The Mortgage Cicerone - The Loan Attraction Coach - Con

Geez...Get over it, accept it and expect it

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

Bottom line...I love being around mortgage professionals. Subsequently, it should come as no surprise, I'm often referred to as being an originators originator.

Fortunately my job allows me to talk to literally thousands of mortgage originators each and every year. That said, I have developed an ability to predict with uncanny accuracy the production level of an originator after speaking with them five minutes or less (without broaching their production numbers).

Do I have a sixth sense...heck no. Rather, it's a recognized pattern how an originators attitude plays a critical role in either their success or failure. I call it "The Attitude Factor."

The Attitude Factor

The Attitude Factor denotes the correlation between ones attitude and the level of success they experien. Yet the most telling point is; "The Attitude Factor" is most evident during a down market.

When talking about having a winning attitude in a down market, I'm not asking originators to put on their rose colored precious moments glasses and ignore the market realities . Rather, I'm asking them to:

1. Get over it, accept it and expect it
2. Recognize the loan opportunities the market IS presenting them 
3. Change their business and marketing activities accordingly and then
4. Work their new plan with a charged positive attitude that is focused on the most productive actions possible

If you can successfully implement the four steps noted above, you will instantly put yourself in the top 50% of originators in the marketplace.

Why do I say that?

To say that at least 50% of originators are struggling is an understatement.

According to Dave Savage;

"For about 50% of the loan officers in the marketplace, to say they are struggling is an understatement. The stress behavior and the mindset they embody are creating a self-fulfilling prophecy for these folks that they’re going to be out of business soon. The reason: They’re not focusing on the best strategies in the market. They’re all over the place. If they could just adjust their attitude and get a very clear game plan — that is, the right game plan — they could all be successful.

Another 45-47% or so of these loan officers are not having a good year, but they’re okay with it. They have a ‘cool’ attitude and talk about riding out the year and things will be better next year.

Then the last 3-5% I speak with are having a great year. They’re having the best year they’ve ever had…and a big part of that is attitude. But with that attitude, they’re also mastering the strategies necessary for being successful in this market. If you can master those strategies, you can absolutely kill it and become a multi-millionaire in a future market."

Whether managing, coaching or lecturing loan originators, I have three goals for them:

1. To reach and maintain the top 3-5% level
2. To understand, embrace and become professional mortgage planners
3. Improve the quality of their lives spiritually, personally and financially

Nevertheless, the reality is that most loan officers are too transaction-focused and not career focused. Rather than building future business and creating long-term relationships by providing advice and ongoing services to clients, most are soley focused on closing transactions. It’s no wonder that most loan officers are perceived as commodity providers rather than financial experts.

Fortunately, there’s a simple way to overcome the commodity trap and negative borrower perception—become a Mortgage Planner.

Mortgage Planners are mortgage professionals who look at their clients’ lifetime financial goals and integrate their mortgage into their overall financial plan. They have the unique power to earn the trust and respect of their clients and secure their patronage not only for one transaction, but for many throughout their clients’ lifetime. By helping homeowners to increase their savings rate, stop wasting money on the wrong debt and position them into strategic mortgages, Mortgage Planners have the power to help homeowners reach their “Freedom Point” faster—the magical moment in time when a homeowner is either debt free or when their assets exceed their debts and paying off their mortgage becomes a strategic financial planning decision.

Mortgage Planners change the game on typical application-taking loan officers. They do this by taking on the professional responsibility of helping homeowners to make informed decisions that ultimately increase their tax benefits, increase their wealth, and help them reach their Freedom Point faster.

If you help your clients, they will help you. By building trusting relationships with your clients and giving them advice and services that are clearly superior to what other loan officers are offering, your clients’ business will generate tremendous residual income for you. Where a typical loan officer depends on new leads and quick, generic service to create business, Mortgage Planners get the lion’s share of their business from ongoing client relationships and valuable referrals from clients and referrals sources.

