Top 10 States For Lender Licensing in 2024

The goal of this article is to provide valuable insight into the current housing market to assist brokers and lenders making strategic choices about which states to acquire licensure. Using available key indicators and drawing upon our industry knowledge, we've compiled a list of the top 10 state licenses to acquire to Broaden Your Lending Power™ in 2024.

Starting with the US Census Bureau's data for 2024's fastest growing states, we identified the top 10 growing state populations. However, rising population rates have many contributing factors such as birth rates and asylum migration, which do not equate to increased home purchasing activities. So, we dug deeper.

By identifying state-to-state, or internal migration as the driving force influencing the growth of housing markets throughout the United States, and examining its causes, we were able to evaluate and determine which states we feel offer the most opportunity to lenders and brokers.

We discovered the 4 primary factors driving internal migration were:
• Affordability
• Employment Opportunity
• Quality of Life
• Freedom and Culture

We aggregated additional data from real estate markets, to labor statistics, freedom index, quality of life studies, and cultural trends and then rank ordered the results. Subsequently, clear patterns emerged, indicating which states held the most promise for lending opportunities in 2024, but we didn’t stop there. As with any objective analysis, we needed to validate our conclusions, and by utilizing available one-way moving rental equipment patterns recorded by national moving companies, we were able to corroborate our results.

#10. Georgia
Georgia’s mortgage market is thriving, partly due to its expanding industry and job growth, but thanks to its affordable housing and low overall tax burden it has found its place on our list.
Opting for the southern lifestyle, Georgia’s hospitality makes it appealing to singles and family homebuyers, resulting in it being one of the fastest-growing states in 2023 and evidenced by growing more than twice as fast as other states.

View Georgia's Mortgage Licensing Requirements

• Average Home Value: $317,982
• Current 2024 Population: 11,145,304
• State Income Taxes: 5.49% Flat Tax
• Total State Tax Burden: Tied for 7th lowest rate at 8.9%

NOTE: Total State Tax Burden includes; Property Taxes, Income tax (if applicable), Sales and Excise Taxes

#9. Texas
Texas continues to be an attractive choice for new residents. It, like other states on our list share the common attribute of no state income tax and a diverse economy. With a strong labor market, affordable homes, job growth, and a quality of life that is well rounded.
The state’s housing market benefits from a balanced supply and demand, maintaining stable pricing while offering plenty of rural and urban living opportunities for mortgage company growth.

View Texas' Mortgage Licensing Requirements

• Average Home Value: $296,582
• Current 2024 Population: 30,976,754
• State Income Taxes: None
• Total State Tax Burden: Tied for 5th lowest rate at 8.6%

#8. Nevada
Included on our list in the 8th position is Nevada whose housing market is driven by more than its favorable tax laws. While the state’s entertainment and tourism industries are historically impactful, the state also offers areas like Reno and Henderson which have seen rapid growth due to their quality of life, growing housing inventory and job opportunities.
For most of the homes purchased in Nevada there is a lender, like you, that profits.

View Nevada's Mortgage Licensing Requirements

• Average Home Value: $419,993
• Current 2024 Population: 3,210,931
• State Income Taxes: None
• Total State Tax Burden: Tied for 12th lowest rate at 12.6%

#7. Tennessee
Tennessee’s housing market is bolstered by its lack of state income tax, vibrant music culture scene, and its diverse economy. Offering a unique blend of history, culture, affordability, and natural beauty, makes it an ideal place to live.
From the bustling cities like Memphis, Nashville, and Chattanooga to the Great Smoky Mountains National Park, there's something for everyone, making Tennessee a growing source of lending opportunity.

View Tennessee's Mortgage Licensing Requirements

• Average Home Value: $306,156
• Current 2024 Population: 7,204,002
• State Income Taxes: None
• Total State Tax Burden: 3rd lowest rate at 7.6%

#6. Arizona
Arizona’s housing market has benefited from its proximity to California’s exiting population. Not only is its growth influenced by its thriving economy, but it also boasts a high paying advanced tech manufacturing, finance, healthcare and software job market. Along with a pleasant climate and accessibility to a variety of healthy, wholesome activity options, Arizona families have freedom-of-choice with innovative K-12 programs making Arizona a great place to live and lend.

