In simple terms, a mortgage broker is an individual who brings mortgage lenders and mortgage borrowers together.
Unlike a mortgage lender, a broker does not use company funds to originate the loan. Instead, top mortgage brokers search their network of lenders to find the best fit for borrowers’ financial circumstances.
With tens of thousands of mortgage brokers doing business in the United States, standing out is easier said than done. And for that reason, brokers are always looking for a competitive advantage.
While there are countless things a mortgage broker can do to reach the top of the industry, here are five of the most important.
1. Answer Questions
The best mortgage brokers know that potential homebuyers will come to them with questions. After all, you’re an industry professional, not them.
You must answer questions in a clear, effective, and timely manner. Some of those that you’re likely to hear include:
- What are current mortgage rates?
- How does my credit history and score impact my eligibility and rate?
- How many lenders do you work with?
- What’s your opinion on how to choose a mortgage lender?
- What do I need to do to move forward and throughout the process?
- What happens if one lender denies my application?
A prepared mortgage broker can answer these questions without delay. As you gain experience, no question will stump you. You’ll have the knowledge necessary to answer with confidence. And you’ll learn that hearing their concerns and questions is the first step to getting this right.
2. Communicate Efficiently
It’s simple: if you don’t efficiently communicate with your customers, they’ll find someone who will.
It doesn’t matter if you’re buying leads or generating them through another channel, effective communication from day one will go a long way in connecting with leads and putting them at ease.
Here are some tips for winning big in the communication department:
- Don’t delay in contacting a potential customer: The sooner you do so, the greater chance you have of winning their business. It also puts their mind at ease by showing that you’re on the ball.
- Ask them how they want to communicate: Some homebuyers will want to talk on the phone. Others prefer text messaging or email. And of course, you may come across someone who wants to meet in person, too. Regardless of their preference, do your part in making it work.
- Don’t be a pest: Homebuyers have a lot on their mind. If a customer doesn’t get back to you right away, it’s okay. Give them room to breathe and don’t give up on them. The second you begin to push is when they may begin to second guess your relationship.
Efficient communication leads to effective communication.
3. Do What’s Best for the Customer
Even though it shouldn’t be, this is one of the most difficult things to do.
You’re in the business of helping customers. You’re also in the business of making money for your company and yourself. So, that has the potential to lead you down a dangerous road of sacrificing too much.
As a top mortgage broker, your customers trust you. They come to you in hopes that you’ll find them the best loan, no matter what it takes.
But here’s the catch. You may be tempted to push borrowers toward lenders that pay you a higher referral fee — even if it’s not in the best interest of your customer.
You must put your customers’ best interests above yours. This may mean earning less money now and again, but that’s okay. An honest, trustworthy, and reputable broker will win out over the long run.
4. Prevent Problems Before They Start
You either let the action come to you or you take control from the start. The best mortgage brokers are the ones who prevent problems before they drag a customer down.
Take for example a home buyer with fair credit. You know this will greatly reduce the number of lenders they can do business with, so you have two options:
- Talk to your customer about the impact of their credit history and score, as well as what they can do to work around this.
- Hope that you’re able to find a lender.
With the first approach, you’re doing your part in preventing the problem before it dashes your customer’s home buying dream.
With the second, you’re doing the minimum. Nothing more.
The best mortgage brokers go the extra mile by troubleshooting problems as soon as possible.
5. Stay in Touch (without going overboard)
There’s a fine line between staying in touch and bothering a customer. Staying in touch means:
- Providing the customer with everything they need to make an informed decision.
- Making it clear in an early conversation of what you can do for them.
- Creating a regular schedule for follow-ups, via the customer’s preferred method of communication.
- Asking questions and providing guidance every step of the process.
- Checking in, even after you pass the customer off to the lender, to ensure that everything is going as planned.
Conversely, there are a handful of things that you don’t want to do:
- Don’t call your customer every day to ask them how their home search is going.
- Don’t call or text during off-hours unless the customer specifically tells you it’s okay to do so.
- Don’t go against their wishes in regards to how they like to communicate.
- Don’t stay in constant contact to pressure your customer into taking action.
Making one or more of these mistakes could lead your customer away from you and toward another broker or lender.
Point #2 above can help you communicate efficiently when staying in touch with customers.
Every year, millions of mortgages are originated in the United States. That holds true both for new home purchases and mortgage refinances.
As a broker, the opportunity is there to grow your business and income. If you’re ready to take action, review your marketing strategy, set goals, and seek out ways to differentiate yourself from the competition.
If you need help finding leads to build your broker business, head over to the Aged Lead Store to get started with affordable mortgage leads today.