As a result of this strategy, Mortgage Planners typically experience predictable and growing income streams.

So the ultimate question is, what comes first; "A Winning Attitude" or Mortgage Planning success?

ANSWER - "A Winning Attitude"

Great Thoughts To Ponder (6/17/2009)

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

"If I work on a certain move constantly, then finally, it doesn´t seem risky to me. The idea is that the move stays dangerous and it looks dangerous to my foes, but it is not to me. Hard work has made it easy." -- Nadia Comaneci

"Be a problem detective; look for customer problems that your product or service can solve." -- Brian Tracy

"A professional is a person who can do his best at a time when he doesn't particularly feel like it." -- Alistair Cooke

"As soon as you trust yourself, you will know how to live."  -- Goethe

"One must be fond of people and and serving them if they plan on being successful long term in the mortgage or real estate profession." --  Dennis Geist

"A man who doesn't trust himself can never really trust anyone else."  --  Cardinal De Retz

"Trust men and they will be true to you; treat them greatly and they will show themselves great."  --  Ralph Waldo Emerson

"A person will not buy from you until he is convinced that you are a friend and are acting in his best interest. You must make this clear." -- Brian Tracy

"We have not wings we cannot soar; but, we have feet to scale and climb, by slow degrees, by more and more, the cloudy summits of our time." -- Henry Wadsworth Longfellow

"A man who works with his hands is a laborer; a man who works with his hands and his brain is a craftsman; but a man who works with his hands and his brain and his heart is an artist." -- Louis Nizer

"People who have good relationships at home are more effective in the marketplace." -- Zig Ziglar

"It isn't the people you fire who make your life miserable, it's the people you don't." -- Harvey Mackay

"Lack of homework shows up in the marketplace as well as in the classroom." -- Jim Rohn

"Some people serve with pride -- because they 'want to' do and be their best; other people serve with disdain because they 'have to' do their job. Which person do you think will end up running the show?" -- Jeffrey Gitomer 

"Take time to listen to your people when they want to talk. This is a real motivator." -- Brian Tracy

"People are your most valuable asset. Only people can be made to appreciate in value." -- Stephen Covey

"Good people are found not changed. Recently I read a headline that said, 'We don´t teach people to be nice. We simply hire nice people.' Wow! What a clever short cut." -- Jim Rohn

"Few things help an individual more than to place responsibility upon him, and to let him know that you trust him."  -- Booker T. Washington

"If I work on a certain move constantly, then finally, it doesn´t seem risky to me. The idea is that the move stays dangerous and it looks dangerous to my foes, but it is not to me. Hard work has made it easy." -- Nadia Comaneci

"Be a problem detective; look for customer problems that your product or service can solve." -- Brian Tracy

"A professional is a person who can do his best at a time when he doesn't particularly feel like it." -- Alistair Cooke

"As soon as you trust yourself, you will know how to live."  -- Goethe

"One must be fond of people and and serving them if they plan on being successful long term in the mortgage or real estate profession." --  Dennis Geist

"A man who doesn't trust himself can never really trust anyone else."  --  Cardinal De Retz

"Trust men and they will be true to you; treat them greatly and they will show themselves great."  --  Ralph Waldo Emerson

"A person will not buy from you until he is convinced that you are a friend and are acting in his best interest. You must make this clear." -- Brian Tracy

"We have not wings we cannot soar; but, we have feet to scale and climb, by slow degrees, by more and more, the cloudy summits of our time." -- Henry Wadsworth Longfellow

"A man who works with his hands is a laborer; a man who works with his hands and his brain is a craftsman; but a man who works with his hands and his brain and his heart is an artist." -- Louis Nizer

"People who have good relationships at home are more effective in the marketplace." -- Zig Ziglar

"It isn't the people you fire who make your life miserable, it's the people you don't." -- Harvey Mackay

"Lack of homework shows up in the marketplace as well as in the classroom." -- Jim Rohn

