A Guide to Success for LoanToolbox Members€¦ · info-marketing materials: • Pre-qualification on the spot • Sample financing options for the property • Current "Hot List"

(805) 277-6800 option 4www.loantoolbox.com

[email protected]

10A Guide to Success for LoanToolbox Members

ProvenTips toBuild YourDatabase

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Powered by LoanToolbox

-A Special Report-prepared exclusively forLoanToolbox Members

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Introduction

Your database is your key to success in today’s volatile mortgage industry. Who you know is even more important than ever. It is the key to closing more loans, making more money and growing your business.

LoanToolbox has developed The Top 10 Proven Tips to Build Your Database — A Guide to Success to help you increase the number of relationships you can market to on an ongoing basis.

Roll up your sleeves, read through these Proven Tips and integrate them into your business – we promise if you put these strategies to use you will expand your opportunities to close more loans!

(805) 277-6800 option 4 • www.loantoolbox.com • [email protected]©2008 LTB II, LLC. All rights reserved.

10A Guide to Success for LoanToolbox Members


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S ecuring a booth at trade shows and industry seminars are great ways to get out in front of the public and build your database.

LoanToolbox recommends using the following checklist of events that will generate more leads for your loan origination business.

• Home and garden show • Home builder’s association show (marketed to consumers) • Log home show • Manufactured housing dealers association show • Wedding/bridal show • Local business exposition • County Fair or community festival • Realtor association trade show or investors group event • Builder/developer association trade show

The key is to maximize the number of people you talk to at an event. Create a buzz to get people into your booth — such as a raffle or a prize giveaway — but make sure you are using some type of entry form to process people through quickly and collect their names, addresses, phone numbers, and email addresses.

Building your database is your sole purpose of being there.

The more people you talk to, the more opportunities you have to do business. You’re not going to close a loan on a trade show floor, so simply focus on building that database.

Keep the mood upbeat and energetic, and know that you will be following up to make appointments for consultations and mortgage reviews. Your entry form should include a checklist of mortgage needs that you can provide solutions for. From there, you can identify your “hot leads” as you initiate lead follow up campaigns.

Participate in Trade Showsand Industry Seminars

The more people you talk to, the moreopportunities you have to do business.

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(805) 277-6800 option 4 • www.loantoolbox.com • [email protected] ©2008 LTB II, LLC. All rights reserved.

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S end out a dynamic monthly e-newsletter to brand your image as an expert loan professional in your community. This is a cost effective way to stay in front of past clients and referral partners – and also a great way to build your database exponentially as new readers “opt-in.”

Your content should be appealing and easy-to-read. But above all, you must deliver valuable information. No one wants to receive junk email that is filled with advertising and marketing fluff. Make sure your e-newsletter is interesting and up-to-date so readers want to stay on your list.

Remember to encourage them to share your e-newsletter with their friends and families.Your database will grow with this viral marketing technique. By including a “forward-to-a-friend”link with an opt-in feature, your database willcontinue to grow – giving you more and more opportunities to do business.

S top by Realtor® open houses on the weekends and offer to leave some financing materials. When you get to know a Realtor®, you can offer to sit in onan open house and generate great leads toadd to your database.

You win two ways when you assist realtors at open house events. Firstly, you position yourself as the mortgage expert with answers to the questions buyers have. Secondly, you create an amazing opportunity to build your database with people looking for financing.

To each Realtor® open house, bring the following info-marketing materials:

• Pre-qualification on the spot • Sample financing options for the property • Current "Hot List" of loan programs • Information about the credit scoring process • Tips for credit cleanup • First Time Home Buyer's Guide

Be prepared to offer any information a potential client might need.

Another tip: At each open house meet the neighbors. See if they know anyone wanting to move or buy. Chances are someone will know of a family wanting to move into the neighborhood.

Start aMonthlye-Newsletter

AttendOpenHouses

You win when you assistRealtors® at open house events.