View Arizona's Mortgage Licensing Requirements

• Average Home Value: $421,939
• Current 2024 Population: 7,497,004
• State Income Taxes: 2.5% Flat tax
• Total State Tax Burden: 11th lowest rate at 9.5%

#5. Colorado
Colorado’s awe-inspiring natural grandeur, outdoor recreation, and a dynamic economy benefit its housing markets. Denver, Boulder, and Colorado Springs are hot spots for both young professionals and families, offering a range of housing options from suburban homes to accessible rural homesteads. While prices are on the higher side, the state’s quality of life, economic opportunities and unspoiled nature justify the investment.

View Colorado's Mortgage Licensing Requirements

• Average Home Value: $527,413
• Current 2024 Population: 5,914,181
• State Income Taxes: 3.5%
• Total State Tax Burden: Tied for 13th lowest rate at 9.7%

#4. North Carolina
North Carolina’s strong housing market is tethered to its relatively low cost of living, blossoming tech and healthcare industries, rounded out by the strength of its education system.
Attractive to families and professionals for its temperate climate, active outdoor lifestyle options, high-quality job opportunities and natural beauty make it a center of interest to home buyers and lenders alike.

View North Carolina's Mortgage Licensing Requirements

• Average Home Value: $318,266
• Current 2024 Population: 10,975,017
• State Income Taxes: 4.5%
• Total State Tax Burden: 15th lowest rate at 9.9%

#3. Utah
Utah takes 3rd place as an attractive state for mortgage lending opportunities. With a growing technology job market, family-friendly community and strong economy it has become a highly desirable location for homebuyers looking for a better quality of life.
Utah offers both urban and rural living options with substantial room to grow in one of the most scenic and historic states in the nation.

View Utah's Mortgage Licensing Requirements

• Average Home Value: $501,653
• Current 2024 Population: 3,454,232
• State Income Taxes: 4.55%
• Total State Tax Burden: Tied for 27th lowest rate at 12.1%.

#2. Idaho
In the #2 position, Idaho meets the same desirable aspects as our #1 spot; Florida, but has a smaller population. Idaho offers an affordable real estate market, growing population, expanding job market, and desirable quality of life index, making it a great place to be a mortgage lender or broker.
With vast expanses of open spaces and rugged natural beauty that cater to the essence of traditional American values, an Idaho license is worth consideration.

View Idaho's Mortgage Licensing Requirements

• Average Home Value: $434,540
• Current 2024 Population: 1,990,456
• State Income Taxes: 5.8%
• Total State Tax Burden: Tied for 20th lowest rate at 10.7%

#1. Florida
Coming in at #1 on our list is Florida. By meeting homebuyers’ desires for home affordability, job availability, outdoor lifestyle, no state income tax, and a freedom-oriented culture the state has seen significant population growth, therefore providing great opportunities for mortgage lenders.
Warm weather, beaches and a diverse ecosystem provide a great range of opportunities to pursue quality of life activities, appealing to a wide range of freedom seeking home buyers.

View Florida's Mortgage Licensing Requirements

• Average Home Value: $388,454
• Current 2024 Population: 22,975,931
• State Income Taxes: None
• Total State Tax Burden: Tied for 9th lowest rate at 9.1%

In Conclusion:

By developing our in-depth analysis of the top 10 list of states to consider for new licensing this year using key metrics such as population growth rates, housing costs, available inventory, migration patterns, employment opportunities, and quality of life, we hope to provide the strategic insight needed to make clear and concise decisions that helps you grow your mortgage company.

As a client of The Mortgage Licensing Group (MLG) you have the assurance of our industry leadership and years of experience dealing with the multi-state and federal regulatory bodies, strategic relationships and valuable insights into the processes governing compliant, on-time MCR filing. A hallmark of MLG’s contributions is their dedication to maintaining their knowledge and understanding of the changing regulations across all 50 states as well as development of programs that support new regulated finance related licenses.

If you are new to the industry or an established lender looking to reduce your stress, risk, and resources associated with maintenance requirements like MCRs consider a strategic relationship with The Mortgage Licensing Group.

Give us a call at (866) 576-7726 or check out the rest of our site at https://mymortgagelicense.com

Sources of data cited in this article: Property values: districtlending.com, Tax Data: turbotax.intuit.com, Population: worldpopulationreview.com