Welcome to the first post of June!
While the purchase market remains strong and steady, the continuing pressure of downward rates has opened up significant refinance opportunities. I think, and have always thought, that refinances were the “overtime” or “icing on the cake” of a real mortgage professional. I believe they are an important part of managing the relationships you have established, and most of the time they happen during the annual review, sometimes they require additional attention. However, when we see the market drop significantly in a short period of time, we need to step back and look at our database and engage it with the information, opportunities, and options that this lower rate environment provides. As an expert your job is to provide all of the information it’s not just about rates!
There are some simple rules I like to follow and I will go deeper into each of these on the website in the next few days, but the key points are:
- Never lead the discussion about refinancing by email!
- Never post anything about refinancing on social media!
- Be proactive with your past clients in specific groups!
- Be sure you start the conversation about the opportunities!
- Know that the best option may be to sell and move!
- Rates are just one portion that may provide benefit to your client!
- You can’t save the client money if the client doesn’t have a plan to save the money!
Originators make common mistakes that can cost themselves and their companies tens of thousands of dollars or more by not following these simple points!
Being a mortgage professional requires situational awareness! Do I set myself up to win on multiple levels? Do I benefit the client and my referral partners when I explain all the options and opportunities my clients have?
So as you work on connecting with past clients and referral partners about the potential of refinancing, make sure you are aware of all of the potential benefits beyond just the rate on the loan.
Also, the jobs report this Friday morning at 8:30am eastern time will potentially impact the rate market. You need to know this and pay attention to the news.
Look for the video on refinances on the website in the next few days; it will contain all the specific information and strategies to maximize your potential on this important topic.
Questions and comments: Mike@IMTcoaching.com