HOW BIG IS YOURS? SIZE DOES MATTER IN THIS BUSINESS !
Now before you get your mind wandering all over the place let’s try to keep it clean ok?
To be successful in this business there are KEY NUMBERS that you must know. I will give you a list of them here but common sense says that the BIGGER your list of referral partners, past clients and pre quals are the more money you will make.
YES- IT IS THAT SIMPLE.
So let’s dive into the numbers and check out what you need to be paying very close attention to.
WANT TO CLOSE 20,000,000?
This would be a stretch for some of you reading this and for others it would be what you close each quarter. Regardless the concepts are very much the same so please pay attention ok?
Let’ suppose your average loan is 250,000
To close 20 MILLION you will need to close 80 loans.
Now do you have 20 Realtors who can give you 4 loans a YEAR???
If not you need to make this your mission in 2018. Get 20 Realtors you can depend on for 4 deals a year. If they give you more that is fantastic. But you need to concentrate your efforts NOT JUST on any Realtor that will refer you but instead on ones that sell at least 4 houses a year. Notice I did not say LIST 4 houses but sells 4 houses.
THIS IS WHERE SIZE MATTERS. The more referrals you can count on the more loans you will close. Bigger is Better.
You also must realize that you need to always be adding to this list of realtors since some will stop using you , quit the business or stop using you for some other reason.
These of course are the lifeblood of our production and income. How many prequals you do will determine ultimately how many loans you close.
So sticking with our 80 loans a year you need to be asking yourself the following important questions.
– What is my percentage of Prequal to Closed Loans
– This will tell you how many you need to have each and every week to reach your goal.
Let’s say your figure is 80% – well you need to prequalify 100 people If you want to close 80 loans. The truth is that this is a bit deceiving because prequals may take months and in some case years. So best to make this number 20% higher
To close 80 loans in 2018 I need to prequalify 120 clients. Write this down for your own production goals.
LOAN SIZE – ONCE AGAIN SIZE MATTERS
It actually often takes more effort to close a 100,000 loan than it does to close a 400,000.
Once again you must go back and know your numbers.
What is your average loan size?
Who are the agents or referral sources in your area that are selling the more expensive homes and how can you build a relationship with them?
Yes- this may sound like Captain Obvious but are you actually doing it?
YOUR PAST CLIENT AND OTHER REFERRAL SOURCES DATABASE.
How big is this database. Unfortunately for many of you reading this the better question may be do you even have a database of referral sources and past clients?
The more loans you close the more opportunites you have to grow your list. The greatest day for most originators is when you start getting a consistent flow of referrals from past clients and referral sources other than realtors.
HOW BIG IS YOUR MARKETING BUDGET OR YOUR MARKETING EXPERTISE?
Bet that’s not one you had thought of before is it? But the truth is that the person who has the largest marketing budget can generate more deals or at least more opportunities.
Think of the big company we all know that has it’s own arena and advertises all over TV, the Internet and on the radio. They literally spend millions weekly and they have become the # 1 lender in the US by volume.
You might be reading that and be discouraged because your marketing budget is ZERO but I have to tell you that there are still ways to compete with these big players even on a modest budget.
It’s so important that I actually just covered this with my Top Originator Mastermind members
Take a test drive of the Top Originator Mastermind for 1.00 here
STOP AND TAKE A CAREFUL LOOK AT ALL OF THESE AREAS OF YOUR BUSINESS.
I hate to sound corny but the expression “If you fail to plan than you plan to fail” really is true. You simply must know your numbers or you will be open to all of the shiny objects and scripts that are being pushed on us.
Know your numbers and know that SIZE DOES MATTER and BIGGER IS BETTER.
Now go out there and make your production the BIGGEST it’s been !
Want to grow your production take a 5 day One Dollar Test Drive of the Top Originator Mastermind