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I mplement this turn-key For Sale By Owner (FSBO) campaign and you'll instantly become the gate keeper of many hot leads. Pursuing a relationship with a homeowner who is trying to sell their home on their own is a wonderful campaign for you to launch within your community. Although most real estate agents should be doing this, few do it well. FSBO campaigns are great for building your database.Here are four valuable tips to get you started:

• This is a great opportunity to develop a relationship with someone who can provide you access to a steady flow of leads. The leads come from prospective buyers of their home, and you can be prepared to prequalify all of these potential buyers and begin to understand their intimate needs. • Statistics show that over 65% of people who are trying to sell their home on their own end up using a real estate agent. This will be your opportunity to make referrals to your real estate partners in your local marketplace, whenever appropriate. • Almost every single person that sells their home will need another loan for the next home they are going to buy. This will provide you with a nice opportunity to pick up the financing for the seller.

• The numerous prospective buyers that you will capture using the Call Capture 800 service will make you the gate keeper of the lead, allowing you to promote effective loan programs and market your services. Scan the local MLS listings and refer prospective buyers to real estate agents as prequalified buyers. FSBO campaigns have been successful for years. Consider implementing a FSBO campaign yourself. Over time, this could become a cornerstone of your business and a terrific way to add to your database with hot leads.

Implement For Sale ByOwner Campaign – FSBO04

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Q uestion: What is the best "call to action" or other method you can use on your website to convert visitors to your site into one of the following…an online loan application submission, a phone call or email for a quote, or, at the minimum, a completed lead gen form with an email address for you to follow up with (and add to your database)?

Answer: The best thing to do to get visitors to register on your site and give you their contact information is to offer a free giveaway. Everyone likes getting something for free. But, to get the free giveaway the person must first complete a registration form.

Here are a couple of tips to get you started:

• Don't provide 100% of your valuable information to all who visit your website. Instead, hold a little something back. Offer a free e-book, a free special report, or even free valuable tips they can't get anywhere else.

• Make it easy for them to register their information on your website. Start by just asking for their name and email address.

• Add a comment box at the end of your form page. A comment box gives clients and visitors the opportunity to tell you what's important to them and what they want. Knowing your clients wants and needs is a very valuable tool for generating more future leads and building your database.

Offering something of value for free is a great way to build your database.

Offer Something for Free on Your Website

Make your website work for you!

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Forganizing and promoting a First-Time HomeBuyers’ Seminar within your community, you instantly position yourself as a professional who controls countless leads. But, you must develop a strategic plan that establishes your expertise and authority at these seminars.

At the first seminar, inform participants of your ability to generate leads.

Once you convey that message, making attendees aware of the leads you’re willing to share, you’ve created the perfect opportunity to collaborate with prospective real estate partners. Let them know you’re willing to provide them with qualified leads in exchange for a commitment from them to send you 100% of their business.

Remember: Real estate agents are experiencing the same turbulent market trends that you are as a loan originator. With leads in hand, you can be part of the solution to grow their businesses, too.

Choosing to use the First-Time Home Buyers’ Seminar as a form of co-op marketing with real estate agents makes sense. Join forces with one or two REALTORS® in your immediate area and endorse your businesses together. Have these REALTORS® speak at your event, adding credibility to the subject of buying and selling property.

Yet, exercise caution. Never alienate yourself from potential relationships with the other REALTORS® in the area. Never make other possible alliances feel slighted because it seems you decided to unite exclusively with one or two people in your territory.

Undoubtedly, First-Time Home Buyers’ seminars can have a positive impact on your efforts to conduct co-op marketing campaigns with REALTORS® while building your database in the process.

Conduct a First-Time Home Buyers’ Seminar

Join Forces with one or two Realtors®in your immediate area and endorse your business together.

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irst-Time Home Buyers’ seminars prove incredibly effective as a tool to generate new leads and develop relationships with real estate partners. By


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Before attending a bridal fair,formulate a reliable strategy.

Attend Bridal Fairs

Phase 3 – Immediately after the event:• Restock your bridal fair supplies to be ready for the

next event.• Create your follow-up mail schedule.• Distribute all sign-in sheets from the previous night's

event to the various vendors at the event. By giving the leads to them, you will be well on your way to establishing a solid referral network.

• Set up files and send your personal brochure to all attendees who completed a sign-in sheet.

• Input the data into Outlook, or other computer time and information management system, as a reminder to follow up with these hot leads.

Phase 4 – Immediate lead follow-up:• Place all leads in a separate database file, named for

the bridal fair they attended.• Send your first follow-up letter, marked for your

reference as No.1, two days after the bridal fair.

