The Mortgage Cicerone - The Loan Attraction Coach - Con

Denial Ain't Just A River In Egypt

Whenever I'm speaking to a group or talking individually to Loan Officers (LO's), I often equate business with war, noting their job as a professional demands sound planning, has winners and losers, requires ammunition, features a chain of command and so on. Yet, I always conclude by pointing out that business does have a few major advantages over war:

1. no one gets killed...at least they shouldn't (and)
2. You can always change armies

Changing armies and the honest self assessment that is often required to do so are really the questions at hand. If you are currently in a work environment that does not meet your personal standards for quality, ethics or orientation toward the customer, you should consider moving on. Too often, LO's will stay with an "army" that is wrong for them. The reasons can be endless:

• Do not have the time
• Do not have the contacts
• It's really not that bad here
• Lack of visibility in the market

But, in the final analysis, they are all rationalizations and unconvincing ones at that.

When in this situation, there is a danger because salespeople are a persuasive lot and will go to great lengths to sells themselves an idea. If that idea does not work, the possibility of denial and self-deception looms. You have to be on your guard and make a special effort to be brutally honest with yourself about the direction both you and your company are headed.

Why? Because it is your career on the line.

You want to work toward developing productive, mutually beneficial relationships with all the people on a professional basis. If you find that your sales network is not doing that for you and subsequently leaving a trail of angry clients and referral partners in your wake because of this misalignment, you are asking for trouble.

Some LO's play games with themselves. They try to rationalize a situation that is inherently manipulative or abusive. They delude themselves about the nature of the reality they are building into their lives. Do not be one of them. Do not set yourself up for the fall.

You have to feel a sense of mission in your gut. You have to believe in your cause. You have to know in the marrow of your bones that your efforts are in line with your value system. You have to know that the system in which you operate encourages only productive, straight shooter interactions.

However you identify your goals, you must be certain that they are morally right before you pursue them. You must know instinctively the benefit people will derive from working with you and you must believe in your heart that your company's efforts are for the best.

Otherwise you may well find that you have some difficulty succeeding

Additionally, look at yourself and honestly determine if you are the problem and not the company in which you work...it can be a two way street.

As Mark Twain so wisely told us: "Denial Ain't Just A River In Egypt"

Increase Your Likeability Factor

Tim Sanders gets it! When people like you, they are more likely to refer and do business with you. Do you put people's needs first? Do you do stuff for individuals without keeping a scorecard? Are you a selfless resource for your friends, clients and co-workers? Do you make yourself emotionally attractive to others?

Listen to this clip from Tim and let him inspire you like he has so many other salespeople! Scroll down the page and click on video.

Likeability Factor

Tim Sanders gets it! When people like you, they are more likely to refer and do business with you. Do you put people's needs first? Do you do stuff for individuals without keeping a scorecard? Are you a selfless resource for your friends, clients and co-workers? Do you make yourself emotionally attractive to others?

Listen to this clip from Tim and let him inspire you like he has so many other salespeople! Scroll down the page and click on video.

Likeability Factor

What Does Your Photo Say About You?

A New Post by Rhonda Porter
Mortgage Broker/Licensed Originator 510-LO-32047 - Washington
Read other posts by Rhonda Porter

Many of us, including yours truly, use a personal photo for our marketing.   Perhaps you have one on your business card, website or are using as  part of your email signature.   Have you ever thought what message you are sending to potential clients?   Does your image say "I'm professional" or "I'm sexy or cool"?  A few years ago, I hired a marketing professional who specialized in marketing for real estate agents.   He is the one who had the idea of taking the photo of "the head" (this is what my husband affectionately calls my current photo that I use "professionally").

I'll pick on me as an example.  Here is my one of my old photos (taken maybe 3-6 months prior to the one I currently use)...I had another one taken at the same time in more of a "suit" but I can't seem to find it.  I really don't think that it says "I'm sexy"...I thought it said "I'm friendly, business casual and easy to talk to...I'll help you with your mortgage".   My husband (then fiance) thought it said, "I'm a little flirty--look no wedding ring."  It's kind of funny the different thoughts and judgments people will make from a photograph.  Yes, we are judged and a consumer may select you or not based on a photo on your business card.  It's a first impression.

