Exclusive Telemarketed Leads » Mortgage Marketing

Sue Woodard Mortgage Speaker

admin — Sat, 05 Jun 2010 03:38:38 +0000

Sue Woodard, Mortgage Speakers Bureau, “Developing New Referral Relationships”, Mortgage Marketing and Loan Officer Training

The UK Mortgage Market (may 2008)

admin — Thu, 03 Jun 2010 07:38:52 +0000

The UK Mortgage Market (May 2008)

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In recent months, much has occurred in the mortgage market and with such a lot of press/media coverage, this summary may be helpful to people who wish to understand and âtake stockâ of the current situation.

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What is happening?

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The UK Mortgage Market is presently operating in a manner that it is unlike any other within the past 30 years.

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From a position of over-supply this time last year â with intense competition among lenders â both new and traditional â on criteria and on price â weâve moved to a state of under-supply, tightening criteria, widening lender margins and, consequently, higher prices to the consumer.

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Many lenders have even left the market â some large, some small. Others have withdrawn from new lending and are âsitting on their handsâ. Even those with strong balance sheets funded by deposits and savings accounts are restricting their new lending in order not to damage their operations or overrun their funding budgets.

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The most obvious consequences of this situation are a shortage of mortgage products, mortgage products being withdrawn at very short notice, mortgage products being re-priced upwards and generally more rigid lending criteria.

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Why is this happening?

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There are three key reasons for this happening:

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Firstly, a lack of liquidity in the money markets â that is money that would have been available for banks to lend to each other. In the past (the distant past!) banks would have used their deposits â money in savings accounts â to fund mortgage and other lending. More recently, however, mortgage lending has increasingly been funded by money markets â borrowing from other banks â or from the sale of âpackagesâ of mortgages (Mortgage Backed Securities or MBS).

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Unfortunately, because of the incidence of very high mortgage arrears within MBS packages and, particularly, those used to fund the American âsub-primeâ mortgage market, banks have had to write off huge sums â billions of dollars or Euro. It is estimated that 20% of lending for a number of years in the USA has been to the âsub primeâ market (the UK âsub primeâ market has been better controlled and has accounted for only some 7-8% of overall lending).

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Major banks are now in a scramble to have less money market funding for mortgages and other loans and more funding for such lending by deposits â just like the âoldâ days! And, if a bank has surplus cash e.g. from a mortgage that is being redeemed, it is not going to lend it to another bank that may have financial problems hidden away in its balance sheet. The interest rate at which banks lend to each (LIBOR) is much higher than the Bank of England base rate (3 month LIBOR is, at the time of writing, 5.8% compared to the BOE rate of 5%) and, generally over the last few years, 3 month LIBOR has been running at only 0.15% to 0.25% above the BOE rate.

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In short, there is not much cash around to fund new mortgage lending!

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The second key problem is, simply, confidence. Lenders fear that, as a result of all of the other problems in the market, house prices will fall and that mortgage loan performance â arrears â will worsen considerably. The consequence of this is the tightening up of lending criteria e.g. the disappearance of 100% mortgages â many lenders are now insisting that potential borrowers have a significant deposit. No lender wants to be the last one left in the market with wide-open lending criteria.

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The third issue is that of the lendersâ mortgage processing capacity. Lendersâ administration systems can run into serious problems if too much volume is taken on too quickly and many have taken the decision to âcool itâ by adjusting criteria or price (or both). In some cases, lenders are no longer âopenâ for new business.

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Of course, the situation could become a self-fulfilling prophecy â house prices will fall because buyers cannot obtain mortgages to buy property. This possibility is certainly a serious concern.

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When will things âreturn to normalâ?

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The short answer is that nobody knows! Indeed, it is quite possible that we wonât see a return to the sort of market that we had in 2006 and 2007 for many years. Arguably, the market then wasnât normal either â there were plenty of aggressive new lenders with big aspirations who made the market compete on risky terms with little or no profit margin. Following their departure from the market, the remaining strong lenders are rebuilding a more appropriate approach to risk â taking lending criteria back to where we were several years ago.

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The hope in the market is that, perhaps, a year or so after the âcredit crunchâ started and when all of the banks have gone through a whole new reporting cycle, all of the bad news will be exposed and the write-downs and losses will be history â albeit it, recent history. To date, we are some nine months into the âcredit crunchâ and, if the history of previous financial crises is a guide, we are more than halfway through the current squeeze.

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If the confidence issue can be handled, we may see lenders becoming competitive again and with a return to larger lending appetites and willingness to grow.

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Essentially, everything points to a slow and steady recovery; there will still be tough times ahead with the numbers of arrears/repossessions ticking upwards.