"Some people serve with pride -- because they 'want to' do and be their best; other people serve with disdain because they 'have to' do their job. Which person do you think will end up running the show?" -- Jeffrey Gitomer 

"Take time to listen to your people when they want to talk. This is a real motivator." -- Brian Tracy

"People are your most valuable asset. Only people can be made to appreciate in value." -- Stephen Covey

"Good people are found not changed. Recently I read a headline that said, 'We don´t teach people to be nice. We simply hire nice people.' Wow! What a clever short cut." -- Jim Rohn

"Few things help an individual more than to place responsibility upon him, and to let him know that you trust him."  -- Booker T. Washington

How to Get Off the Boom-Bust Roller Coaster of Mortgage Origination

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

One of the most common complaints I hear from mortgage originators is the boom-bust roller coaster component to the business. While it is real and happens to a large contingent of originators, there are mortgage professionals that seem to be immune from the fluctuation their peers experience.

Why?

Bottom line is there are a few key critical elements or fundamentals these mega-producers practice that make their business and income more predictable. One of them is they treat and practice the art of building a consistent annuity of referrals and make it part of their everyday processes and practice. In fact, I have found they get down-right obsessive about building and service their annuity client base when times are good, because they know and expect the market to turn. So while most of their peers are focused on funding the loans in their pipeline (and subsequently not marketing their database of clients), these top producers are a bit contrarian in they are like squirrels and are building up a storehouse of food for the winter months.

It's about referrals from both clients and referral partners.

We always hear about building a 100% referral based business. While I don't think very many can claim 100% of their business is referral based, I know numerous superstar mortgage and real estate professionals who's business is in fact at least 90 to 95% referral.

The Best Time To Get A Referral

What do people talk about with their friends when they're buying a new car? About new cars! Better yet, what do people talk about when they are buying a new house or refinancing a mortgage? That's right...houses and mortgages.

More importantly, when they talk about mortgages, are your customers talking about YOU?

Your goal as a salesperson is to maximize your referral business. To do that, you MUST make the process systematic and so easy that every client working with you will recommend their both family and friends exclusively TO YOU.

Yet, most mortgage and real estate professionals don't live on referrals - WHY NOT?

I've found they are either embarrassed or they get so busy with the transaction details during the mortgage process they never get around to asking!

How I Turned One Transaction Into 72 Closed Loans

Yes, you read that correctly...72 closed loans.

It all started with taking the application and consistently asking for referrals throughout the loan process and loan management period after the loan closed. In fact, from the time I took the loan application and the loan closed, my client referred six other family, friends and neighbors (they all closed). Long story short, within the next four years I closed 72 loans that stemmed from the original six referrals provided me by my client....talking about a referral tree with a lot of branches!

Are You Self-Reliant or Reliant...A Case Against the Latter

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

Note: Nighttime satellite photo of Korean Peninsula and the contrasting illumination between North and South Korea.

I'm guessing Milton Friedman would have loved this picture.

In fact, this satellite picture provides a powerful metaphor highlighting the difference between two deeply contrasting political. social and economic systems. Subsequently, it also represents the difference between individuals who are self-reliant/industrious and those who promote entitlement policies that eventually subordinate personal freedoms and produce a citizenry dependent upon the state.

Back to Korea.

While North Korea is ethnically homogeneous with their brethren in the South, there are stark gaps between the two countries separated since the Korean War (1950 - 1952). For example, North Korea developed into a communist dictatorship with a strong centrally planned economy while South Korea became a democracy with a thriving free-market based economy has thrived domestically and globally. 

In addition, isn't it amazing even the fishing fleets in the waters surrounding Korea throw off more light than all of North Korea.

It is my sincere belief we as individuals, an industry and nation can learn from the example of these two countries. It is up to us as citizens and mortgage professionals to take responsibility for both our actions and that of the industry we operate.

