Good morning! I was just reading Jason Sardi's blog "Price Warfare in a Service Industry" and it made me think about the importance of defining our business.
A little background. I've been in the mortgage business for a little over 3 years now. It's been uphill all the way although it's smoothing out lately. When I started, things were white hot. The office I worked for was full of young people making several thousand dollars a month. Myself, I didn't know what I was doing and had little help as is often the case in the mortgage business.
What I did know how to do was build a business. While most of the other loan officers waited for their phone to ring or worked leads, I spent a lot of time out building relationships and adding to my database. Needless to say, almost all of the loan people I started with are gone from the business. I think it's because they didn't define their business.
What do I mean about the term above? Decide how you want to run your business. For me, that took almost a year. Personally, I decided I was the 1% guy (loan origination fee) and I would explain up front to all my clients how I was paid, etc. Let's face it. What we do is all about trust. In most cases, we're being chosen based on our client's trust.
The other part of the equation in defining your business is deciding how to consistently market yourself. For me, it's a couple emails/month on helpful information, making calls to my database every day, writing thank you notes, meeting for coffee, lunch, etc. with clients, reciprocal partners, and mailing to a targeted group who knows me quarterly. I know it sounds like a lot to do but think about it for a moment. What is our goal? It should be to become known as the mortgage person, realtor of choice.
Again, it's not been a fast climb for me but the future looks bright. Perhaps someone who is a quicker starter would be further along. I'm blessed to work for a fantastic company which I think is paramount. How about you? What's working for you? Have you defined your business lately?
Paul McFadden
Paul, I couldn't have said it better myself, in fact that's why I read what you said. What you are practicing is exactly what I was hinting at last week in a post I put up. Those things you do define you, will and probably have made you a lot of money. Great plan and great post. Keep working that plan.
Michael: Thanks for affirming what we both believe to be true. I'm not a big moneymaker yet but on my way. Take care.
Defining my business has never been the problem - it's the constant re-defining that needs to go on because of all of the upheaval in the industry. It takes MONTHS to establish yourself in a new niche, and then to have that niche go away overnight due to program changes - UGHHHH!!!!
But I have remained focused on an under-served niche of First Time Homebuyers, especially low income, disabled, and credit challenged. I've become adept at down payment assistance programs and improving credit scores and I regularly teach classes to any organization who will have me.
One of my biggest sources of business lately has been my co-workers, who either don't want to "waste their time" with these clients, or don't want to learn how to do these programs. The underwriters in our company now come to me for help with the guidelines too.
Let's hope I'll always have low income, disabled, and credit challenged people to serve (wouldn't it be terrible to have a world where this didn't exist?). But more seriously, let's hope lending continues to allow me access to lending programs that I can use to help.
Great post Paul - keep up the good work!
Glenn: Thank you. I believe there will always be a need for someone like you. My hat's off to you-the people you're helping may feel like miscasts. I will keep you in mind if I run across a really hard one. Right now, I seem to have the patience to help. Who knows down the line? I wish you well the rest of this year. I feel like we truly work for an extraordinary company. Yes, keeping track of changing guidelines is no fun. But it also separates the wheat from the chaff. Have a great day!
Paul - Like Glenn, defining my business, my niche, has never been a problem. I decided very early in my mortgage career what my niche was going to be and I have spent nearly eight years building and defining my career in that market.
Like you, I'm a 1% gal and have always been honest and transparent about my fees, which is somehting that is greatly appreciated among my clients and target market.
Most of my business comes from my SOI and the rest comes from my first time buyer seminars and my marketing to high end renters in my farm areas. This year my leads from my blogging have started to increase however, blogging is still a not a viable source of business for me - yet.
One day, my blogging production will start to increase. I look forward to that day and in the meantime, I have to continue to do all the things that have brought me business. If it weren't for those things, I wouldn't have the business I do have.
Donne: I wish you well. I'm heartened by most of the people left in our business. They're in it for the clients best interests. I can tell you are as well. Good luck the rest of this year!