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The Bank of England has made Â£50 billion available to banks via a âSpecial Liquidity Schemeâ and this is a deliberate move to free-up liquidity and confidence in the market; this has to be considered positive news.

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Are there any reasons to be cheerful?

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There are some positives in the current situation â fundamentally – the fact that the UK is not USA!

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In the UK, employment is at record high levels (unlike the early 1990âs) providing a high demand for housing. At the same time, there are not enough new homes being built in the UK. The economic law of supply and demand means that the housing market is strongly underpinned and is unlikely to suffer a âcrashâ.

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Overall new lending is clearly down but demand remains strong, in particular for âbuy to let (the rental market is boosted at such times) and for re-mortgaging (rate switching, debt consolidation and capital-raising). The lending for house purchases is quiet and will remain so until confidence returns to the market.

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In addition, interest rates are on the decline and some economists have predicted the possibility of BOE rate becoming as low as 3.5% to 4.0% next year.

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Whether falls in BOE rate will be followed by falls in mortgage rates is far from certain â with sufficient cuts, the cost of borrowing should become cheaper and, perhaps, encourage more people back into the mortgage and housing market.

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Mortgage brokers remain the most favoured route for consumers to obtain mortgages from lenders and the proportion of mortgages arranged by brokers has increased over several years as âshopping aroundâ has become more common. Customers need advice more than ever and independent brokers have a key role to play in this regard â in order to obtain the best possible deals for their clients and to protect their client-banks from other brokers or lenders hunting for good quality business.

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Nigel Osgood on 01628 636360 ext. 257 nigel@afpmortgages.co.uk

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www.afpmortgages.co.uk â Winners â âTOP UK MORTGAGE IFA 2007â – The annual awards ceremony sponsored by Legal & General and Mortgage Solutions Magazine

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Your home may be repossessed if you do not keep up repayments on your mortgage

Loan Modification Mortgage Marketing IMG4business.com

admin — Tue, 01 Jun 2010 11:38:47 +0000

Integrated Marketing Group We process thousands of pieces of mail a month and therefore can help to suggest what works, what doesn’t work and proven methods for tracking your ROI, your production and your response rates. (IMG) Integrated Marketing Group combines Direct Mail, Data Solutions, as well as Email Marketing for long term visibility. We also provide optimum rankings with Search Engine Optimization (SEO) for immediate branding exposure and traffic for all of your company’s marketing. IMG’s strategic marketing team works with you to create a comprehensive plan to increase your traffic, sales, leads, and visibility while integrating search into your current marketing efforts. Whether you are looking for a comprehensive marketing solution or a single marketing tool to engage your audiences, we can develop and implement marketing strategies that work.

Taxes on Short Sale, Loan Modification & Mortgage Foreclosure 8 Nov08 Qualified CPA & Attorney

admin — Sun, 30 May 2010 15:39:03 +0000

Tax on 1099C, Cancellation of Debt Income; Short Sale, Loan Modification & Foreclosure. Exception; Mortgage Forgiveness Debt Relief Act, Bankruptcy & Insolvency. Go To RealEstateMarketingThisWeek.com Part 8 (Excerpt) If facing financial issues make sure you hire qualified help, mortgage broker, financial planner, CPA and attorney So with the real estate market, we know here in Arizona, there are literally hundreds of thousands, maybe millions of people that are confronted with a very difficult decision, declining home values, upside down in the home, the home value is worth much less than they actually owe, we need to give them options. If the option is foreclosure, short sale or loan modification, I would take the modification approach, most likely we would have to look at a person’s situation a little bit closely, but as I am going down some of the things that we have prepared for the show today, it looks like there are four main issues that people should know they need to consider, the cancellation of debt income, capital gains tax issue, the deficiency judgments side, and the credit report side and Mike, I know you can talk to some of these things. But we brought up in the first segment what I think this might represent and then I think we started to talk about how Mike can help people minimize the impact of what that would look like on the tax return or eliminate based on the situation, so let’s make sure that the people know these four concerns are something they …

Mortgage Marketing at the Time of Recession

admin — Fri, 28 May 2010 19:59:27 +0000

If you sell mortgages then you will be aware that times are tough at the moment. Many people are worried about being committed to a mortgage when their jobs may not be that safe. Banks are also more cautious about lending money which is making things difficult for everyone. It is a good thing that people are cautious in some ways but it is not good for those that rely on selling mortgages to make an income. It could be a good idea to brush up on your skills though because once the market picks up, there will be a lot of competition to get people to sign up. Imagine if you do a mortgage marketing services course, you can get all of your skills up to date and ready for when the market picks up. It could be a great opportunity, while things are quiet to take some time out of the sales side of things and learn some new things. It should not only make you seem more attractive to customers because of your increased skills but also you will benefit from them.