Here is what my marketing adviser recommended:

• He had me remove my photo from my business card completely.  Why have someone select you  based on how you look?   If they want to know more about you, they can (and should) visit your website/blog and ask the referrer what they like about you.
• Created a new photo (pictured right) that was zoomed in on my face.  It doesn't show that if I have long or short hair (I had actually just donated my hair when that photo was taken)--it's just my big head.  His idea (and mine) is that the photo is very "straight forward"...there is no fluff.   There was no soft lenses used and he did want me to wear my glasses.  I stopped there.  For one, I typically don't wear them.
• We did create a logo too but honestly, I don't think we need logo's or slogans to be successful Mortgage Professionals.

At one point, I did have my photo as part of my email signature, I have since removed that as well in the interest of keeping the size of my emails smaller for me and my clients.

I'm not saying in anyway that my photo is perfect--it's not.  Far from it.  I'm probably due for a new photo.  I had several  people last week at Inman Connect in San Francisco say that they didn't recognize me at all and/or that they think I look younger than my photo (I'll hang onto those words!) which was taken about 6 years ago.  This is what my marketing person was attempting to create with my photo: maturity, professionalism, honesty and knowledge.   However,  I may have to update this photo in order to maintain congruency.  I do think it's important that if you do use a photo in marketing (blog, web, fliers, etc.) that it should really look like you.   You are probably better off having no photo at all in your marketing than something that is not representing you effectively or one that sends out a message you are not intending.

What boils down to is do you really want to work with someone who selects a lender based on what they look like?   Photos evoke emotion and judgment.   Just who (and what) are you trying to attract?

Using Business and Greeting Cards Effectively

Business cards and greeting cards almost go hand in hand when being used for marketing and business purposes. With a few exceptions. One is bigger than the other, and needs a postage stamp in order to get to it's desired location, as opposed to the business card which is handed directly to a person or dropped into a fish bowl in the hopes of winning an office party.

Here are a few tips on how to use the business card and greeting card as a sales and marketing tool.

The Business Card

This tip is not just about what you can do with your business cards, it's about what you can do with other peoples business cards once you receive them.

A business card is normally exchanged before, during, or after a conversation you have with a person. The next time someone hands you a business card, try to remember something positive about the conversation you had, perhaps something personal the person might have said.

Than write it down on the business card so the next time you call them or see them, you can bring it up again.

I once had a business relationship with a person who is now a friend of mine. We met at a business card exchange, as we stood talking over our coffee and donuts, I mentioned how I loved Boston creme donuts. Without my knowing, he wrote that down on the business card I gave him, and every time he and I got together, he made sure to bring along Boston creme donuts. It wasn't until later that he told me his secret.

People are impressed with things you remember about them, it makes them feel that the conversation the two of you had was important to you, and it will give you credibility.

This is a great way to strengthen your business relationships in order to obtain referrals.

The Greeting Card

In this day and age of the Internet, we seem to have lost the personal touch we once had with one another.

Most of this personal touch has been replaced with e-mails, e-cards, fax machines, and cell phones.

Don't get me wrong. I'm all for progress.

That being said, don't ever underestimate the power of a hand written note or card, it speaks volumes and means a lot to people.

Have you ever heard of someone deleting a Hallmark?

Keep a Rolodex or tickler file handy of all your customers upcoming birthdays, anniversary's, and special occasions. Send them a card with a hand-written message on the inside, they will love the fact that you remembered them at a time that is important to them.

The same goes for holidays, and don't forget Arbor day.

Continue reading "Using Business and Greeting Cards Effectively" »

Business cards and greeting cards almost go hand in hand when being used for marketing and business purposes. With a few exceptions. One is bigger than the other, and needs a postage stamp in order to get to it's desired location, as opposed to the business card which is handed directly to a person or dropped into a fish bowl in the hopes of winning an office party.

Here are a few tips on how to use the business card and greeting card as a sales and marketing tool.

The Business Card

This tip is not just about what you can do with your business cards, it's about what you can do with other peoples business cards once you receive them.

