Loan Officer in Bloomington, MN

The Salary Picture: Where Bloomington Stands

As a local who’s watched the Twin Cities job market for years, I can tell you that Bloomington is a stable, middle-of-the-road choice for a Loan Officer. The data confirms it. The median salary for a Loan Officer here is $77,228/year, which breaks down to an hourly rate of $37.13/hour. This is essentially on par with the national average for the role, which sits at $76,200/year. It’s not a premium market like San Francisco, nor a low-wage region. It’s a solid, dependable baseline.

The broader metro area, which includes Minneapolis and St. Paul, has approximately 174 openings for Loan Officers at any given time, indicating steady, if not explosive, demand. The 10-year job growth for the profession is projected at a modest 3%. This isn't a field poised for a boom, but it’s not in decline either. For a Loan Officer, this translates to a market where you need to be good at your job to advance, but you can build a long-term, stable career.

Experience-Level Breakdown:

Level	Typical Experience	Salary Range (Bloomington)	Key Responsibilities
Entry-Level	0-2 years	$58,000 - $68,000	Processing applications, basic underwriting support, client intake.
Mid-Career	3-7 years	$68,000 - $85,000	Full underwriting, managing loan portfolios, building client relationships.
Senior	8-15 years	$85,000 - $105,000	Complex structuring, mentoring junior officers, managing large accounts.
Expert	15+ years	$105,000+	Commercial lending, specialized areas (VA, FHA), branch management.

Comparison to Other MN Cities:

City	Median Salary	Cost of Living Index	Notes
Bloomington	$77,228	104.5	Balanced market. Good for steady growth.
Minneapolis	~$80,500	104.0	Slightly higher pay, but fierce competition.
St. Paul	~$78,000	102.5	Slightly lower pay, similar competition.
Rochester	~$75,000	100.0	Lower pay, but much lower rent. Mayo Clinic creates unique lending needs.
Duluth	~$71,000	95.1	Lower salary, significantly lower cost of living.

The Real Take-Home: After Taxes and Rent

Let’s get real about the budget. A single filer earning $77,228/year in Minnesota (with a state income tax of 5.35% + federal) will take home approximately $58,500 annually, or about $4,875 per month. This is before any 401(k) or health insurance deductions.

Monthly Budget Breakdown for a Loan Officer Earning $77,228:

Category	Estimated Monthly Cost	Notes
Take-Home Pay	$4,875	After federal & state taxes.
Rent (1BR Avg.)	$1,327	Bloomington average.
Utilities	$250	Includes Xcel Energy, CenterPoint, internet.
Groceries	$400	For one person.
Transportation	$250	Car payment/insurance or Metro Transit pass.
Health Insurance	$300	Employer-sponsored plan.
Retirement Savings	$385	10% of gross.
Discretionary/Lifestyle	$1,963	Left for dining, entertainment, savings, debt.

Can they afford to buy a home? It’s possible, but tight. The median home price in Bloomington is around $350,000. With a 20% down payment ($70,000), a mortgage payment (including taxes and insurance) would be roughly $1,900-$2,100. This would consume about 40% of the take-home pay, which is above the recommended 30% guideline. As an insider tip, many successful LOs here partner with a spouse or wait until they’ve moved into a senior role (earning $90k+) before buying. Renting a quality 1BR in a good neighborhood like Normandale Lake or near the Mall of America is a very common and financially sound choice for early-career professionals.

Where the Jobs Are: Bloomington's Major Employers

Bloomington’s economy is a mix of corporate headquarters, healthcare, and commerce. The job market for Loan Officers is anchored by these institutions. You’re not just looking for a "Loan Officer" title; you’re looking for the type of lending these entities do.

