MBA CMB study guide
MBA CMB · Work through your exam, one topic at a time.
The Certified Mortgage Banker (CMB) designation is a professional credential offered through the Mortgage Bankers Association (MBA), listed on the MBA site under Certificates and Designations alongside other industry credentials such as the AMP, CCMS, RCMS, CRU, and CMCP designations. The CMB program is organized into two tracks: the Residential CMB and the Executive CMB, each with its own page within the CMB section. MBA also publishes a CMB Exams page and a CMB Point Calculator, and maintains a CMB Designees listing and the E. Michael Rosser Lifetime Achievement Award within the same program area. Topics on this exam: Residential Mortgage Banking (Residential CMB) and Executive Mortgage Banking (Executive CMB). The MBA CMB study guide has 2 sections and about 725 words.
01Residential Mortgage Banking (Residential CMB)
Residential Mortgage Banking (Residential CMB) tests the origination-to-servicing chain: how a loan is qualified, disclosed, underwritten, funded, sold, and serviced, and where compliance risk arises. Origination: take a complete application; issue the Loan Estimate within three business days; verify income, assets, debts, and credit. Ability-to-Repay/Qualified Mortgage: ATR requires verified and documented income, assets, and debts; General QM uses a price-based APR spread over APOR plus points-and-fees limits, not a standalone 43% DTI test. RESPA/TILA: RESPA Section 8 prohibits kickbacks and unearned fees; TRID requires LE and Closing Disclosure timing, with fee tolerances on certain charges.
370 words, about 2 min02Executive Mortgage Banking (Executive CMB)
Executive Mortgage Banking (Executive CMB) tests how senior leaders run a mortgage bank: strategy, financial performance, capital and liquidity, risk appetite, compliance governance, and capital-markets execution. Business model: retail, wholesale, correspondent, and consumer-direct channels have different economics; channel mix drives cost to originate and control. Profitability: gain-on-sale revenue, net servicing income, MSR valuation changes, and operating cost; measure ROE and cost to originate, not volume alone. Funding and liquidity: warehouse lines fund loans until sale; covenants, advance rates, and haircuts constrain capacity; secondary-market execution affects margins.
355 words, about 2 min