Surviving the Mortgage Implosion, Exploding Your Mortgage Business

No one wants to end up on this list–mortgage implode-o-meter. However, with a decline in sales numbers and marketing expenses not getting any cheaper you may feel this is where you are headed.

Consider adding aftermarket mortgage leads into your mortgage marketing and sales strategy and you may get a whole new perspective on the future.

Mortgage Leads are Expensive

Internet mortgage leads tend to be expensive and are never exclusive. This makes $20-$40 per lead seem like a sure way to dump your hard earned cash down the drain. Converting these types of mortgage leads at an industry average of 4%-6% leaves you upside down pretty quickly.

Most of this large price tag is the result of expensive up front marketing cost and the infrastructure to deliver these leads in real-time. The perception is that this is the only way these leads will convert into borrowing clients.

However, the reality is that due to enormous inefficiencies most of these expensive leads are never sold or sent to lenders. This leaves lead generation companies with little option other than to recover some of their marketing costs by selling leads that have not been sold up to the allowed 4-5 times or whatever it may be on an aged basis to lead aggregators or directly to lenders or mortgage brokers. They often do not advertise aged leads on their sites for direct sale to lenders as that would undercut their bread and butter business of selling real time leads.

The result: a great “aftermarket” lead that has never been worked. Yet, an online lead generator must sell these leads at pennies on the dollar because of their “real-time” promise. More and more lead generators are being forced to sell more and more of their inventory on an aged basis to generate revenue that is getting harder and harder to come by with every passing month, of late.

 

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This is your opportunity!

Aged Leads are a Great Alternative

As you can see, with little or no reduction in lead generation quality and only lost time, aged leads can be a very attractive alternative.

At a price point of less than $1, you can slash your marketing budget and likely get the same level of sale production. In fact, with your increased marketing buying power, you are likely to significantly increase your total closed loans.

In addition, aged leads can be great tools for live sales and product training. These less expensive leads can allow your loan officers to train and produce loans at the same time. This prevents any loss in production, while keeping your sales team at the top of the competency curve.

Lower Mortgage Marketing Cost

Not only is shrinking your marketing budget important to the overall business, it can be critical to the profitability and competitiveness of each deal. As margins continue to compress in the mortgage business you need to originate for less.

Aged mortgage leads can be the perfect strategy for lowering your cost per funded loan–a critical metric in any lending operation. This can be the key to immediately returning your mortgage lending operation to profitability, or even growing it.

Increase Mortgage Sales

Chances are that as your loan applications have shrunk you have begun to starve your loan officers or mortgage brokers for leads. This can be a dangerous path in a tough market.

Aged leads are the perfect way to fill that gap and keep your marketing budget low and sales flowing. As you begin to perfect the aged leads sales process you are likely to discover they improve your efficiency and sales, while reducing cost per closed loan.

This phenomena leads many mortgage brokers to switch to 100% aged leads as their mortgage marketing strategy.

Next Wave Marketing Strategies brings over 5 years of integrity, innovation, and client satisfaction to the aged mortgage leads market. We offer industry leading quality control, data cleansing, and a generous return policy to empower you to build your business in the fastest, most cost effective manner. Learn more about aged mortgage leads.

About Troy Wilson