The mortgage loan broker must first of all obtain the application for a loan and then find a lender with whom to place it. This application should definitely state the amount of loan desired, the rate of interest the borrower is willing to pay, the number of years the mortgage is to run, the installments, if any, to be paid on the principal during the term, a diagram or description of the property offered as security for the loan, the particulars of the improvements on the property, the rents being received and the terms of the leases. It is well also to know the name of the bondsman as lenders frequently consider the bond offered in connection with a loan. The owner usually states the value he places upon the property. There should also be an agreement to pay the broker's commission if he succeeds in placing the loan, and if the authorization is exclusive for a specified period the broker will be better protected.4

3 See Appendix, form 78.

4 For a loan broker's blank see appendix, form 77.

Management

Some brokers do a large business in the management of property for others. They collect the rent, order the repairs, hire and pay the employees and generally take the owner's place in running the building. They receive a percentage of the rents collected as compensation for their services.