You may find that it is beneficial to brush up your mortgage website. It will be a good time to think about whether you need to change the design of your site and whether it can be improved at all. It might be a good idea to improve the way that it is marketed because that will not only help it to attract more customers but also means that the right type of visitors go to the site. This is what a mortgage marketing course could teach you to do. Of course, you might be better of paying a professional website person to help you with this so that you can ensure that you get the best possible promotion for your business. It may be well worth the investment as they are likely to have a high level of expertise and this professional level may be well worth it.

So during this quiet time, spend some time and money improving your services so that when the market recovers you will be in the best position to offer a great service to your customers. It may seem like the wrong time to invest, but it will put you above your competitors and make sure that you are prepared for all the business that will come your way.

Pbs Feature On Moral Hazards In The Mortgage Market

admin — Fri, 28 May 2010 16:17:15 +0000

PBS Feature on Moral Hazards in the Mortgage Market

PBS released an 11 minute and 38 second video about moral hazards in the mortgage market.Visit Here Now http://mortgage-loan-broker.blogspot.com

IndyMac Bank was recently seized by Federal regulators, who are doing everthing in their power to prevent over-leveraged mortgage companies Fannie Mae and Freddie Mac from failing.

This parody Bird & Fortune Financial Adviser video really captures the essense of the modern banking system.

The subprime mortgage crisis was also covered in this funny but curt slideshow titled The Subprime Primer.

According to a BBC interview with Citigroup’s CEO Sir Win Bischoff, house prices in the UK and the US are likely to fall for another two years…but then again, they are part of the same banking system that never saw the initial collapse coming

IndyMac Bank was recently seized by Federal regulators, who are doing everthing in their power to prevent over-leveraged mortgage companies Fannie Mae and Freddie Mac from failing.

This parody Bird & Fortune Financial Adviser video really captures the essense of the modern banking system.

The subprime mortgage crisis was also covered in this funny but curt slideshow titled The Subprime Primer.

According to a BBC interview with Citigroup’s CEO Sir Win Bischoff, house prices in the UK and the US are likely to fall for another two years…but then again, they are part of the same banking system that never saw the initial collapse coming

IndyMac Bank was recently seized by Federal regulators, who are doing everthing in their power to prevent over-leveraged mortgage companies Fannie Mae and Freddie Mac from failing.

This parody Bird & Fortune Financial Adviser video really captures the essense of the modern banking system.

The subprime mortgage crisis was also covered in this funny but curt slideshow titled The Subprime Primer.Visit Here Now http://mortgage-loan-broker.blogspot.com

The Strategy of Mortgage Marketing

admin — Fri, 28 May 2010 11:59:42 +0000

Mortgage marketing consists of 3 basic parts which includes management and sales, processing and underwriting and finally, closing and escrow management. Each part is vital to the other two and each has it’s own responsibility to the consumer.

There are mortgage lending products that need to be targeted to specific markets. Sales plans need to be set in place that ensure sales and produces a highly satisfied customer. The loan officer is responsible to carry out these actions. The main goal of a loan officer is to make the customer happy that they made the best decision in choosing a particular mortgage marketing company.

When looking for mortgage marketing services, a consumer may find numerous mortgage websites on the internet but he will choose only one that bests suits his needs. When a consumer is ready to purchase any type of housing, he will do a lot of research. Any consumer searching through a mortgage website is a potential customer and the marketing of the website is just as important as the marketing of the services.

If the mortgage marketing services are not clearly defined by the mortgage company, the consumer is bound to look at another website. All services should be laid out in a way that the consumer will receive all pertinent information that they need and can understand them easily.

Advertising or marketing that the best houses, for the best prices, can be found through a particular company, a mortgage website should go into detail about their processing and underwriting capabilities. A consumer needs to feel comfortable that the person responsible for writing up the loan is capable of processing and closing the loan quickly and effortlessly. A loan officer can do his best to acquire the customer, but if the customer does not feel confident about the underwriting process, the sale could be called off.

The third entity of mortgage marketing involves the escrow officer. Being that the closing is done after the sale process is complete, his job may not be considered as an actual part of the sale. This does not mean that his job is less important than the others and should be laid out for the customer that the escrow management will be in capable hands.

With some detail, a mortgage website can bring in potential customers for any mortgage company. With great detail to mortgage marketing services, a website can bring in potential customers for any mortgage company and keep them.

