Realtors remain the primary resource for the majority of home buyers, as they seek assistance in purchasing homes and obtaining referrals to mortgage lenders. Consequently, agents become a key focus for home loan companies and loan officers. The challenge lies in effectively reaching and converting these real estate professionals.
Based on data from the National Association of Realtors (NAR), 87% of home buyers opt to work with a real estate agent for their home purchase. Additionally, an extra 6% of buyers purchase through builders, which often involves the involvement of an agent. According to Titan Lists, a significant 69% of these buyers rely on lender recommendations given by their Realtors.
For mortgage CEOs, CMOs, and front-line loan officers, targeting referral sources appears to be an exceptionally lucrative and profitable strategy. Instead of investing substantial resources in targeting individual home loan borrowers, focusing on agents can yield significant benefits. Agents have the potential to provide a steady stream of 10 or more deals every month, presenting an unparalleled advantage and an exponential improvement in business prospects.
Certainly, you’re not alone in recognizing the value of targeting real estate agents as referral partners. Every smart mortgage lender and licensed loan officer in your area is also vying for the same prospects. As a result, you can expect to face numerous rejections, especially from newer agents who are under considerable pressure to refer to in-house brokers.
On a positive note, many of these in-house mortgage professionals lack the competitive edge. So, what are the most effective strategies to attract and convert agents into becoming loyal referral partners?
Making Agents Feel Special - Show Genuine Interest in Agents
Ditch the mundane spam approach and focus on making real estate agents feel valued and appreciated as distinctive individuals or companies.
One effective mortgage marketing strategy, as suggested by the ‘Hardcore Closer,’ involves attending an open house and creating a video featuring the agent showcasing the property MTV Cribs style. The video even includes the agent opening the fridge. This unique and engaging tactic has proven to be highly effective, as agents genuinely appreciate the approach, and it significantly contributes to selling properties.
Offering Incentives to Secure Partnerships
Numerous professional networking opportunities exist for connecting with real estate agents, without resorting to stalking them at their offices or open houses. Local Realtor associations and Chambers of Commerce are excellent places to find such gatherings. Regardless of where you encounter them, the most effective approach to attract agents and their valuable inbound referrals is to initiate by offering something of value.
As you engage in marketing and networking activities, you’ll encounter numerous buyers, each of whom has a vast network of potential property buyers, sellers, or leasers. Make it a priority to add these contacts to your database, even if they don’t currently require a mortgage.
Nurturing relationships through ongoing follow-ups is crucial. Always inquire about how you can be of assistance and request referrals during these interactions. Once you receive referrals, direct them to the real estate agents you wish to attract.
Additionally, remember that when you help potential clients find the right loan, you are also expediting your own income streams, creating a mutually beneficial arrangement for both you and the agents you partner with.
Demonstrate Your Value: Proving Your Worth in Real Estate Marketing
Housing Wire’s survey of 80,000 agents showcased the two most vital factors they seek in a loan officer they would refer to:
- The proven capability to successfully close deals.
- Responsiveness demonstrated by the loan officer.
Surprisingly, both of these qualities are not as common as one might expect. To earn their trust, it’s essential to show evidence that you can deliver on these critical aspects.
Responding promptly when contacted is paramount – every second and millisecond matters. Thanks to the plethora of available technology, achieving this is easier than ever. Beyond traditional email autoresponders and phone calls, you can leverage auto reply text messages for website inquiries and enable instant callbacks.
By incorporating follow-up campaigns utilizing SMS and ringless voicemail, you can further reinforce your responsiveness, ensuring potential clients receive the attention they deserve in a timely manner.
To capture the interest of potential clients, create a continuous stream of storytelling that highlights your success in closing deals for others. While online reviews are no longer as trusted, showcasing your achievements can be more impactful. Consider implementing a combination of social media and email campaigns that illustrate the deals you’ve successfully closed, especially the challenging ones.
Incorporate text broadcasts to alert them about these stories, ensuring they stay engaged and informed. If you have additional budget to spare, you can even adopt their own strategies by sending out “just funded” cards whenever you finance someone in their farm area, further solidifying your credibility and strengthening your professional relationship.
Attract with Visibility: Embrace Magnetic Marketing Approach
Utilize the influential strategy of attraction marketing, allowing potential clients to be drawn to your services rather than having to persuade them actively.
Craft a strong branding campaign that targets your desired area both online and offline. Taking inspiration from successful brands like “We Buy Ugly Houses” with their memorable caveman billboards, you can adopt a similar approach. Focus on saturating your target area for a few months, leaving a lasting impression on real estate agents. By employing this method, your marketing dollars will have a more significant and impactful effect in attracting agents to your business.
To ensure your mortgage company remains at the forefront of their minds, strive to be present in every aspect of their daily routine. Whether they’re in their car, checking the mail, scanning emails, voicemail, working in their office, or searching on Google, you should be there.
Recognize that other mortgage companies may disappoint clients at some point, providing an opportunity for you to step in and shine. Be ready to seize that chance by offering exceptional service, stepping in when needed, and delivering on promises to gain their trust and loyalty.
Dominating Your Niche: Establishing Market Authority
Step away from repetitive marketing and clichés. Discover your unique niche and dominate it entirely.
Identify your distinct strengths. What sets you apart from your competition? Whether it’s excelling in VA loans, rehabbers’ loans, jumbo mortgages, alternative doc loans, bad credit loans, or quick closings, demonstrate your expertise. Allow potential clients to test your capabilities and witness firsthand how you can outperform others when it comes to nailing those loans.
Leave a Lasting Impression: Exceed Expectations with Referrals
When you have the chance to work with a new Realtor, ensure you deliver exceptional service.
While you must prioritize your existing clients, take the opportunity to go the extra mile and impress the new Realtor. The potential for long-term business from a new source is immense – one agent in a new office could lead to a network of agents and even multiple brokerages. Conversely, if you falter, word of your shortcomings may spread rapidly, potentially impacting your reputation and future opportunities.