1. TCF Bank (Headquarters in Charlotte, NC, but major Twin Cities presence): They have a massive retail and commercial banking footprint in Bloomington. They hire for personal bankers who often transition to loan officers, and they have dedicated commercial and mortgage lending teams. Hiring is steady, especially for those with strong sales backgrounds.
2. Wells Fargo (Multiple Branches & Loan Centers): A perennial employer for mortgage and consumer loan officers. Their Bloomington branches see consistent turnover, creating openings. They have a large mortgage operation in the metro; knowing their underwriting guidelines is a key local skill.
3. U.S. Bank (Major Metro Presence): Similar to Wells Fargo, U.S. Bank has a strong retail and commercial presence. They often hire for their "Home Mortgage Consultants" and business banking roles. They value local knowledge, especially for commercial loans tied to Bloomington’s commercial real estate.
4. Allina Health (Headquartered in Minneapolis, major Bloomington clinics): While not a lender, Allina is a massive employer. Their employees need mortgages, auto loans, and business loans. Building relationships with their HR and employee benefits teams can be a lucrative niche for a loan officer specializing in physician or professional practice loans.
5. The Mall of America (MOA): The largest employer in the state. The constant churn of retail businesses and the sheer volume of employee payroll creates a unique micro-market for personal loans, auto financing, and small business lines of credit. A loan officer with a desk nearby can do well.
6. Ameriprise Financial (Headquarters in Minneapolis): A major financial services firm. While they focus on wealth management, their advisors frequently work with loan officers for client portfolio lending (securities-backed lines of credit) and real estate financing. Networking here is about referrals, not direct employment.
7. Local Credit Unions (Wings Financial, Affinity Plus): Credit unions are huge in Minnesota. Wings Financial, headquartered in nearby Minnetonka, has a strong Bloomington presence. They often offer competitive rates and a more community-focused lending environment, which can be appealing for a Loan Officer who dislikes the corporate banking grind.

Hiring Trends: The market is competitive. Entry-level roles are increasingly filled by candidates with sales experience (e.g., from retail, telecom). The true growth is for Loan Officers who can specialize—commercial real estate, SBA lending, or complex residential (like jumbo loans for Lake Minnetonka area properties, even though it's outside Bloomington, many clients live there).

Getting Licensed in MN

Minnesota requires state-specific licensing through the Minnesota Department of Commerce. It’s not a simple process, but it’s straightforward.

• NMLS (Nationwide Multistate Licensing System) Requirement: You must obtain an NMLS ID. The state license is tied to this.
• Pre-Licensing Education: You need 24 hours of approved mortgage education. This can be done online through providers like The CE Shop or Kaplan. Cost: $150 - $300.
• State Exam: After coursework, you must pass the Minnesota state exam. The exam fee is $75. You’ll also need to pass the National components (SAFE MLO Exam), which is included in the test.
• Background Check & Credit Report: Fingerprinting and a credit report are required. Cost: ~$75.
• License Application & Surety Bond: The application fee is $125. Minnesota requires a $125,000 surety bond for mortgage lenders. As an individual MLO, you’ll be covered under your employer’s bond, but if you go independent, this is a major cost.
• Timeline: From starting your education to being fully licensed and hired, expect 3-6 months. The biggest delay is often finding a sponsoring broker or bank to employ you while you complete the process.
• Continuing Education: 8 hours annually to keep your license active. Cost: ~$100 - $150/year.

Insider Tip: Many Bloomington banks and credit unions will pay for your pre-licensing education if you commit to working for them. It’s worth asking about during interviews.

Best Neighborhoods for Loan Officers

Where you live impacts your commute, networking, and lifestyle. Here’s a local’s take:

1. Normandale Lake Area: This is the heart of Bloomington. You’re minutes from the MOA, the airport, and major employers like Wells Fargo and TCF branches. Rents are slightly above average, but the commute is unbeatable. 1BR Rent: $1,400 - $1,600. Great for a young professional who wants to be in the action.
2. South Loop: A newer, walkable district with townhomes and apartments. It’s a bit more residential but still central. The vibe is quieter, with good parks. 1BR Rent: $1,350 - $1,500. Ideal for a loan officer who works from home some days and wants a peaceful environment.
3. Old Town/ Historical District: Charming, with older homes and a strong sense of community. Commute to downtown Minneapolis is easy via I-35W. It’s less corporate, more "neighborhoody." 1BR Apt (in older building): $1,200 - $1,400. Good for those who value character over new amenities.
4. Near the University of Minnesota (West Bank, just north of Bloomington): If you work at a bank with a downtown Minneapolis office, this is a prime spot. You get city energy with easy access to Bloomington employers via transit. 1BR Rent: $1,450 - $1,700. Best for a social loan officer who wants city nightlife but works in the south metro.
5. Edina (Adjacent to Bloomington): Generally more expensive, but it’s where many high-net-worth clients live. If you specialize in jumbo loans or work for a private bank, living in Edina can be a strategic networking move. 1BR Rent: $1,600 - $1,900. A premium choice for career-focused loan officers aiming for the top tier.

