What type of loans are closing in September and October?

[Simon]

I am NEW to the business. Been working at my friends brokerage in CA as a new LO, and am not receiving any lead support, so i am trying to figure it out; ie: which loans are closing right now in California. I can only close deals in CA.

Are the 1% sub prime leads i have worth calling or are all the sub-prime clients unable to refi to a fixed rate?

What types of loans can i offer these people?

Mostly i am calling the people with these loans and have no idea how i can really benefit them, it is unlikely i can offer cash out and a lower payment right?

Confused

Any advice is much appreciated!!

[Troy]

You may be able to offer those people a lower rate. If they have an option arm loan then they likely have a pretty hefty full indexed payment. The problem is that many of them may not be able to fully document their income. Stated income loans have proved to be a real pain in the ass recently.

If I were you, I'd focus on purchase money. Go out there and meet some real estate agents and find some borrowers. Press the flesh! Go grass roots! People will still be buying homes now even though the refi market has been drying up.

Good luck!

[Simon]

Thanks Troy
I am emailing alot of Realtors just a freindly 'Hello' explaining i would be happy to help pre-qualify their prospective buyers, with not much success. About 1 person out of over 100 seems to be interested in building a business relationship. Most seem to think i am spamming, which i am not as i am using my real email address and am not asking for business per se. Just offering a service.
So i am going to have to hit the phones more i think. It's not easy this business. I am not suprised there is a high turnover. Is there a part of the forum newbie loan officers are recommended to? Any particular training modules you can recommend? Thanks for your reply mate.

[Troy]

Email is a difficult way to start relationships. Start by going to broker open houses or pick up the phone and call real estate agents. I used email after the relationship was already established.

Chad weber offers some good stuff regarding working with real estate agents: [url]www.loanofficermarketinglab.com[/url]

Also, Erik Webster has some free mp3 training modules on his site (although a lot of them revolve around telemarketing to subprime ) He does have some stuff on call capture and working with agents that is pertinent in this market: [url=http://www.loanofficersurvival.com]Loan Officer Survival : Free Loan Officer Training and School[/url]

hope that starts you off on the right foot.

[Simon]

Hi Troy,
Chad got back to me offering some leads for sale. I'm not sure how that would work. He sells the lead to a LO? How does that work? Surely you would just go ahead and close any lead asap? Am i right in assuming, i pay for a the leads, call the 'potential' client, and try and close their deal? I'm desperate to close one deal this month, but don't really have the cash to risk, if these fell out. Chances are i'd get it wrong, or say the wrong thing to the client, unless i have all this backwards? I'd certainly consider this...just not sure how (or why) this system works? Please explain when you have a moment. Thanks!

[Troy]

Chad used to sell a system called "average joe lo" I think now he's just incorporated it into his site.

Ask him about his program for working with RE agents and not that you are interested in buying leads from him.

I've never been a fan of buying leads from anyone.

Telemarket for them
Glad hand real estate agents for them
Direct market for them
CPAs
Divorce Attorneys
Credit Unions
FSBOs
but, don't buy them.

People will disagree with me, but I think there's plenty of other opportunities available to find loans that doesn't involve money out of your pocket. If you invest in your education, then you should have to spend much buying your leads unless it's through paying for YOUR marketing pieces. That's my .02

How many Real estate agents have you talked to on the phone today? 15-20 I hope. How many are you having coffee with next week? 3-5 How many open houses have you been to this week? 20-30
How many prospects have you spoken to this week? How many books/educational materials on mortgage/real estate have you read?

Get out there and make it happen!!!!

[Business]

yeah, its a people business. talk to the lady behind you in the grocery store check out line, talk to your son/daughters teachers. I have more ideas but I have to skate. good luck.

[Simon]

Thanks Troy and Business....

Chad's system looks interesting, i can't afford to buy it currently though, need a deal first
I listened to all Erik Webster's free stuff. Very helpful. It's just such a hard thing to break into right now. No one is very pleased to hear from me when i pick up the phone. It's not the most pleasant thing every day. Hopefully i'll crack through in Sept sometime. Appreciate your help.

Can i ask: What do you say to realtors you are cold calling for business? Do you just say 'Erm, i am a loan officer..can i be of any help to you' ???

So far, Realtors are not really very cool i notice

Thanks for any other words of wisdom