A Review of Mortgage Marketing

admin — Fri, 28 May 2010 08:10:43 +0000

Every business benefits from marketing and the mortgage industry has long known this fact. Mortgage companies actively participate in marketing campaigns through the use of seminars, press releases, advertisements in the media, cold calling, various lead generation tactics and by word of mouth (WOM).

The internet is widely used in mortgage marketing, most notably through the use of a mortgage website. Mortgage companies can take many different approaches to marketing, ranging from advertising early mortgage approvals, short-term loan processing, low interest rates, or bad credit mortgages.

Mortgage marketing is probably most commonly done via telemarketing. Telemarketers are employed which call people from a random list. If the person contacted is interested in a mortgage, the lead is send on to the mortgage company itself. Using what is called a hot transfer method, a call can be transferred directly to a representative of the mortgage company.

Mortgage marketing services can take many forms. Many mortgage firms hold seminars for a select group of people who are most usually real estate agents and prospective home buyers. The mortgage companies will put on a series of presentations wherein they provide an incentive for people who purchase their mortgages on the spot or within a limited number of days. This method is quite effective but of course it can only be used periodically.

Professional mortgage brokers play an important role in the world of mortgage marketing. Since banks cannot address or accept problem loans themselves in a direct manner, they allow the brokers to do the job for them. Banks maintain friendly relationships with mortgage brokers as they are their best source for marketing mortgages. The brokers take on the task of initiating and processing the loan before they turn it over to the bank. Most brokers are capable and trained to deal with all types of loans, including government mortgages. It is estimated that fifty percent of all mortgages are initiated through mortgage brokers.

Home buyers are turning to the internet more and more these days and using mortgage websites. There are many benefits to borrowers who choose use a mortgage website. The borrower gets a very quick response using the website compared to what they would get by contacting a bank directly. These websites give the customer multiple interest rate quotes from which they can review and compare rates, fees and the pros and cons of each offer.

Reverse Fortunes – reverse mortgage marketing resource

admin — Fri, 28 May 2010 03:58:07 +0000

If you are looking to build your career as a reverse mortgage originator, you are in the right place! ReverseFortunes.com will combine the proven systems of successful reverse mortgage originators along with current web technologies to provide the ultimate reverse mortgage marketing supportfor…

Mortgage Marketing Challenges: Dealing with Demanding Realtors

admin — Fri, 28 May 2010 00:10:19 +0000

Sometimes, in an effort to attract new business, you may be tempted to develop mortgage marketing materials that promise the world. Unfortunately, there are some Realtors that are more than willing to take you up on your offer.

One of the challenges of being a full service loan officer is establishing boundaries for those real estate agents.

It is not really a matter of becoming confrontational. Instead, develop an understanding of their behavioral style so that you can better handle them with ease.

When you understand how to deal with these demanding clients, you will not be blindsided if your mortgage marketing efforts produce Realtors you almost wish you had not met.

What Motivates Demanding Realtors

Demanding Realtors rarely want to make your life miserable. They do however want to feel in control. They may be more assertive and highly task oriented. To them, they are merely being assertive, while others view them as control freaks.

Demanding Realtors tend to focus on achieving their objectives, to the exclusion of others. They often tune out other speakers, and can be overly blunt or sarcastic. They do not view themselves as being rude or abrupt, merely focused on task.

When Misunderstandings Occur

It is easy to get frustrated working with these Realtors. Some people even perceive their abruptness as rudeness. That is why it becomes all too easy to take their comments personally and feel frustrated, perhaps begin to tune out the Realtor entirely.

The key to minimizing misunderstandings is to realize just how task focused these individuals are. When you realize that they are not deliberately trying to hurt feelings or make characterizations. They are merely focused on getting their priorities met.

Handling Demanding Realtors

The first step in working with these kinds of Realtors is to remain cool and in control when talking with them. Avoid getting rattled just because they seem to be reacting is if the situation was the urgent. Do not try to make small talk, these individuals prefer a business like and focused communication.

If you need to collect your thoughts, ask to put them on hold while you grab the file they are referring to. This simple gives you an opportunity to take a deep breath and relax.

Remember, these Realtors take what you say quite literally. Do not over promise but instead establish very realistic expectations. Be confident in your ability to answer their questions instead of giving tentative answers.

While it is tempting to avoid working with these types of clients, it may be detrimental to your business. These demanding Realtors are the high volume, and a highly motivated one can be a great asset to your business. The trick is to communicate with them effectively to maintain a strong relationship with them.

When it comes to developing mortgage marketing materials, these Realtors are going to respond to carefully crafted brochures that give proof, not merely make promises; they are looking for simple, direct, clear and result oriented materials.

The key to developing a strong clientele is to understand the many different communication styles and adapting your style to accommodate and service them. Then your business relationship will grow into a fruitful partnership.