a statement.

Flat fee or percentage split

How a flat fee scales against a percentage split

A percentage split takes the same share of every file, so its dollar cost grows with the loan. A flat fee works the other way around. Its dollar cost holds still, so its share shrinks as the loan grows.

A percentage split

  • The same share of every file, at any loan amount.
  • Dollar cost rises with the loan. Uncapped and at the same bps, it takes 4.5 times as many dollars at $900,000 as at $200,000.

The $695 flat fee

  • The same dollar amount on every funded loan.
  • Share of compensation falls as the loan grows: 12.6% at $200,000 and 2.8% at $900,000 in the 275 bps illustration.

Use the 275 bps illustration above. From the $200,000 file to the $900,000 file, compensation grows 4.5 times, from $5,500 to $24,750. At the same bps, an uncapped percentage split takes 4.5 times as many dollars from the larger file. The $695 is $695 on each.

Neither structure is hidden. They scale differently. Which one costs you less depends on the split you have today and the loan sizes you close, and we are not going to invent a split to compare against. To try your own loan sizes and your current comp in bps, use the loan officer pay calculator.

Your loan sizes, your election

The table uses three loan sizes we picked. Your book has its own. The Interview Us questionnaire asks for your average loan amount and current comp in bps, so the conversation starts from your numbers instead of ours.

Start the questionnaire
The plans

The individual plan and the team plan

The $695 is the same on each. What differs is who shares the compensation and how you reach the LOS.

The individual plan

$695 per funded loan

You are compensated 100% of your elected compensation, less the $695 per funded loan. You carry the $79.99 monthly LOS fee.

Read the individual plan →

The team plan

$695 per funded loan

You and your team leader or branch manager share 100% of the elected compensation, less the $695, on a split you agree between you. You submit through the team leader's LOS access, or pay $79.99 per month for your own.

Read the team plan →

On each plan: no tiers, quotas or caps

Compensation is elected the same way on each, up to 275 bps and changeable quarterly. There are no tiered compensation levels, so the level you elect applies from the first dollar rather than after a volume threshold. There is no production quota to hit and no cap. The full plan language is on the compensation plans page.

Keep reading

Related reading

Choosing a shop

If you are earlier in the search and still deciding what kind of shop to move to, start with what to look for in a flat fee mortgage broker.

The LO comp rule

If your question is how a flat fee sits alongside borrower-paid and lender-paid compensation, the LO comp rule walkthrough covers it.

The 275 bps ceiling

More on electing up to 275 bps with no tiers in front of it, in 275 basis points: the truth about loan officer pay.

FAQ

Questions originators ask about the $695

Does the $695 change with the loan amount?

No. It is $695 per funded loan whether the file is $200,000 or $900,000, and it is the same on the individual plan and the team plan.

Do I have to elect 275 bps?

No. You elect your compensation, up to 275 bps, and you can modify the election quarterly. The 275 bps on this page is an illustration, not a statement of what any originator earns.

Is there a plan fee besides the $695?

Yes. The individual plan carries an LOS technology fee of $79.99 per month for ARIVE, with unlimited multi-device access. On the team plan you can submit through your team leader's LOS access or pay $79.99 per month for individual access.

How does the $695 work where W-2 employment is required?

Where state law requires W-2 employment, originators receive 85% of net after the $695 transaction fee.

How fast am I paid after a loan funds?

Within 24 hours of funding.

Are there volume tiers, quotas or caps?

No. There are no tiered compensation levels, no production quotas and no caps. The level you elect applies from the first dollar.

Run the $695 on your own book

Tell us your average loan amount and your current comp in bps in the Interview Us questionnaire, and the conversation starts from your numbers instead of ours.

Interview Us

Innovative Mortgage Services, Inc. NMLS ID # 250769 (https://nmlsconsumeraccess.org/)
Equal Housing Lender.