Second Place is Just the First Loser.

Written By: Doug Smith, a 26-year mortgage industry veteran who teaches loan originators the art and science of selling. For books, CD and coaching program, please visit DougSmithOnline.com or to hire Doug for your next event, visit MortgageSpeakersBureau.com to view a short video clip of Doug's presentation.

Estimates are that we as an industry will fund around $1.7 trillion in loans this year. That’s expected to be down 20% from 2009. The demand for mortgages will shrink as lenders and loan originators prepare for a competitive year ahead. There are only so many loans to go around in your market every month, and it’s my guess that you want to get your fair share, maybe even more than your share. How are you going to make that happen?

To compete in this tighter marketplace you are going to have to get aggressive, perhaps more aggressive than you are used to. These are tough times, and wimpy mortgage originators won’t last through them. You know what they say: “When the going gets tough…”

Here are five ways you can beat your competitors to the business this year:

1. Get on the street and talk with your referral targets on a weekly basis. Most mortgage salespeople, even the experienced ones, don’t get out much. They lose touch with their clients and their relationships grow stale. Showing a Realtor, builder, or other referral partner some extra attention by stopping in once a week for a brief visit can mean a shot at a loan your competition will never see.
   
   
2. Counter-offer. If a borrower says he is already talking with, considering, or has applied with another lender, don’t give up just yet. Say to the borrower: “This is a big transaction and a lot of money on the line. Give me 15 minutes and let me see what I can do for you. I might be able to save you some money now or in the long run.” Every loan is fair game until it is officially closed and funded. Ask for these opportunities. You have nothing to lose. Read Article: Wait, Don’t Hang Up (Joe Gross).
   
   
3. Power up your marketing. Take advantage of the fact that many of your competitors do no consumer direct marketing or are pulling back. Now is the time to increase your activities and frequency! More letters, more first-time buyer seminars, more marketing to apartment complexes advertising and more community networking will generate more leads and loans over the coming months.
   
   
4. Be in first place. Timing is critical to who gets the loan. It’s often the one with the fastest response or the one who can set up the appointment first. Work with a sense of urgency in returning phone calls, following up on leads and setting up appointments. Leave reading your emails and file work for later. It’s a race to the customer, and there are no prizes for coming in second.
   
   
5. Outwork your competitors. By simply putting in more hours every week than the next originator, by getting to work sooner and staying a little later, you give yourself opportunities at loans you might have never had. Many originators today work only five or six hours a day. More hours at work means more time available for prospecting, and that allows you to land more loans.

Copyright - 2010 - LoanOfficerMagazine.com

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