The Mortgage Cicerone - FHA/VA Training and Advisory Services

Radio Mortgage Interview with Tony Gallegos About FHA and VA Lending

On Thursday, October 1, 2009, Radio Mortgage host Brian Brady, interviewed me (Tony Gallegos) about the general state of FHA and VA lending.

Below are a few topics we discussed:

• FHA and VA lending volume surging
• Lack of FHA/VA expertise with lenders
• Why  the FHA isn’t really going broke...what the media did not report
• Realtor and builder misconceptions
• Why lenders are implementing credit overlays
• The new players in FHA and VA
• Why VA default rates are lower than Conforming/Prime products
• FHA/VA market share approaching 40%
• The REO market - 10.3% of REO purchases utilize VA financing
• VA market details in San Diego
• Plus, much more...

Click link below to listen to information packed interview.

To learn more about Cognicorp FHA/VA Training and Consultative Solutions:

<CLICK HERE>.

How You Can Build Client Loyalty By Sharing Your Life.

Why  Reality Television Is So Popular!

According to media experts, Reality TV now dominates more than 30% of prime time television. Everywhere you turn, there's another series taking you into the lives of celebrities and common folk alike. I personally don't believe it's because it makes for exceptional television viewing. Instead, I think it fulfills a basic human need...voyeurism.

Think about it.

Most people love things like gossip, having the inside scoop, sharing secrets, peeping and knowing what other people are truly like. Why are we obsessed with this sense of curiosity? It's the human interest. It's finding out about other people's lives, the intricacies, the quirky and strange little details of other human beings. Sometimes we're looking to see how DIFFERENT others lives are. Perhaps we're aspiring to be like them, or maybe even ridiculing them. Sometimes, we're just looking to see how SIMILAR their lives are. (“Hey, Brian Brady goes to Church too!”)

People Are Interested In the Smallest Details of Your Life

Why Are Some Sales People Such Assholes

A New Post By The Mortgage Cicerone
A Guide for Mortgage Professionals
Read other posts by The Mortgage Cicerone

I love reading Bill Rice and the advice he renders! Recently, he made a post "Sales People are Assholes" on his site Better Closer | Sales Improvement.

Quite frankly, Bill is providing priceless advice and I highly recommend you read it now...especially those salespeople that really are assholes.

According to Bill, some salespeople are "Pushy, Obnoxious, Aggressive, Narcissistic, Assholes–these are just a few of the cheery labels folks put on sales.... Why do sales people start conversations like this?

Do You CONFRONT" the Brutal Facts Yet Maintain Faith You Will Prevail In The End?

A New Post By The Mortgage Cicerone
A Guide for Mortgage Professionals
Read other posts by The Mortgage Cicerone.

It has always amazed me how ignoring "common sense" and the reality of a situation always kicks you in the arse!

When I first started this blog, I posted (to this day) one of my more popular posts "Do You Ever Feel Like Michael Jackson's Plastic Surgeon?" While the article was specifically directed towards consumers, I have found the message transcends perfectly to mortgage and real estate professionals.

Bottom line originators...the mortgage market is back to embracing common sense underwriting standards and thus our mortgage product mix again will most likely resembles that of 1998 instead of 2006.

In the book, Good to Great, author Jim Collins states people fall into three different categories:

1. The Optimist (bound to be eventually dispirited)
2. The Realist (doom-sayer)
3. The Stockdale Paradox individual

What Is The Stockdale Paradox?

Be Part of The Solution...Join The "Mortgage Revolution"

A New Post By The Mortgage Cicerone.
A Guide for Mortgage Professionals.
Read other posts by The Mortgage Cicerone.

Mortgage professionals must take back our industry!

That's exactly what the "Super Bowl" mortgage industry event of 2009 will provide.

The mastermind behind this not-for-profit event is Mark Green from Top-of-Mind. He along with thirteen other like minded individuals are driven to put consumers first while providing ethical mortgage professionals the tools and processes they need to enjoy a thriving and first class career.

Within a week, the Mortgage Revolution committee will be posting our website (courtesy of Trace Richardson) outlining the speakers and topics being presented during the three day event taking November 9 through 11 at the Cobb Galleria in Atlanta, Georgia.

Wait till you see the speakers and topics they'll be presenting!

Interested?

Want to help the cause and take up your modern day arms to fight back? Please visit Chris Brown’s Recruitment office to type in your John Hancock.

In the meantime, watch this awesome Mortgage Revolution video produced by Brian Larrabee.

 

How To Make A Big Bite In Providing Added Value For Your Clients

A New Post By The Mortgage Cicerone.
A Guide for Mortgage Professionals.
Read other posts by The Mortgage Cicerone.

Lenderama top dog and fellow Cicerone Bill Rice has over the last eighteen months become one of my favorite reads when it comes to effective marketing advice. His blogs, Lenderama and Better Closer - Improving Your Sales and Marketing are definite must reads for anyone involved in mortgage sales and marketing (Hint: we all are).

On 6/26/08, Bill made a masterful post titled 5 Ways Listening Can Grow Your Business. In it, he provided advice on how to pass on valuable advice to your clients/prospects, while also getting them to take action.

