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Colorado Mortgage Broker Licensing

In response to the troubled national real estate market and Colorado's high volume of home foreclosures, efforts have increased to make higher caliber professionals involved in real estate. Licensing, rules and regulations have become more stringent for agents, appraisers, title companies and mortgage brokers.  In regards to mortgage brokers, the below items are mandatory.  No longer can someone open up the Yellow Pages, claim to be a mortgage broker and then be compensated for placing a loan --- what a novel concept.  Before committing to a mortgage broker, please make sure that they are licensed in Colorado by searching for them on the following link:


All mortgage brokers conducting business in CO must be licensed with the Division of Real Estate and pass the criminal background check. Only those mortgage brokers who are licensed or exempt from licensure by law may broker a mortgage, offer to broker a mortgage, act as a mortgage broker, or offer to act as a mortgage broker.  Licensing Conifertration and renewal is $200 every three years.

Surety Bond
Prior to licensing, an applicant for license shall post with the Director of the Division of Real Estate a surety bond of $25,000.  Yearly premium approximately $190.00.

Errors & Omissions Coverage

All CO mortgage brokers must carry Errors & Omissions coverage.  For mortgage brokers with less than five years of experience, the annual premium is $600.  With five years or greater lending experience, the premium is $500 per year.



New Pre-Licensing Education & Continuing Education

1. Complete 40 hours of licensing education and pass the two-part licensing exam (Mortgage Lending Basics & State and Federal Law) by January 1, 2009.  Approximate cost for course is $250 and $74 for the exam.
2. Complete a minimum of nine hours of continuing education every three years.