The Blues Are Bad For Your Business and Life: Sorry B.B. King

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

Are you having one of “those” days when things aren’t working out and you can’t figure out why you are feeling down, blue, and hopeless. It may just be a one day thing, but a gloomy encounter with your boss, team, referral partner, vendor or customer can cost you a substantial loss of business and your pessimistic outlook may try even your most treasured relationships.

For some of us, a mild case of the blues will come and go, but for others, this state of mind not only negatively impacts our personal lives, but influences our professional relationships and ultimately our profits.

According to therapist Lexie Pftezing, author of 60 Second Blues Busters:

"most people spend three out of every 10 days battling the blues. We may say we’re having a bad hair day, got up on the wrong side of the bed, we’re bummed...regardless of what we call them, the blues affect us in many ways."

These negative feelings permeate our attitude making us feel more sensitive and defensive. Our productivity goes down, and absenteeism inevitably goes up. When you add up all the factors, one bad mood can waste hundreds or thousands of dollars spent on a marketing campaign when you exhibit a sullen or a less than confident attitude when interacting with clients or referral partners.

Pfetzing and her co-author Joyce Quick offer remedies to stifle the short term blues and to circumvent a more serious downward spiral of depression. The book essentially says “you don’t have to suffer and you can feel better fast.”

Pfetzing also says “All of our suggestions involve some sort of action and positive activity” to revive the spirit and soothe the soul, but recognizes the fact that when you are down it may be difficult to think of anything to do to transform from blah to better.

We may encounter intermittent interactions with family, friends and colleagues that leave an impression that may last for the duration of the relationship. One less than enthusiastic response to a prospective client or customer may lose a lucrative account and sever a long time relationship. One morose team member can bring down an entire team.

So how exactly can we avoid a down day that adversely affects our work place, health and relationships both personal and professional?:

Here are a few tips to consider:

1. Just take a break. Take a short walk requires a change in your breathing and a definite change of scenery. Start looking at the world in gratitude for what you do have which requires studying what you do have and not directing energy to what you don’t have. Depression demands a thought process that doesn’t serve an attitude of gratitude.
2. Rest a little. Most of us can’t curl up in our offices for a short nap, but stress rises when we are overworked, and constantly giving to others leaves nothing for ourselves. Really take a “coffee break” and celebrate a little time alone. It may require leaving the office or eating lunch in the park, but a little alone time will allow you to re-center and revitalize your thinking. Make it a little ceremony just for you. The world won’t crash if you “disappear” for 15 or 20 minutes. It may make a gigantic difference in your productivity and your “attract-ability” factor.
3. Make a list of the things you need to do, prioritize the “gotta’s” and tackle the top three with high energy for completion. This will impart a sense of accomplishment that you need to relieve feeling overwhelmed.
4. Make a list of what is working. Even though things may seem hectic, loans are getting funded and things are getting done. Note those things going well in your office and ask yourself why. You’ll likely discover it is because you have built good systems or processes for these things and you are staying on top of them.
5. Be honest and ethical. It's important one conducts themselves ethically. I have seen countless people overcome with the blues or downright depression when their actions were incongruent with both their personal and established ethical practices.
6. Avoid Debbie Downers. When you are feeling down, the worst thing you can do is to surround yourself with other individuals with less than positive attitudes.

While the the blues can be quite different from true clinical depression which requires specific treatments, but for most of us, these simple steps can help us “snap out of it” and get on with the adventure of life.

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

Are you having one of “those” days when things aren’t working out and you can’t figure out why you are feeling down, blue, and hopeless. It may just be a one day thing, but a gloomy encounter with your boss, team, referral partner, vendor or customer can cost you a substantial loss of business and your pessimistic outlook may try even your most treasured relationships.

For some of us, a mild case of the blues will come and go, but for others, this state of mind not only negatively impacts our personal lives, but influences our professional relationships and ultimately our profits.

According to therapist Lexie Pftezing, author of 60 Second Blues Busters:

"most people spend three out of every 10 days battling the blues. We may say we’re having a bad hair day, got up on the wrong side of the bed, we’re bummed...regardless of what we call them, the blues affect us in many ways."