Here's an excerpt:

"Passing on Valuable Information

You telling a customer to pay attention to [add your industry here] is one thing, and often shrills of self-serving. In contrast, a short simple clip from the Web, a though provoking website link, a forwarded industry email summarizing where you want a customer to focus often inspires action.

The two key points you don’t want to miss in passing on valuable information, even when it is from someone else: add a call to action and ask for the deal.

So often I see people forward an email or website article and maybe they editorialize, but they fail to try to make a sale. It can be as simple as:

This economy is scary. Can you believe mortgage rates have dropped again? If you have any questions about this article from Forbes.com give me a call at 734.782.1177. Take a look at your mortgage statement and see if this affects you–It has a lot of my clients.

Four quick sentences that drive them to read the article, call you with questions, and just in case they miss the hint you tell them to double check their own self-interests. Remember this is ad copy!"

I often get get questions from originators on how to professionally provide added value to their customers...this is a great starting place!

Words of wisdom from Bill.

Hello, My Name Is Swagger

A New Post By The Mortgage Cicerone.
A Guide for Mortgage Professionals.
Read other posts by The Mortgage Cicerone.

Ok, I'm going to be Captain Obvious and tell you...Brian Brady is a VA Rock Star originator with Realtors in California. Yes it true, but what most people don't understand is how Brian reached that point of stature. 

In my opinion, it lies with his ability to know who he is marketing to and who he is not. While the concept sounds simple and elementary, most loan originators ignore its power. A classic example of Brian's prowess and ability to go surgically after the target niche he is purposely pursuing, is his recent foray to hire an experienced government processor. 

Below is a masterful example of how Brian fully articulated the type of individual he was looking for in a $25 Craig's Ad List:

This is the perfect setup for a grizzled, experienced mortgage loan processor. You walk with a swagger because you can recite FHA and VA underwriting guidelines verbatim. Heck, you might even have a DE certification in your background. You were probably aghast at the stupid NINJA loans being funded earlier this decade. You didn't know why originators weren't developing real estate agent relationships and wondered what would happen when Armageddon came to the mortgage industry...so were we. 

Armageddon came to the mortgage industry but we're still standing. A little battered and bruised but we weathered the hurricane well; now we're thriving. 

How'd we pull it off? Old-school hustle, that's how. We embraced the internet, called a bunch of real estate agents, read the guvvie underwriting guidelines, and started funding loans for first-time home buyers. Imagine working with a team of originators who actually READ underwriting guidelines, court real estate agent business, and do what they say they're gonna do..that's us. The result? We fund a lot of VA(they're the most fun), FHA, CalSTRS, and CalPERS loans. We got a lotta happy sailors, marines, teachers, firemen, and cops as clients. 

End result, hired EXACTLY the type of individual he pictured hiring. 

Additionally, he employs the same type of target marketing to and for his clients.  

I'll Watch Your Butt Because I'm Watching My Own Butt Too

A New Post By The Mortgage Cicerone.
A Guide for Mortgage Professionals.
Read other posts by The Mortgage Cicerone.

If you want a wonderful example of a blog post providing a 'rockin powerful" Unique Selling Proposition" (USP), take a quick peek at a recent Brian Brady article on his Mortgage Rates Report."

How To Shop For an Online Mortgage Broker by Brian Brady

Not only is Brian providing a wonderful example of a USP, he is also:

1. Provides an answer to a common consumer question
2. Weaves a powerful reason to use him and not you
3. Building SEO

Additionally, if you continue and read the rest of his recent posts, it is evident he knows the niche he is targeting AND he interweaves his unique personality to match that of his desired potential clients.

You must do the same, because your business is as individual as you are. That unique nature of your personality is your greatest strength. Your unique selling proposition (often called a USP) should reflect what makes your value chain desirable and one of a kind. Offer a USP that only you and your business can provide.

It might be the personal service, your written money back guarantee, or your offering of free information and services. Whatever your business advantage may be, it must be unique to your business alone. You have to let the potential customer know in an instant why your company is the only one that can meet their requirements.

As an exercise and take away, write down all of the things that make your business one of a kind. List everything that comes to mind. Don't edit it now. Just write the list and set it aside for a day or two. Leave that for another day when you can approach your ideas objectively. Take the best ideas and reduce them to one sentence that describes your business. You should be able to present your USP in less than thirty seconds. Anywhere. Anytime.

Once you discover how your business is unique, play upon your own uniqueness!

Great job Brian!

Other posts regarding USP's:

• If You Can't Describe It, You Can't Sell It
• What Makes You Unique - Are You Compelling?
• Niche to be Happy and Prosperous! 

 

What Does Your Photo Say About You?

A "Classic" Post by Rhonda Porter.
Mortgage Broker/Correspondent Lender.
Read other posts by Rhonda Porter.

Originally posted July 29, 2008.

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?

He With The Most Friends Wins

A New Post By The Mortgage Cicerone.
A Guide for Mortgage Professionals.
Read other posts by The Mortgage Cicerone.

Mark Green and Brian Brady hosted an excellent webinar on effectively using the social networking site Facebook to build a powerful, passionate and profitable client sphere of influence that will build a sustainable annuity of referrals.

This replay of the webinar provides a powerful 54 minute power punch that only Brian Brady knows how to deliver.

Note: I fast becoming a BIG fan of Mark Green...he flat gets the future of marketing!

Brian Brady on Facebook and Social Networking

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