WHAT CAN LOAN OFFICERS LEARN FROM FORD MOTORS And McDonalds?
Henry Ford was known as the person who created and perfected the assembly line for the mass production of cars. It made him filthy rich.
Ray Kroc copied this idea and applied to the Hamburger business and it made him rich as well.
Each of these businesses has processes and systems in place. They are not dependent on any one particular person. The system works when the business is busy or slow.
Many years ago I had a loan officer working for me who’s father invented that Sandler Sales System. If you aren’t familiar with it let me explain the core of the system.
“If you don’t have a system for selling than you are subject to the buyer’s system of buying.”
When you stop and think about that it’s a pretty powerful statement and one that affects your business and your income each and every day.
LOAN OFFICERS NEED TO THINK ABOUT OUR BUSINESS AS AN ASSEMLY LINE TOO.
We can never allow ourselves to be subject to a buyers or referral partners way of buying. But our business requires many more touches than building a car or a hamburger. There is often a long time between the time a buyer calls us, gets pre-qualified, finds a home and then settles. If you are a successful loan officer than you also realize that settlement is NOT the end of the process.
HERE ARE THE AREAS THAT YOU MUST CREATE SYSTEMS FOR AND HAVE IN PLACE IF YOU TRULY WANT TO BE A TOP ORIGINATOR
1. SYSTEMS THAT GENERATE NEW BUSINESS
You must have a plan and a systematic way of generating new business. Hoping that business will come is not a plan. So here are a few ways that I share with the members of my Top Originator Secrets community.
Teach classes and meet Realtors.
Have a radio show or podcast.
Market to Renters. In fact I have an entire system for doing this at www.rentersintoloans.com You must pick the right renters in the right complexes. You then send them to your website where they get a Free Report filled with information they need to convince them to buy rather than renting. They then are followed with automatically until they call to schedule an appointment.
I could go on for pages of the various systems I have in place but the point is they are systems. They are NOT once in a while –when I have time- activities.
2. SYSTEMS THAT GENERATE REFERRALS
You know that you need referrals but what systems do you have in place to produce them. I use a system called Social Survey that sends out reviews on social media all using their automated system. Often I don’t even know it happened until I log in to facebook.
I also send regular weekly newsletters and quarterly letters filled with good information and actually ASKING for a referral.
3. SYSTEM FOR PRE-QUALIFYING BORROWERS
When I meet with a borrower I have created an actual form that I have all of their information written on. It’s not an application but a pre-qualification form that I created and use.
When I meet with a borrower to pre-qualify them there is a bio and other informational pieces that are educational that are given to them at the beginning of the meeting to position me as the obvious expert.
If I am speaking with them on the phone these forms are sent to them with a thank you note for meeting me.
4. SYSTEM FOR WHAT HAPPENS AFTER YOU PRE-QUALIFY THEM SO YOU CAN STAY IN TOUCH WITH THEM AND CONVERT THEM TO NEW BUSINESS
After I prequalify a client they are sent a nice letter thanking them for the meeting. A file is then created and they are placed into my database. Once a month a member of my team will call them for an update or to gather information that was requested. The team member will then also call the Realtor to let them know of the call and any updates.
5. SYSTEM FOR WHAT HAPPENS WHEN YOU TAKE AN APPLICATION
AND MAKE CONTACT WITH LISTING AGENTS – SELLING AGENTS AND OTHER POSSIBLE REFERRAL SOURCES
Once an application is taken a call is made to the buyers agent thanking them for the referral or introducing ourselves.
A letter is sent to the listing agent along with an e-mail introducing ourselves and letting them know we will provide a weekly status update.
Both agents and any other referral sources like Attorney- CPA- Financial Planner are also sent letters of introduction and all are added to our database.
6. SYSTEM FOR FOLLOWING UP AND PROVIDING STATUS UPDATES ON LOANS YOU HAVE IN PROCESS
Each week the listing agent – selling agent- and borrowers are provided with a status update on their files. I conduct my status updates once a week on Thursday at 2 and these dates are set with my team for the entire year.
7. SYSTEMS FOR WHAT HAPPENS WHEN THE LOAN CLOSES.
When a loan closes we call the borrower – the agents – and everyone involved in the transaction. That sounds simple I know but I am always surprised at how many loan officers miss this critical time.
This is also a great time to ask for referrals from all involved. If you are able to attend the closing that is also a great thing to do. Take a photo and post it to social media and use it for your own page of satisfied clients.
8. SYSTEMS FOR WHAT HAPPENS AFTER THE LOAN CLOSES.
When the loan closes the listing agent is sent another package of information and a thank you note telling them how great it was to work with them.
The same is sent to the selling agent if it is a new relationship. Everyone is now entered into a new database of clients and taken out of the prospect list.
A survey , small gift, and links for a Zillow review are all sent to the buyers. Five days later 20 We’ve Moved Postcards are sent to the buyers which almost forces them to refer us since it includes our contact information right on the card.
YES- THAT IS A LOT OF SYSTEMS BUT IF YOU DON’T HAVE A SYSTEM IN PLACE FOR EACH OF THESE POINTS THAN YOU ARE MISSING TREMENDOUS OPPORTUNITIES.
Let’s face it , we are all busy and these are items that are easily put off until later or never done at all.
That is exactly why you must have systems in place and why systems are the key to your success.
These items MUST happen and systematizing them will allow you or hopefully your assistant to do this for you daily.
DON’T HAVE THE TIME?
Get help! There are numerous high school and college students who might want to become an intern. There are also soccer moms and dads that can assist since these activities can all be done on flexbile schedules. You could also look at sites like Upwork or others for a virtual assistant.
BUT THE BOTTOM LINE IS YOU MUST TREAT OUR BUSINESS LIKE AN ASSEMBLY LINE AND HAVE SYSTEMS IN PLACE…OTHERWISE YOUR PRODUCTION WILL NEVER LIVE UP TO IT’S FULL POTENTIAL.
Dedicated TO Increasing Your Production,
BTW- there are also many psychological reasons and triggers within each of these steps. I cover them and the actual forms in the LO UNFAIR EDGE
Brian Sacks is a nationally-renowned mortgage expert who has career closing of more than 5,924 transactions for more than $1 billion. He has trained, consulted and coached, tens of thousands of loan officers and company owners over the past 31 years on how to close more loans, make more money, and still have a life. Brian is the host of “Top Originator Secrets,” which can be seen weekly on Mortgage News Network and on his blog. You can get more information and grab your free report on “How to Get Agents Chasing You” at TopOriginatorSecrets.com