A business card is normally exchanged before, during, or after a conversation you have with a person. The next time someone hands you a business card, try to remember something positive about the conversation you had, perhaps something personal the person might have said.

Than write it down on the business card so the next time you call them or see them, you can bring it up again.

I once had a business relationship with a person who is now a friend of mine. We met at a business card exchange, as we stood talking over our coffee and donuts, I mentioned how I loved Boston creme donuts. Without my knowing, he wrote that down on the business card I gave him, and every time he and I got together, he made sure to bring along Boston creme donuts. It wasn't until later that he told me his secret.

People are impressed with things you remember about them, it makes them feel that the conversation the two of you had was important to you, and it will give you credibility.

This is a great way to strengthen your business relationships in order to obtain referrals.

The Greeting Card

In this day and age of the Internet, we seem to have lost the personal touch we once had with one another.

Most of this personal touch has been replaced with e-mails, e-cards, fax machines, and cell phones.

Don't get me wrong. I'm all for progress.

That being said, don't ever underestimate the power of a hand written note or card, it speaks volumes and means a lot to people.

Have you ever heard of someone deleting a Hallmark?

Keep a Rolodex or tickler file handy of all your customers upcoming birthdays, anniversary's, and special occasions. Send them a card with a hand-written message on the inside, they will love the fact that you remembered them at a time that is important to them.

The same goes for holidays, and don't forget Arbor day.

Marketing Idea - Birthday Cards for Kids

Came across this unique marketing idea by Ryan Steinert. As you know from my previous posts, keeping in front of your clients is vital to your long term success in the mortgage business. Even more important is making those contact points memorable.

Click on link below to read full story:

Birthday Cards for Kids

Came across this unique marketing idea by Ryan Steinert. As you know from my previous posts, keeping in front of your clients is vital to your long term success in the mortgage business. Even more important is making those contact points memorable.

Click on link below to read full story:

Birthday Cards for Kids

Are You a True Team Player?

Mortgage sales professionals are responsible for their own success.  While this is very true, there are several people who must also do their part to make you a success.  These people may include your manager, your loan processor, your underwriters, your closer, your receptionist, your appraiser, your title company, and so on.  These are the key people on your "sales team".

I often see and hear of mortgage salespeople being "arrogant" and "self-centered" and caring only about number one.  Is that how your team sees you?  Is that how you want them to see you?  I hope not!  So, what are you doing to make sure that doesn't happen?

They say that this is a people business.  That adage applies to more than your customers...it applies to your team as well.  How you act toward and around your team says a lot about who you are and how much you value them.  If you are interested in building a stronger team, consider a few of these great ideas from other successful salespeople:

• Touch base with them regularly.  Call, visit, or talk to your team...a lot!  Don't just contact them when you need something (or you have a complaint).
• Remember important days like birthdays, anniversaries, holidays, and so on.  Make your relationship personal. 
• Say "thank you" often.  People notice and appreciate the compliment.
• Speaking of compliments, generously give verbal compliments like: "You really know your business" and "I admire your dedication" or "You are a great resources to have."
• Surprise them with small gifts like a lunch certificate, a free car wash coupon, or a Starbucks gift card.  It's not the amount that counts, it's the thought.
• Make their job easier by doing your job better.  Don't dump problems and poorly constructed loans on their laps to fix.  Make working with you a pleasure.

Your team will be as good and as loyal to you as you are to them.  If you want them to have your back, you must also have their back and respect. Never forget that. 

Show ‘em some love!

Mortgage sales professionals are responsible for their own success.  While this is very true, there are several people who must also do their part to make you a success.  These people may include your manager, your loan processor, your underwriters, your closer, your receptionist, your appraiser, your title company, and so on.  These are the key people on your "sales team".

I often see and hear of mortgage salespeople being "arrogant" and "self-centered" and caring only about number one.  Is that how your team sees you?  Is that how you want them to see you?  I hope not!  So, what are you doing to make sure that doesn't happen?