Phase 5 – Continued lead follow-up drip campaign:• Send your follow-up letter No. 2 one month after the

bridal fair.• Send your follow-up letter No. 3 three months after the

bridal fair.• Clean out your database, removing any deletions and

making all necessary changes.• Send your follow-up letter No. 4 six months after the

bridal fair.• Send your follow-up letter No. 5 eight months after the

bridal fair. • Send your follow-up letter No. 6 one year after the

bridal fair.

By utilizing Larry's five phases of a Bridal Fair Flow Chart for your database-building strategy, you’ll improve your odds with some of the most viable leads at your fingertips. That not only grows your database, but potentially your business.

go to the events seeking information from vendors, in hopes of planning their dream future. And beyond the wedding comes the picket fence. What better place to build your database with solid leads? Before attending a bridal fair, formulate a reliable strategy. LoanToolbox member and speaker Larry Montani has been generating leads from bridal fairs for 21 years. He has developed the five phases of a Bridal Fair Flow Chart. These unique strategies have helped him create a booming referral-based business and boost his database.

Larry emphasizes the following five key steps in his Bridal Fair Flow Chart.

Phase 1 – Prior to the event:• Sign up with the event company organizing the bridal

fair and pay the registration fee. • Review the checklist of materials you must take to the

event, including registration forms, business cards and signs.

• Gather those materials together in advance.

Phase 2 – At the event:• Arrive at the bridal fair at least two hours early to set up

your booth. • After setting up, introduce yourself to all other vendors

at the event. • Ask them for a stack of their business cards, offering to

distribute the materials to guests who visit your booth. Tell the other vendors you will ask folks who take one of their cards to sign in and, best of all, you will share that list with them.

• At the end of the day, remember to put those sign-in sheets into a separate envelope so they don’t get lost. (Those leads are gold).

Women wearing engagement rings attend bridal fairs by the hundreds. Usually, they are accompanied by their bridesmaids, sisters, mothers or whomever. They

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08TIP Ask for Referrals When the

Time is Ripe – The Fruit Basket Approach

standards. But for him, old-fashioned values work. Be humble. Be grateful. Take nothing or no one for granted. Mainly, be passionate and take a genuine interest in your clients. Treat them with the same concern you show a friend. If you act phony, they will see through it.

“It’s the little things that turn into big things,” Mike says. He tells his clients, “If I do a wonderful job for you, please express that to your family and friends.”

Meanwhile, LoanToolbox faculty member Greg Frost succeeds at securing referrals with a mix of old-fashioned values and modern-day business savvy. He knows a fruit basket has appeal and attracts referrals. How does he know? Because he’s tried and it worked.

Greg highlights some critical time frames for clients. “We’ve just approved their loan. We haven’t funded it yet.” He describes that as a “magic” moment that loan originators can rely on to ask for referrals. The borrowers still need to keep in contact with their loan originator to push for funding to finalize.

Greg also notes another excellent time to ask for referrals – and possibly the best time – is when a loan just funded. At that time, the clients are overjoyed and want to spread the good news. Send a little thank you gift, Greg advises.

“They’re never going to like you more,” Greg states. “Along with the thank you letter, include five referral cards and the fruit basket. And, send it to the place of employment where it will sit on the desk and draw the attention of co-workers who ask about the gift. Those co-workers will be impressed and might be in the process of house hunting. Or, maybe they know someone else who is.”

Phone your clients the day after the fruit basket arrives and ask how they liked it, and by the way, have they thought of any referrals yet?

Greg also recommends calling on your list of past clients to engage in conversation and stimulate business referrals. Start by setting up an appointment for an Annual Mortgage Review. You can evaluate their current needs, and inquire about family members or friends who would benefit from your services. It also poses an opportunity for cross-sell partners in your extended network, such as CPAs, real estate agents and insurance brokers. Cross-selling is a standard tool for Greg Frost. And in turn, his referral partners send generous referrals his way.

Greg says, “Live the philosophy of reciprocity. Give and you will get.”

A final bit of how-to from Greg: He puts his face on every letter, brochure and other communication his sends out. He theorizes, “If you don’t beat the drum for yourself, nobody else will.”

ust about everyone in the industry can offer the same advice: If you want a referral, you must ask for it. What differs? The approach. Loan Officer Mike Pfefferman seems to have mastered a technique because 100% of his business comes from referrals, which turned into a windfall. His method is so basic that it might appear outdated by today’sJ

“Live the philosophy of reciprocity. Give and you will get.”


