Written By: Karen Deis
It used to be that everyone and their brother contacted the Human Resource departments of local companies offering them discounted restaurant coupons, banking and insurance specials and yes, mortgage discount programs.
And the employers were so profitable (and swamped with requests), that they JUST DIDN’T CARE if they offered any additional benefits to their employees.
The new reality? In a recent survey, over 80% of employers have said that they would like to offer a package of additional benefits to their employees—especially if it costs them hardly anything to do so!
That’s why I’d like you to revisit the Corporate Employee Benefit System again!
The timing is PERFECT to offer the system to your local companies, factories, and yes, even church groups, non-profits and clubs you belong to.
Do you have a plan to generate new business in 2010?
Right now, you have enough information in your closed files to set up a Corporate Benefits marketing program – and have employers start referring business to you within 2 months’ time.
The workplace is a “family nucleus”, just like a traditional family. They talk to each other. They talk about the latest movie; ballgame; local news and yes, who they used as a mortgage lender and what interest rate they got!
Now that I’ve got you thinking abut how to generate more referrals this year—I also want to tell you that it’s a pretty easy system to implement and sustain. The 44 companies that I signed up, did not happen overnight—it took 3 years to get to that number — but I was able to sign up one or two companies EVERY SINGLE MONTH! And, you can, too.
Here are some tips on how to develop a Corporate Benefits Program in your back yard.
The Magic Number Is $1000 – It all begins with getting your vendors, who are involved in a mortgage transaction, to discount their fees. Ask the title company to reduce their closing fee. Talk to the surveyor, home inspector, your processing fee, etc. Review a couple of HUD 1s and see where you can discount the fees.
Find a real estate attorney (not the one from the title company) who will offer to review contracts or closing docs for free for one hour. Attorneys charge about $250 per hour so the “value” to include with your magic number is an additional $250.
This is a MUST! Develop relationships with 3 or 4 real estate agents who will pay $500 in closing costs for clients you refer to them. This is not a RESPA violation and best of all, they pay nothing until the deal closes because it’s deducted from their commission (and given as a credit to the buyer) at the time of closing. The dollar amount can apply either to a purchase or sale of a home!
So what if the client is not able to use the entire $1000 discount (like a refinance) but you have still put together a “package of discounts” worth $1000+.
Target Companies You Want to Do Business With – This is where your closed loans come in handy. If you keep track of “employer names” in your database, you can do a quick “search”. What you are looking for are names of people who you have done loans for who work at the same company. These are the companies you need to start with.
Start with smaller companies (50 to 100 employees). They are more receptive to your offer because they simply don’t have the “negotiating power” that a larger company might have. By starting small, it not only gives you an opportunity to “practice” your presentation, but also a chance to accumulate a list of companies who are participating in your program so you have a referral base when it comes time to call on the biggie companies!
Start With a Letter – On the 5th of each month (mark it in your calendar) choose 5 companies and sent them a letter. It takes only 2 hours (of your time) a month.
Download a sample letter.
Review the free sample letter that you just printed and follow up with a phone call on the day you said you would call them. The goal is to get two, face-to-face appointment (from your 5 letters) and sign up one company per month!
Getting Endorsed – So you’ve made your presentation and the company has agreed to add you as their “preferred lender”, you need to create Employee Benefits Brochures to distribute and posters to place in the break room.
You need to agree upon a “game plan” on how the company plans to get the word out that you are offering discounted services when they sell, buy or refinance their mortgage. A word of caution: If the company will not distribute the brochures and make a formal announcement, DO NOT sign them up. The whole goal is to get your name out to their employees. It’s not worth your time or expense of printing brochures if they’re going to sit in a file or in a pile in the break room.
Do The Math – You are successful in signing up one company per month. They have (just to be on the conservative side) 250 employees. That’s 3,000 people in your community who have been told by their employer (the one who issues them their paycheck) that you are their preferred mortgage company.
What other system allows you to spend about 24 hours a year (yes, a year) in marketing time spent and get 3,000 potential clients?
None that I know of!
Copyright - 2010 - LoanOfficerMagazine.com