They say that this is a people business.  That adage applies to more than your customers...it applies to your team as well.  How you act toward and around your team says a lot about who you are and how much you value them.  If you are interested in building a stronger team, consider a few of these great ideas from other successful salespeople:

• Touch base with them regularly.  Call, visit, or talk to your team...a lot!  Don't just contact them when you need something (or you have a complaint).
• Remember important days like birthdays, anniversaries, holidays, and so on.  Make your relationship personal. 
• Say "thank you" often.  People notice and appreciate the compliment.
• Speaking of compliments, generously give verbal compliments like: "You really know your business" and "I admire your dedication" or "You are a great resources to have."
• Surprise them with small gifts like a lunch certificate, a free car wash coupon, or a Starbucks gift card.  It's not the amount that counts, it's the thought.
• Make their job easier by doing your job better.  Don't dump problems and poorly constructed loans on their laps to fix.  Make working with you a pleasure.

Your team will be as good and as loyal to you as you are to them.  If you want them to have your back, you must also have their back and respect. Never forget that. 

Show ‘em some love!

Mortgage Industry Shake-Up - Be Thankful

It's a fact...the mortgage and real estate industry is going through a major shake-up (or shake-down). Droves are leaving the industry because either they are not making enough money or have been laid off. Fortunately, a good byproduct of many individuals in the first category are those that gave our industry a black eye. Unfortunately, there are many support people in the second category who are honest and hard workers who lost their positions due to their company closing down or staff reductions.

What This Means?

During the fall of 1994 (funny how things never change), a loan officer friend called and informed me he was giving-up and throwing in the towel.  He said he was burnt-out, tired of chasing Realtors, fed up with rising rates, processors, underwriters with bad attitudes, and dealing with customers that play games.  He had had enough!

When asked what lead to his decision, he explained he had been in the industry for about three years and had subsequently learned everything he knew about the mortgage business through trial and error (mostly errors). Additionally, with the refinance market fading fast he was not closing many loans, business had became a lot tougher, more cut-throat and he just couldn't compete with the in-house Realtor/builder loan officers (sound familiar?).

When asked why he had gotten into the mortgage business, he said he did it because he had heard there was "big money to be made" and figured with a few loans under his belt, he would soon be making more money than ever before.  Moreover, he had always had a passing interest in the financial aspect of "real estate."  He quickly found-out how complex and difficult the realities of this business can be.

Truth be said; I had very little sympathy for him.  By chasing the "big money" and choosing to work for a mortgage brokerage (which I had advised him against) that offered high commission splits, yet provided absolutely no training whatsoever, it's no wonder he didn't succeed after the refinance business faded (and boy did it fade in 1994).  Bottom line - he had entered the business for the wrong reason--to chase a golden ticket...not because he was passionate and wanted to help people.

Yes, this business is difficult, but it's a relatively simple (notice I didn't say easy) job once you know what to do. On every deal, by doing the right things upfront and asking the right questions, you know the end result--the loan closes.  How you get there is where the challenge lies, and overcoming the challenge is why certain people thrive in this business!  They love the challenge and the rewards that come every day.  It's exciting!

From 2000 to 2006, it's estimated the mortgage ranks went from 180,000 to over 300,000 (2006) in the industry.  During that time period, that's a whole lot of people who only knew the golden days of the refi and building boom.  Consequently, many developed the skills of being order-takers, not professional mortgage originators.

Yet many originators around more that 10 years, know what it means to ORIGINATE a loan.  It means:

1. Marketing yourself aggressively
2. Building a solid and professional reputation (and)
3. Generating a steady stream of referral

They've seen high rates and low rates and know this too will pass.  When the market turns (and it always does), they'll be well prepared to take advantage of the next cycle.  Veteran producers aren't giving-up either.  Neither should you.  Decide now if you have the determination to stick-it out.  Do you have a passion for what you do?

Additionally, be thankful for the shake-up because it means a whole lot of unskilled and unethical loan officers will go the way of the saber tooth tiger and stop ruining the reputation of the industry.  Best of all, it means a whole lot more business for you!

Next BIG question we as an industry have to solve for is:

What are we going to do to prevent the abuses that took place over the previous years?

It's a fact...the mortgage and real estate industry is going through a major shake-up (or shake-down). Droves are leaving the industry because either they are not making enough money or have been laid off. Fortunately, a good byproduct of many individuals in the first category are those that gave our industry a black eye. Unfortunately, there are many support people in the second category who are honest and hard workers who lost their positions due to their company closing down or staff reductions.