The Long Game: Career Growth

The 10-year job growth of 3% tells you: advancement is about specialization and networking, not waiting for new positions to open.

• Specialty Premiums:
  • Commercial Real Estate (CRE): The median salary for CRE lenders in the Twin Cities can be $20k-$40k higher than residential. Bloomington’s commercial corridors (near the MOA and along Lyndale) are active.
  • SBA Lending: Specializing in Small Business Administration loans offers high fees and steady work. Local banks like Bremer Bank are active here.
  • Physician/Professional Loans: Partnering with Allina or other healthcare systems can lead to a lucrative niche. These clients have stable, high incomes but often high debt from student loans.

Advancement Path: Entry-Level MLO → Senior MLO → Branch Manager or Sales Manager. Many LOs in Bloomington eventually move into management at a local bank branch or open their own mortgage brokerage (after 5-10 years of experience and building a book of business).

10-Year Outlook: The role will become more tech-driven. Automation will handle simple pre-approvals, so the value of a Loan Officer will be in complex structuring, relationship management, and commercial lending. The local market will likely see a slight consolidation, with smaller brokerages being acquired by larger regional banks.

The Verdict: Is Bloomington Right for You?

Pros	Cons
Stable, Balanced Market: Median salary $77,228 aligns with national average.	Modest Growth: 10-year growth of 3% means advancement requires initiative.
Central Location: Easy access to MSP airport, major employers, and downtown Minneapolis/St. Paul.	Competitive: You’re competing against a large, educated metro workforce.
Affordable Rent: Avg. 1BR at $1,327 is manageable on a mid-range salary.	High Taxes: Minnesota’s state income tax (5.35% + progressive brackets) reduces take-home pay.
Diverse Employer Base: From corporate banks to credit unions to healthcare.	Winters Are Long: The climate can be a significant lifestyle adjustment.
Strong Professional Network: Active local chapters of NAHREP, MBA, and other orgs.	Cost of Living Index (104.5) is above the U.S. average (100).

Final Recommendation: Bloomington is an excellent choice for a Loan Officer seeking a stable, long-term career without the extreme volatility or cost of coastal markets. It’s ideal for mid-career professionals looking to specialize or for those who value work-life balance in a well-connected suburb. If you’re a high-achiever targeting the absolute top of the income bracket, you may need to target Minneapolis or specialize aggressively in commercial lending. For the majority, Bloomington offers a sustainable and rewarding path.

FAQs

1. Do I need a college degree to be a Loan Officer in Bloomington?
No, Minnesota state licensing does not require a bachelor’s degree. However, most major employers (banks like Wells Fargo, U.S. Bank) strongly prefer candidates with a degree in finance, business, or economics. For credit unions and smaller brokerages, relevant work experience in sales or finance can substitute. As a local insider, I’ve seen many successful LOs with degrees in unrelated fields who excelled in sales first.

2. How is the work-life balance for Loan Officers here?
It varies by employer. Bank-based LOs often have more standard hours (8-5) but may have sales quotas. Mortgage brokers can have more flexibility but work more unpredictable hours, especially during peak closing periods (spring/summer). The commute within Bloomington is generally short, which helps. Most professionals I know in the area value their evenings and weekends, and the culture supports that.

3. Is it better to work for a big bank or a local credit union?
Big banks (Wells Fargo, TCF) offer structured training, higher base salaries, and clear paths to management. Credit unions (Wings, Affinity Plus) often provide a more community-focused culture, better interest rates for members, and potentially more autonomy. The trade-off is typically between corporate structure and local feel. Your choice should depend on your personality and career stage.

4. What’s the biggest mistake new Loan Officers make in Bloomington?
Trying to be everything to everyone. The market is too broad. The most successful LOs I know here picked a lane early: either they became the go-to person for first-time homebuyers in the South Loop, or they mastered commercial lending for businesses near the mall. Specialization is key in a market with 174 jobs and modest growth.

5. Can I commute from Minneapolis to Bloomington for a Loan Officer job?
Absolutely, and many do. The commute via I-35W or I-494 is straightforward, though rush hour can add 20-30 minutes. Many banks have offices in both downtown Minneapolis and Bloomington, so you might find a role that lets you work from a closer office. If you live in Northeast Minneapolis, the commute to Bloomington is reverse-commute, which is a major advantage.