Loan Officer in Dayton, OH

As a career analyst who’s spent years navigating Ohio’s job markets, I can tell you that Dayton isn’t just the birthplace of aviation—it's a stable, affordable hub for financial services, particularly in mortgage lending. If you're a Loan Officer considering a move here, you're looking at a market defined by a low cost of living, a steady housing demand tied to major employers, and a salary that, while slightly below the national average, goes much further here.

This guide breaks down everything you need to know, from your paycheck after Dayton rent to the specific credit unions and banks you should target for your next career move.

The Salary Picture: Where Dayton Stands

Let’s get straight to the numbers. For a Loan Officer in the Dayton metro area, the financial reality is grounded in solid, mid-level earnings.

The median salary for a Loan Officer in Dayton is $74,439 per year, which translates to an hourly rate of $35.79. This is slightly below the national average for the occupation, which sits at $76,200/year. However, this small differential is more than offset by Dayton's significantly lower cost of living.

Here’s how experience typically impacts your earning potential in this market:

Experience Level	Typical Roles	Estimated Salary Range
Entry-Level	Junior Loan Officer, Loan Processor	$50,000 - $63,000
Mid-Career	Licensed Mortgage Loan Originator	$65,000 - $85,000
Senior	Senior Loan Officer, Branch Manager	$85,000 - $110,000+ (with commission)
Expert/Executive	Regional Director, VP of Lending	$110,000 - $150,000+

When compared to other Ohio cities, Dayton presents a compelling mix of opportunity and affordability. While Columbus and Cincinnati might offer slightly higher top-end salaries (often $78,000 - $82,000), the competition is fiercer and living costs are steeper. In Dayton, your $74,439 median salary places you comfortably in the middle of the pack, with the advantage of a less saturated market for new entrants.

The job market itself is modest but stable. There are approximately 271 Loan Officer positions in the metro area, with a 10-year job growth projection of 3%. This isn’t explosive growth, but it indicates a consistent, demand-driven market, primarily fueled by Dayton’s stable government and manufacturing sectors.

The Real Take-Home: After Taxes and Rent

Understanding your gross salary is one thing; understanding your disposable income is another. Dayton’s affordability is its greatest asset for a Loan Officer.

Let’s break down the monthly budget for an officer earning the median salary of $74,439.

• Gross Monthly Pay: ~$6,203
• Estimated Taxes (Federal, State, FICA): ~$1,300 (approx. 21% effective rate)
• Net Monthly Take-Home: ~$4,903

Now, factor in Dayton’s cost of living. The metro area has a Cost of Living Index of 92.3 (US avg = 100), meaning it’s about 8% cheaper than the national average. A key driver is housing: the average rent for a 1-bedroom apartment is just $800/month.

Sample Monthly Budget (Median Earner):

• Net Income: $4,903
• Rent (1BR): -$800
• Utilities/Internet: -$150
• Car Payment/Insurance: -$450
• Groceries: -$350
• Healthcare/Insurance: -$300
• Entertainment/Personal: -$400
• Remaining for Savings/Investment: ~$2,453

Can they afford to buy a home? Absolutely. With over $2,400 in potential monthly savings, a Loan Officer on the median salary could comfortably save for a down payment. The median home price in the Dayton metro is approximately $190,000 - $215,000. A 20% down payment ($38,000 - $43,000) is achievable within 2-3 years of disciplined saving, making homeownership a realistic and timely goal.

Where the Jobs Are: Dayton's Major Employers

Dayton’s economy is a unique mix of federal government, advanced manufacturing, and healthcare. This creates diverse lending needs and opportunities for Loan Officers, especially those with experience in jumbo mortgages, construction loans, or commercial lending.

1. Wright-Patterson Air Force Base (WPAFB): The region's economic engine, employing over 30,000 military and civilian personnel. This creates a stable pool of government employees and contractors seeking VA loans and conventional mortgages. Insider Tip: Specializing in VA loans here is a major competitive advantage. Many local lenders have dedicated "VA loan specialists" on staff.
2. Kettering Health Network & Premier Health Partners: These two major healthcare systems are the area's largest private employers. Nurses, doctors, and administrators often seek mortgages quickly between relocations or due to shifting schedules. Hiring Trend: There's a growing need for Loan Officers who understand the unique income structures of healthcare professionals (e.g., sign-on bonuses, overtime pay).
3. GM Dayton Assembly Plant (in Moraine): A significant manufacturing hub. Lending here often involves working with union members whose income can be variable due to overtime. Insider Tip: Building relationships with UAW credit unions can be a lucrative referral source.
4. Fifth Third Bank & KeyBank (HQ in Cleveland): Both have a strong retail presence in Dayton. They are consistently hiring for Loan Officers, especially in their mortgage divisions. They offer structured training programs ideal for mid-career professionals.
5. Local Credit Unions: Dayton Metro Credit Union and First National Bank of Brookville are major players. Credit unions in this market are highly competitive and often offer better rates, attracting a large portion of the homebuying public. They value Loan Officers who can build community trust.
6. University of Dayton & Wright State University: With large student populations, there's consistent demand for both investment property loans (for faculty) and first-time homebuyer programs. The universities themselves are large employers with staff seeking mortgages.
7. National Lenders (Quicken Loans/Rocket Mortgage, UWM): While not headquartered here, these national lenders have a significant footprint. They offer remote work opportunities but also have local sales teams. The commission structure here can be higher, but so is the pressure.

Getting Licensed in OH

Ohio has clear, regulated pathways for becoming a licensed Mortgage Loan Originator (MLO). The process is managed by the Ohio Division of Financial Institutions (DFI).

Step-by-Step Requirements & Costs:

1. Pre-Licensing Education: Complete 20 hours of NMLS-approved education. This covers federal and state law, ethics, and mortgage lending. Cost: ~$200 - $350.
2. NMLS Nationwide Mortgage Licensing System: You must apply for an Individual NMLS ID. Cost: $30 application fee + $36.25 credit report fee.
3. State Licensing Exam: Pass the national exam (SAFE MLO) and the Ohio state-specific exam. Cost: $92.50 per exam.
4. Background Check & Fingerprinting: Cost: ~$50 - $75.
5. Surety Bond & Fees: Ohio requires a surety bond. Most employers will sponsor this, but if you're independent, it can cost ~$1,000 - $2,500 annually. State License Fee: $500.

Total Estimated Startup Cost (if self-sponsored): $1,500 - $2,500.

Timeline: From starting pre-licensing education to receiving your license, expect 3-6 months. Most employers in Dayton will hire licensed MLOs or sponsor new hires through the process if they have a strong sales background.

Best Neighborhoods for Loan Officers

Where you live affects your commute to potential employers and your ability to network. Dayton’s neighborhoods offer distinct lifestyles.

1. Downtown Dayton: Best for young professionals who want a short commute to major banks (Fifth Third, KeyBank) and a vibrant social scene. Expect a mix of renovated apartments and new condos. Rent Estimate: $900 - $1,400/month.
2. Kettering: A first-ring suburb south of Dayton, home to Kettering Health Network HQ. It’s family-friendly, with excellent schools and a quick commute to downtown. Very popular with young families. Rent Estimate: $850 - $1,200/month.
3. Oakwood: An affluent suburb just south of Dayton, known for top-tier schools and historic homes. A prime market for loan officers targeting high-income clients. Commute to downtown is under 15 minutes. Rent Estimate: $1,000 - $1,500/month.
4. Centerville: A major suburb southeast of Dayton, with a bustling retail corridor (The Greene) and a strong community vibe. Great for Loan Officers who want to tap into the local "mom and pop" business network. Rent Estimate: $900 - $1,300/month.
5. Beavercreek: Home to the Wright-Patterson Air Force Base perimeter and many tech/defense contractors. A commute to WPAFB is under 10 minutes. Perfect for building a client base among military and civilian employees. Rent Estimate: $950 - $1,450/month.

The Long Game: Career Growth

Dayton’s market rewards specialization and local knowledge.

• Specialty Premiums: Loan Officers who master VA loans (for WPAFB personnel) or USDA loans (for rural properties in surrounding counties) can command higher commission splits. Commercial lending for small manufacturing businesses is another niche with less competition.
• Advancement Paths: The typical path is from Loan Officer to Senior Loan Officer (managing a larger pipeline). The next step is Branch Manager, where you manage a team and earn override commissions. Some move into Underwriting or Sales Management at a corporate office (e.g., Fifth Third's regional HQ).
• 10-Year Outlook: With 3% projected growth, the market won’t see dramatic expansion. However, Dayton’s stable institutions—WPAFB, healthcare, and universities—ensure consistent demand. The key to growth will be digital adaptation. Loan Officers who blend traditional community networking with a strong online presence will thrive. The rise of remote work means you can serve clients across Ohio, but your local reputation in Dayton will remain your most valuable asset.

The Verdict: Is Dayton Right for You?

Pros	Cons
Very Low Cost of Living: Your salary stretches far, especially in housing.	Slower Job Growth: 3% growth is steady but not dynamic.
Stable Major Employers: WPAFB and healthcare systems provide reliable client pools.	Smaller Market: Only 271 jobs; competition for top roles is real.
Affordable Homeownership: You can buy a home years sooner than in larger metros.	Limited Nightlife/Scene: Compared to Columbus or Cincinnati, it's quieter.
Strong Local Credit Unions: Great for building a referral network.	Salary Slightly Below National: $74,439 vs. $76,200 national average.
Central Location: Easy weekend trips to Cincinnati, Columbus, or Indianapolis.	Dependent on Federal/Military Budgets: WPAFB stability ties to politics.

Final Recommendation: Dayton is an excellent choice for a Loan Officer who values financial stability and quality of life over high-stakes, high-cost markets. It's ideal for those willing to specialize (VA loans, first-time buyers) and build deep community roots. If you're seeking a place where you can buy a home quickly, save money, and build a sustainable career in a supportive environment, Dayton is a very strong contender.

FAQs

Q: How competitive is the Dayton loan market for new MLOs?
It’s moderately competitive. There are 271 jobs, so you’re not competing with thousands like in Chicago. However, you must be proactive. Your best bet is to target local credit unions and community banks for your first role, as they often provide better training than large national lenders.

Q: Do I need a college degree to be a Loan Officer in Dayton?
No, a degree is not required by law. However, most employers (especially banks and credit unions) prefer candidates with a bachelor’s in business, finance, or a related field. Your NMLS license and proven sales ability are the most critical factors.

Q: What’s the typical commission structure?
Most local employers offer a base salary (often around $40,000 - $50,000) plus commission. Commission can range from 0.5% to 1.25% of the loan amount. A Loan Officer at the median salary of $74,439 likely has a 60/40 split (60% to the officer) on their production.

Q: Is it better to work for a national lender or a local bank in Dayton?
It depends on your style. National lenders (like Rocket Mortgage) often have higher volume and lead generation tools but less local market knowledge. Local banks/credit unions offer stronger community ties and more personalized service, which is highly valued in Dayton. Insider Tip: Many successful Loan Officers start local to build a network, then transition to higher-commission national roles once established.

Q: How important is networking here?
Crucial. Dayton is a "who you know" city. Joining the Dayton Area Chamber of Commerce, volunteering for local nonprofits, and attending real estate investor meetups at places like The Dayton Realtor Association are essential. Building relationships with local real estate agents is your primary source of referrals.