What This Means?

During the fall of 1994 (funny how things never change), a loan officer friend called and informed me he was giving-up and throwing in the towel.  He said he was burnt-out, tired of chasing Realtors, fed up with rising rates, processors, underwriters with bad attitudes, and dealing with customers that play games.  He had had enough!

When asked what lead to his decision, he explained he had been in the industry for about three years and had subsequently learned everything he knew about the mortgage business through trial and error (mostly errors). Additionally, with the refinance market fading fast he was not closing many loans, business had became a lot tougher, more cut-throat and he just couldn't compete with the in-house Realtor/builder loan officers (sound familiar?).

When asked why he had gotten into the mortgage business, he said he did it because he had heard there was "big money to be made" and figured with a few loans under his belt, he would soon be making more money than ever before.  Moreover, he had always had a passing interest in the financial aspect of "real estate."  He quickly found-out how complex and difficult the realities of this business can be.

Truth be said; I had very little sympathy for him.  By chasing the "big money" and choosing to work for a mortgage brokerage (which I had advised him against) that offered high commission splits, yet provided absolutely no training whatsoever, it's no wonder he didn't succeed after the refinance business faded (and boy did it fade in 1994).  Bottom line - he had entered the business for the wrong reason--to chase a golden ticket...not because he was passionate and wanted to help people.

Yes, this business is difficult, but it's a relatively simple (notice I didn't say easy) job once you know what to do. On every deal, by doing the right things upfront and asking the right questions, you know the end result--the loan closes.  How you get there is where the challenge lies, and overcoming the challenge is why certain people thrive in this business!  They love the challenge and the rewards that come every day.  It's exciting!

From 2000 to 2006, it's estimated the mortgage ranks went from 180,000 to over 300,000 (2006) in the industry.  During that time period, that's a whole lot of people who only knew the golden days of the refi and building boom.  Consequently, many developed the skills of being order-takers, not professional mortgage originators.

Yet many originators around more that 10 years, know what it means to ORIGINATE a loan.  It means:

1. Marketing yourself aggressively
2. Building a solid and professional reputation (and)
3. Generating a steady stream of referral

They've seen high rates and low rates and know this too will pass.  When the market turns (and it always does), they'll be well prepared to take advantage of the next cycle.  Veteran producers aren't giving-up either.  Neither should you.  Decide now if you have the determination to stick-it out.  Do you have a passion for what you do?

Additionally, be thankful for the shake-up because it means a whole lot of unskilled and unethical loan officers will go the way of the saber tooth tiger and stop ruining the reputation of the industry.  Best of all, it means a whole lot more business for you!

Next BIG question we as an industry have to solve for is:

What are we going to do to prevent the abuses that took place over the previous years?

Referability

"Call people back immediately. One of the biggest challenges most salespeople have is that they don't want to pick up messages and call people back. Return calls now. It's the only way you can build up a solid clientele." -- Tom Hopkins

"Don't concentrate on making a lot of money, but rather on becoming the type of person people want to do business with." -- Patricia Fripp

"Does he or she know you, like you, and trust you? Does he want to see you succeed? Does she want to help you find new business? If so, then you have yourself a 'Personal Walking Ambassador.'" -- Bob Burg

"Profit in business comes from repeat customers, customers that boast about your project or service, and that bring friends with them." -- W. Edwards Deming

"Getting quality referrals from your clients and centers of influence is not rocket science.  It’s just a matter of learning a system you can trust and then implementing that system."  --  Dennis Geist

"No matter how artful or talented you are, you must follow a specific methodology to be successful in expecting and getting quality referrals." -- Scott Kramnick

"To some, a referral is merely a name. However, a referral is actually much more than this! A referral is the authorization to use the influence attached to that name." -- Barry Graham Monro

"Call people back immediately. One of the biggest challenges most salespeople have is that they don't want to pick up messages and call people back. Return calls now. It's the only way you can build up a solid clientele." -- Tom Hopkins

