Ask the Advisor
Sometimes you have questions you'd love to ask a top originator but don't know any to ask. We have your solution! Email us your question at questions@topproducerstrategies.com and we'll have our experts answer it in the next issue! What could be easier?
Meet our Panel of Experts
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Hometown Mortgage Average Loan Amount: $160,000 |
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First Rate Financial Group 2001 Volume: $174,300,000 |
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CTX Mortgage 2000 Volume: $70 Million (transitioning to a new company) |
Question:
"I have been in the business about 1.5 years and my primary target for
generating business has been real estate agents. I have managed to get a few agents who send me business, but I was curious what advice a top originator would have for someone brand new to the business, knows no one, and would like to focus on real estate agents to get business. What would you suggest that person do in those circumstances?"
Answers:
From Advisor Barry Habib:
"I have always found the best way to target Realtors was by doing a brief seminar at one of their sales meetings. I would often walk out with several leads for new purchase mortgage business.
The key to having the opportunity to speak in front of a group is to provide information on something that will pique their interest . Doing a seminar on how great you or your company are is not something a busy agent wants to sit through. But give them value, insights, tools that will help them succeed, and you will gain the appointment as well as business.
I always though that a talk on the market was a easy one to get. Every Realtor needs to know about it and needs to explain it to their customers. It is also dynamic...so each one you do is different. This may get you a regular spot in front of them. Once you are THE established authority in your market, you will have a significant advantage over your competitors. Our new product, "The Mortgage Market Guide Weekly", is specifically designed for this purpose.
This strategy sure beats bringing in doughnuts and begging for a loan."
Barry Habib
CTX Mortgage
Marlboro, NJ
www.mortgagemarketguide.com
From Advisor Sue Woodard:
"I have always found it most successful to follow these few simple steps. First - target carefully, and don't feel like you need to do business with just anyone. Ask the real estate agents that currently send you business if they know any great individual they could recommend, and why. They typically are in a good position to know who in their circle may be open to talking to a new lending partner. Ask your other referral partners such as insurance agents, cpa's, attorney's if they know any realtor they might recommend to you. Survey your refi clients or friends and family about who they used when they originally purchased their home, and why they might recommend them to someone as a great real estate agent.
Next, approach intelligently. I am personally a big fan of sending a quick handwritten note introducing yourself, mention you've heard some great things about them, and hope you might have chance to meet them and learn more about their business. Follow up by sending a personal touch like a book, such as the E-Myth or Raving Fans. Tuck your card and a little note inside saying that you enjoyed the book - hope they might as well. Super low cost, super high impact. Now simply call them up, let them know again that you have heard great things about them, and you would like to spend a few minutes together learning more about their business to see if you might be a good fit to consider doing business together.
When you get the appointment, don't go in with the rate sheets and hot pink program flyers, and proceed to tell them how great your customer service and interest rates are. Competitive rates, variety of product, and great service is the basics for even being in the game, not a "unique selling proposition"! The key is to ask intelligent questions and then LISTEN. What is everyone's favorite topic? Themselves, of course! Ask them how they got into the business, who is their ideal client, what kinds of changes or growth do they see in their business, what works really well for them with their current lending partner, what might they change about their current lending relationship if they could? You will hear some interesting answers - be sure you are taking notes!
Share with them your business plan. Yep, that means you should have one! Let them know what tools and strategies you are using to make your business great. Let them know you track market activity and keep them and their clients informed about interest rates with Mortgage Market Guide. Tell them how you can illustrate true financial comparisons very simply using the Mortgage Coach. Show them the ways you will communicate proactively, and gain referrals to share with them by using a database program like Contact!. Let them know that Loan Tool Box keeps you educated and in-tune with all aspects of the mortgage industry. Whatever tools you use, whether they are purchased or "home grown", don't keep them a secret from your business partners! There are many individuals who do not invest in themselves or their business, so this will really set you apart.
Last, follow up consistently. Work your plan and let them know about it. Keep them informed about industry changes, market movements, client feedback, anything and everything you run across that might be of interest or help their business. See a great book? Pick up a copy for them. Be sure to just pick up the phone periodically and ask if there is anything they need from you. Good, consistent communication is at the heart of any great relationship, and I believe will ultimately be your key to success with real estate agents as well."
Sue Woodard
Hometown Mortgage
Eden Prairie, MN
From Advisor Tim Braheem:
Your question is an excellent one, especially in this time where rates have gone up and loan officers are trying to pursue business from real estate partners. I think there are a couple of very specific things you should be focusing on doing.I think it would be appropriate to posture yourself as an expert in doing office presentations. This of course, is going to take some planning, work and practice but the result could be profound. Mastering a twenty-minute value-driven presentation for a real estate office, complete with handouts and a professional PowerPoint Presentation and getting yourself booked to speak in several real estate offices in your community, could open up a lot of doors for you to develop relationships with real estate agents. The real key here, is the fact that most real estate agents are accustomed to having a very bland presentation at their weekly office meeting, therefore, the bar is very low. If you think about making this your niche and really bring a tremendous amount of value, you could create great separation and literally surprise those in attendance by the value you bring.A few topics I have found to be beneficial to speak about are as follows...
1. Credit Scoring and Credit Remediation - The simple fact is, all real estate agents are indirectly impacted by credit scoring. If you can show you are knowledgeable and an expert in this area, it will create a tremendous impression.
2. Understanding the Market - Most real estate agents, and consumers in general for that matter, don't understand the market, that being the mortgage-backed security market and what makes interest rates move. If you can articulate this in a value-driven presentation, it should be a homerun and one that establishes supreme credibility.
3. Database Management and Clients For Life Type Strategies - Most realtors do a very poor job of staying in touch with their past customers. If you can bring helpful insights and tips into your lecture on things they can be doing after the close, you can really put yourself in a position to where you are bringing value.Lastly, let me say this... you need to definitely put the realtors you are working with and/or targeting on a very systemized campaign that drips value on them on an ongoing basis.Barry Habib's, Mortgage Market Guide Weekly, is a tremendous resource to be using for this purpose. Additionally, LoanToolBox.com, which is my learning platform, is jam-packed with over 100 different documents and interviews that you can drip on real estate agents weekly to add an amazing amount of value. Many of our members have achieved high levels of success doing this. They simply target 30 to 40 real estate agents and put them on a very systemized campaign. Every week that realtor is getting a Business Booster tip or an interview from one of their top producing peers on what it is they are doing to take their business to the next level. By you being a conduit to this information and giving the gift of knowledge, you will put yourself in a very valuable position in these realtors' eyes.
Best of luck to you and your success!