These negative feelings permeate our attitude making us feel more sensitive and defensive. Our productivity goes down, and absenteeism inevitably goes up. When you add up all the factors, one bad mood can waste hundreds or thousands of dollars spent on a marketing campaign when you exhibit a sullen or a less than confident attitude when interacting with clients or referral partners.

Pfetzing and her co-author Joyce Quick offer remedies to stifle the short term blues and to circumvent a more serious downward spiral of depression. The book essentially says “you don’t have to suffer and you can feel better fast.”

Pfetzing also says “All of our suggestions involve some sort of action and positive activity” to revive the spirit and soothe the soul, but recognizes the fact that when you are down it may be difficult to think of anything to do to transform from blah to better.

We may encounter intermittent interactions with family, friends and colleagues that leave an impression that may last for the duration of the relationship. One less than enthusiastic response to a prospective client or customer may lose a lucrative account and sever a long time relationship. One morose team member can bring down an entire team.

So how exactly can we avoid a down day that adversely affects our work place, health and relationships both personal and professional?:

Here are a few tips to consider:

1. Just take a break. Take a short walk requires a change in your breathing and a definite change of scenery. Start looking at the world in gratitude for what you do have which requires studying what you do have and not directing energy to what you don’t have. Depression demands a thought process that doesn’t serve an attitude of gratitude.
2. Rest a little. Most of us can’t curl up in our offices for a short nap, but stress rises when we are overworked, and constantly giving to others leaves nothing for ourselves. Really take a “coffee break” and celebrate a little time alone. It may require leaving the office or eating lunch in the park, but a little alone time will allow you to re-center and revitalize your thinking. Make it a little ceremony just for you. The world won’t crash if you “disappear” for 15 or 20 minutes. It may make a gigantic difference in your productivity and your “attract-ability” factor.
3. Make a list of the things you need to do, prioritize the “gotta’s” and tackle the top three with high energy for completion. This will impart a sense of accomplishment that you need to relieve feeling overwhelmed.
4. Make a list of what is working. Even though things may seem hectic, loans are getting funded and things are getting done. Note those things going well in your office and ask yourself why. You’ll likely discover it is because you have built good systems or processes for these things and you are staying on top of them.
5. Be honest and ethical. It's important one conducts themselves ethically. I have seen countless people overcome with the blues or downright depression when their actions were incongruent with both their personal and established ethical practices.
6. Avoid Debbie Downers. When you are feeling down, the worst thing you can do is to surround yourself with other individuals with less than positive attitudes.

While the the blues can be quite different from true clinical depression which requires specific treatments, but for most of us, these simple steps can help us “snap out of it” and get on with the adventure of life.

Who Can You Call At 2:00 a.m.? - Part Two

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

In Harvey Mackay's book titled "Dig Your Well Before You Are Thirsty," he asks his readers:

"Who Can You Call At 2:00 a.m.?"

This question is one of the most critical and revealing questions one can ask themselves about their network of friends and business/personal acquaintances.

To help understand what I'm getting at, answer these three questions:

1. Make a list of ten powerful people you know that can make things happen if you called them.
2. What have you done for any of these people lately?
3. Do you only call them when you need something?

Whenever I'm speaking and ask these questions, I often see the audience squirming when they understand the point being made.

Getting back to the question, who can you call at 2:00 a.m. in the morning?

According to Harvey Mackay, that question is without a doubt one of the most important questions one can ask themselves as an individual or business person. When answering this question, you are really asking yourself:

1. Who can I count on?
2. Who's counting on me?
3. Would anyone answer my call if I called them?

Bottom line, networking is more than keeping a contact database or putting every person you meet in your PDA. It's about CONNECTING with the people in your Blackberry. The art and science of connecting is so much more than phone numbers or names in your database...it's about connecting with people who can make things happen.

Now the next question...are you connecting with people who can make things happen?

Because...You are the sum total of the five people you spend the most time with!

The People You Know?

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

Have you every taken the time to think of or write down the names of all the people you have known? When you you complete this exercise, the web of connections throughout your lifetime is wide.

Yet, HOW MANY ARE STILL INVOLVED IN YOUR LIFE TODAY?

Now ask yourself, HOW MANY HAVE FADED AWAY FOR ONE REASON OR ANOTHER?

Whether they are distant family members, old neighbors, friends from school, ex-coworkers and other casual acquaintances you have met along the way, they have all in some shape, way or form influenced or impacted your life positively or negatively.

It is important to know who you know now and have known in the past...it encompasses who you are today.

Now an even more important question is; WHO WOULD YOU LIKE TO KNOW THAT YOU PRESENTLY DON"T KNOW NOW?

When you ask yourself who you know now or who you would like to know, think about your current state of business and what you would like it to be in the future.

According to Jeffrey Gitomer:

"Who you know encompasses who you can presently connect with easily and obviously. The better you know them, the easier it is to make a connection. How well you know them determines how early or how late you can call them on the phone.

There is power in who you know. Not just the connection power. Growth power. Success Power. Even fulfillment power."

That's why it's critical to your career to know:

1. Who do you know?
2. How well are you connected?
3. Do you know how to make a connection?
4. Who knows you?

Who knows you and did you make a connection?

It's more than just knowing someone, it's making a critical connection with the people you want to know and need to know.

It's the connectors that succeed long term in the mortgage and real estates business. Yet connecting is more about giving than receiving and that's where so many people striving to be a connector fail.

TO BE CONTINUED

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

Have you every taken the time to think of or write down the names of all the people you have known? When you you complete this exercise, the web of connections throughout your lifetime is wide.

Yet, HOW MANY ARE STILL INVOLVED IN YOUR LIFE TODAY?

Now ask yourself, HOW MANY HAVE FADED AWAY FOR ONE REASON OR ANOTHER?

Whether they are distant family members, old neighbors, friends from school, ex-coworkers and other casual acquaintances you have met along the way, they have all in some shape, way or form influenced or impacted your life positively or negatively.

It is important to know who you know now and have known in the past...it encompasses who you are today.

Now an even more important question is; WHO WOULD YOU LIKE TO KNOW THAT YOU PRESENTLY DON"T KNOW NOW?

When you ask yourself who you know now or who you would like to know, think about your current state of business and what you would like it to be in the future.

According to Jeffrey Gitomer:

"Who you know encompasses who you can presently connect with easily and obviously. The better you know them, the easier it is to make a connection. How well you know them determines how early or how late you can call them on the phone.

There is power in who you know. Not just the connection power. Growth power. Success Power. Even fulfillment power."

That's why it's critical to your career to know:

1. Who do you know?
2. How well are you connected?
3. Do you know how to make a connection?
4. Who knows you?

Who knows you and did you make a connection?

It's more than just knowing someone, it's making a critical connection with the people you want to know and need to know.

It's the connectors that succeed long term in the mortgage and real estates business. Yet connecting is more about giving than receiving and that's where so many people striving to be a connector fail.

TO BE CONTINUED

Do Absolutes Exist For Mortgage Originators?

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

Over the years, several people have approached me to consider writing a book focused on originating mortgage loans ethically.  The more I pondered their request, the more I found it to be a challenge. Bottom line, every skilled mortgage originator has their own ideas about what it takes to be a successful originator and I am no exception. After twenty plus years in the business, I have observed, read and developed my own style and way of conducting business successfully.

While my unique mortgage experience (good and bad) is very helpful, the more I thought about authoring such a book, the more it caused me to question and investigate what I really know about originating mortgage loans. This led me to examine my foundational opinions and methods; which in turn led to further research areas I felt were important and to assimilate and garner perspective.

Are There Any Absolutes To Successful Mortgage Origination?

Many years while in college, a professor boldly declared to my class with supreme confidence:

"There are no absolutes."

I immediately asked him:

"So what you are telling me is that there are ABSOLUTELY no ABSOLUTES?"

And his response was:

"Absolutely!"

I then responded:

"Then the only absolute is there are no absolutes? Which makes your statement an absolute which in turn contradicts what you stated and makes your absolute statement false?"

Needless to say, the learned professor was not happy when my fellow students suddenly laughed and the good professor could not defend his statement.

What  does this have to do with mortgage origination?

Bottom line...I believe there are a few absolutes to being a successful mortgage originator over the long haul. While I agree there is substantial gray in our business, at the bottom of my heart, I believe the number one absolute to long-term success and self-fulfillment as an originator:

"You must always conduct your business honestly and in the best interest of your clients even if it means losing a client, commission or referral partner."

In my humble opinion, this is the number one rule (absolute) every long-term originator must follow. There are numerous examples of individuals that did not follow this rule and in turn made BUNDLES of money. However, the key operative term is LONG-TERM success and wealth sustainability. While it is very likely an individual or company can make a small fortune during certain markets (e.g. 2002-2006) ignoring this precept, their long-term sustainability is questionable. The marketplace is currently full of such examples. 

Will I get to writing that book in the near future...not sure. However, I will continue to share my thoughts/suggestions and plan on further developing this concept at The Mortgage Revolution this November 9th through 11th. 

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

Over the years, several people have approached me to consider writing a book focused on originating mortgage loans ethically.  The more I pondered their request, the more I found it to be a challenge. Bottom line, every skilled mortgage originator has their own ideas about what it takes to be a successful originator and I am no exception. After twenty plus years in the business, I have observed, read and developed my own style and way of conducting business successfully.

While my unique mortgage experience (good and bad) is very helpful, the more I thought about authoring such a book, the more it caused me to question and investigate what I really know about originating mortgage loans. This led me to examine my foundational opinions and methods; which in turn led to further research areas I felt were important and to assimilate and garner perspective.

Are There Any Absolutes To Successful Mortgage Origination?

Many years while in college, a professor boldly declared to my class with supreme confidence:

"There are no absolutes."

I immediately asked him:

"So what you are telling me is that there are ABSOLUTELY no ABSOLUTES?"

And his response was:

"Absolutely!"

I then responded:

"Then the only absolute is there are no absolutes? Which makes your statement an absolute which in turn contradicts what you stated and makes your absolute statement false?"

Needless to say, the learned professor was not happy when my fellow students suddenly laughed and the good professor could not defend his statement.

What  does this have to do with mortgage origination?

Bottom line...I believe there are a few absolutes to being a successful mortgage originator over the long haul. While I agree there is substantial gray in our business, at the bottom of my heart, I believe the number one absolute to long-term success and self-fulfillment as an originator:

"You must always conduct your business honestly and in the best interest of your clients even if it means losing a client, commission or referral partner."

In my humble opinion, this is the number one rule (absolute) every long-term originator must follow. There are numerous examples of individuals that did not follow this rule and in turn made BUNDLES of money. However, the key operative term is LONG-TERM success and wealth sustainability. While it is very likely an individual or company can make a small fortune during certain markets (e.g. 2002-2006) ignoring this precept, their long-term sustainability is questionable. The marketplace is currently full of such examples. 

Will I get to writing that book in the near future...not sure. However, I will continue to share my thoughts/suggestions and plan on further developing this concept at The Mortgage Revolution this November 9th through 11th. 

Are You An Entrepreneural Originator?

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

While I often write and shout how important it is to have systems and processes in your business, I also want to stress how important it is to have an Entrepreneurial spirit. It is the ethical enentrepreneurial spirit that will drive you to higher professional milestones and help you seize upon market opportunities.

Watch this video and tell me if you posess the entrepreneurial drive to reach your potential.

Hat Tip: Canvas Beat

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.
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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.