"Don't concentrate on making a lot of money, but rather on becoming the type of person people want to do business with." -- Patricia Fripp

"Does he or she know you, like you, and trust you? Does he want to see you succeed? Does she want to help you find new business? If so, then you have yourself a 'Personal Walking Ambassador.'" -- Bob Burg

"Profit in business comes from repeat customers, customers that boast about your project or service, and that bring friends with them." -- W. Edwards Deming

"Getting quality referrals from your clients and centers of influence is not rocket science.  It’s just a matter of learning a system you can trust and then implementing that system."  --  Dennis Geist

"No matter how artful or talented you are, you must follow a specific methodology to be successful in expecting and getting quality referrals." -- Scott Kramnick

"To some, a referral is merely a name. However, a referral is actually much more than this! A referral is the authorization to use the influence attached to that name." -- Barry Graham Monro

Those Old Guys and Gals Can Teach You A Thing or Two!

Jeff Brown wrote a masterful piece on BloodhoundBlog. While he writes from a Realtor perspective, the principles also apply to mortgage origination. If you are new to the business and/or your business is down and your feelings get hurt easily, you might cringe reading Jeff's post, however the lessons he shares are invaluable. If you are a successful veteran, you will be shaking your head in agreement and smiling as you read the post.

If you are serious about your career, click the hyperlink below and read Jeff's sage advice.

Principles of Flight and Real Estate — Getting Off the Ground

Attention All Salespeople- Listen to the Symptoms

'Doc...I got this cough.'
'Is it a light cough?'
'No Doc it is a deep hacking cough like this....KUUH...KUUH'

'Okay, anything else?'
'Yeah, I got the shivers and this red bumpy rash.'
'Oh, well you have got the jungle hemoglobin neuro-cardio virus. Take these pills for two weeks and you will be as good as new.'

Isn't it amazing how a doctor can listen to the symptoms and then accurately diagnose what is ailing you? Well, if you are in sales you should be able to do the same. Listen to what your customers are telling you and it will tell you where you are going wrong in your presentation.

I recently heard a speaker say, 'Yeah, I didn't sell but one package of CDs – the owner stood up and said he was going to buy one package of CDs for the office library and everyone could share.' The speaker then shook his head as if there was nothing he could have done to sell the group. I never heard that speaker's sales pitch; however, I know exactly what he did wrong by listening to the symptoms. In his sales pitch, he sold the value of his products, which he should have done – however, he did not pitch the value of building your own personal development library. If he would have closed this way, the owner would have never of stood up and said he would buy one for the group to share because he would have been contradicting the value of your own personal library that was just discussed.

I didn't have to hear his sales pitch; listening to his symptoms, the diagnosis was easy.

What about you? What are the objections you are receiving? Listen closely because they are the symptoms that will diagnose your problem:

Continue reading "Attention All Salespeople- Listen to the Symptoms " »

'Doc...I got this cough.'
'Is it a light cough?'
'No Doc it is a deep hacking cough like this....KUUH...KUUH'

'Okay, anything else?'
'Yeah, I got the shivers and this red bumpy rash.'
'Oh, well you have got the jungle hemoglobin neuro-cardio virus. Take these pills for two weeks and you will be as good as new.'

Isn't it amazing how a doctor can listen to the symptoms and then accurately diagnose what is ailing you? Well, if you are in sales you should be able to do the same. Listen to what your customers are telling you and it will tell you where you are going wrong in your presentation.

I recently heard a speaker say, 'Yeah, I didn't sell but one package of CDs – the owner stood up and said he was going to buy one package of CDs for the office library and everyone could share.' The speaker then shook his head as if there was nothing he could have done to sell the group. I never heard that speaker's sales pitch; however, I know exactly what he did wrong by listening to the symptoms. In his sales pitch, he sold the value of his products, which he should have done – however, he did not pitch the value of building your own personal development library. If he would have closed this way, the owner would have never of stood up and said he would buy one for the group to share because he would have been contradicting the value of your own personal library that was just discussed.

I didn't have to hear his sales pitch; listening to his symptoms, the diagnosis was easy.

What about you? What are the objections you are receiving? Listen closely because they are the symptoms that will diagnose your problem: