The Mortgage Industry is booming this year with the increased demand for houses due to the low interest rates. Homebuyers require qualified and trained mortgage loan officers to advise and navigate the min buying homes. Mortgage Loan officers also need to understand the customer’s requirements and close mortgage loans swiftly in this competitive environment. In this blog, we will explore how Mortgage Loan Officers can boost sales.
Recent developments in the Mortgage Market
As the economic and job market is on the path to recovery, the Mortgage Credit Availability Index (MCAI) has increased in March 2021. There is an expectation that the home purchase market will grow as first-time home buyers' demand is increasing.The MCAI is calculated based on several factors such as credit score, loan type, loan-to-value ratio, etc., which are related to the borrower’s eligibility.
Image 1: Increase in MCAI from 2020 Image Source: https://www.mba.org/2021-press-releases/april/mortgage-credit-availability-increased-in-march
At present, home sales and refinancing activity are high as there is more demand among home buyers to buy homes. According to the National Association of Realtors, the U.S. housing market will face a shortage of 3 million available homes. Millennials are potentially first-time homebuyers who are keen on purchasing large homes. In this scenario, Mortgage Loan officers are the ones homebuyers trust in their journey to buy a home. Mortgage Loan Officers need to use simple sales strategies to enhance their businesses and exceed customers’ expectations.
Steps to boost Mortgage sales
Mortgage Loan Officers have to decide the best mortgage plan for their customers. They need to understand customer’s property type, loan amount, credit score, etc., and close their loans as quickly as possible. Each homebuyer is different, whether it is a first-time buyer or a repeat customer. Mortgage Loan Officers need to research the products and services that will fit the customer’s requirements and boost sales.
The steps taken by Mortgage Loan Officers to boost sales are:
1. Widen referral network
Sales usually happen by connecting with the people at the right time. In the Mortgage Industry, referrals play an essential role in boosting sales for Mortgage Loan Officers. Referrals by word of mouth help in expanding business. Real-estate agents and appraisers can refer homebuyers to Mortgage Loan Officers. Recommendations from past clients and their friends will go a long way in building the referral network. Mortgage Loan Officers should update their online presence so that customers can easily connect with them.
2. Ask open-ended meaningful questions!
Mortgage Loan Officers need to ask meaningful questions to their customers at the right time. Loan Officers can provide superior service to customers by understanding their plans by asking open-ended questions. Mortgage Loan Officers can provide general mortgage information, educate the clients about different products, and engage them in making decisions. Additionally, asking personalized questions helps the customers feel comfortable in dealing with the Mortgage Loan Officers.
3. Use of digital technology
The use of Mortgage Process Automation will help in boosting sales. Robotic Process Automation (RPA) benefits the mortgage industry by
- Improving customer experience, wherein automation reduces the time for closing loans.
- Improving productivity and efficiency by use of bots that validate customer information in minutes
- Eliminating human error by automating routine tasks thus reducing process costs and reducing risks
- Automation is minimizing deployment costs with less than three months' ROIs.
Image 1: Use of RPA in the mortgage industry and its impact on sales and marketing Image Source: https://www.stratmorgroup.com/insights_article/i-robotics-robotic-process-automation-rpa-in-the-mortgage-industry/
The mortgage Loan Operating System (LOS) makes the loan application process simple and improves borrower-lending relationships. Sales automation tools help in closing the mortgage loans faster. Mortgage Loan Officers keep their customers up-to-date about the various stages of loan processing. The use of AI and machine learning technologies in Mortgage LOS will reduce operational costs. Mortgage LOS improves customer experience and helps to close loans faster. The mortgage industry is increasingly adopting digital technology and transforming itself with future-ready Mortgage LOS. Inflooens has the best state-of-the-art Mortgage LOS platform that provides the most efficient lending experience to its customers.
4. Diligently use social media as a marketing strategy
Social media marketing is one of the essential strategies adopted by Mortgage Loan Officers to grow their business. By posting live videos, ads on Facebook, and advertising services on Twitter, LinkedIn, Mortgage Loan Officers can connect with their clients. General mortgage information and success stories about home-buying experiences from past clients go a long way in attracting customers. The best place to network for Mortgage Loan Officers is Instagram so having a business account makes sense. Instagram is the social media platform of choice for 68% of homebuyers under 39 years of age. Creative marketing strategies using photos and videos can influence potential homebuyers.
5. Keep in contact with customers even after the loan is closed
After the mortgage loans are closed, a follow-up is vitalso that the client reminisces their mortgage experience.A follow-up sales email or a video message saying thanks to the customers for their trust in Loan Officers. Mortgage Loan officers should reach out to customers on their special days like birthdays, anniversaries, etc., to help build relationships. Mortgage loan officers have to keep in contact with their customers for repeat or new business. It is one of the ways for lead generation and builds a referral network.inflooens allows you to manage leads, including follow-ups and automated reminders for your customers.
Homeowners looking for mortgage advice and loan processing feel comfortable with Mortgage Loan Officers who understand their requirements. With the help of digital technology, Mortgage Loan Officers are processing and closing loans faster. inflooens has the best Mortgage LOS with embedded CRM tools that help Mortgage Loan Officers efficiently close loans.