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and secure the best interest rates on mortgage loans.

You should have a PowerPoint presentation and handouts that cover the basics – that is, explaining how credit scores are calculated. With that, you can teach your audience some simple tricks to improve their own credit scores without assistance from a credit repair company. A credit score can be improved as much as 100 points in as little as 45 days, without entering into a formal credit repair process. Discuss how to use credit responsibly to raise the credit score and how to recognize warning signs of troubled credit.

Most importantly, as it relates to mortgage lending, illustrate the difference in cost for a $250,000 loan based on credit scores. Compare the financing fees for someone who has a credit score of 720 vs. a client whose credit score is 760. In your example, show how much money is saved by the person with the higher credit score.

While you’re performing this seminar for the benefit of potential clients, keep in mind your need to build your database. And, the key to accomplishing that goal is a sign-in sheet that captures each attendee’s contact information. Once you have this information, plug it directly into your database and start a follow-up campaign within the next two days.

Your follow-up emails should be informative and add value to the relationship you’ve started to build. Schedule one-on-one appointments and build trust with these new contacts by giving them real assistance. Don’t shut out clients who have credit repair issues. You’ll gain much more by working with them and helping them succeed.

Remember, a consumer with credit challenges should be working on improving their credit score for up to six months before they make their home purchase. But when you help borrowers with credit challenges, you’ll be rewarded with ongoing referrals. The referrals become exponential when your real estate partners realize that YOU are the loan originator who can get the tough loans closed!

Educate Consumers with a Credit Score Seminar09

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Understanding credit scores has recently and rapidly become a hot topic that every consumer relates to. Conducting a credit score seminar in your community can help you easily generate new leads to build your database. It will also validate your status as an authority figure, defining you as the “go-to” person for clients seeking to improve credit scores

A credit score can be improved as muchas 100 points in as little as 45 days.


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Ahome and/or who do not have a realtor – the For Sale By Owner prospects.

You can place two types of ads in the classified pages, a line ad or display ad. Both types generate new leads. However, the larger display ad has proved much more effective, commanding more attention and generating a substantial volume of inbound calls and emails.

Either way, you can offer some valuable item or service for free to generate greater response. For example, LoanToolbox members have access to a successful marketing piece called 33 Ways to Sell Your Home Fast. The piece is directed to home sellers, especially FSBOs, and it includes 33 tips on enhancing the curb appeal of the property up for sale.

By running consistent advertising in your local paper, you will continue to generate leads and build your database. People will view your name and the service you provide as a valuable resource. Your database will flourish, ensuring more and more opportunities to do business.

Use Classified Advertising to Target Potential Home Sellers

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nother resource to generate leads is the classified section of your hometown newspaper. Readers always browse the classifieds. So that puts your name out in the community and informs potential clients and referral sources of the services you render. You’ll certainly attract significant leads such as potential home sellers who have not yet listed their

By running consistent advertising in your local paper, you willcontinue to to generate leads and build your database.

Conclusion

We know that if you put these Proven Tips to work, then you will see huge growth in your database.

As you move down the path to success, don't make the mistake of thinking of your database as nothing more than a glorified electronic Rolodex – you must nurture it.

Our goal at LoanToolbox is to help you maximize your client's value, ultimately allowing you to close more loans and make more money. Thank you for your membership in LoanToolbox!

10A Guide to Success for Loantoolbox Members


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Membership hasits Benefits!Marketing Must-Haves• 105+ Business Boosters• 30+ Quick Tips• 38+ Gift of Knowledge

Interviews• 7+ Flyers and Postcards• 8 Turnkey campaigns to build

referral partners

Sales Tools• 75+ Scripts• 15+ Power Presentations• 5 Consumer Guide Books

Learning Resources• 200+ educational video clips

that explain complex issues in plain English

• 81+ Interviews with industry experts and management gurus

• Hundreds of quick tip voice broadcast audio files

Documents

A Guide to Success for LoanToolbox Members€¦ · info-marketing materials: • Pre-qualification on the spot • Sample financing options for the property • Current "Hot List"