Home » October 6th, 2008
Entries posted on “October, 2008”
Velma.com has recently announced an alliance with Mortgage Coach, Bliss Sawyer. Velma and Bliss working together combine the strong marketing message and materials developed by Bliss and a system to automate the delivery of those messages to the Loan Officer?s database.
Bliss Sawyer is one of the top mortgage coaches in the U.S. and has shared the stage with great speakers such as Barry Habib, Sue Woodard, and Greg Frost. She brings her 17 years of mortgage experience to the table along with consumer, Realtor, and strong database marketing messages, materials, and techniques.
October 6th, 2008 | Posted in Uncategorized | Read More »
At the time of this writing, Fannie and Freddie have been taken over by the Feds, AIG is in deep trouble, one of the oldest investment firms in the country, Lehman Brothers, has declared bankruptcy and is being sold off to Barclays PLC, and Bush is pushing a ?bail out? bill that would cost taxpayers approximately $700B. I think I?ll go out on a limb here and declare that we have hit the bottom.
October 3rd, 2008 | Posted in Articles | Read More »
This is the second part of our two-part series which was originally published in our September 2008 issue of TNR.
Solution Part 1 ? Loan Origination
An efficient wholesale equity based loan origination platform must be created and designed to source loans from a multitude of viable markets, targeting those which are densely populated.
The loan origination platform (?Company?) must be dedicated to the principles of EBL. These principles are: 1) conservative valuation of the collateral with an independent third party review; 2) substantial equity remaining in the property after the new loan is funded (typically a minimum of 30% and preferably at least 40%); 3) a tangible net benefit to the borrower; 4) diversification geographically, by collateral type, and by borrower; 5) proactive, high-touch loan servicing that tries to help the borrower re-establish credit and refinance; and 6) a lack of prepayment penalties, so that the borrower is free to transition to a new, lower rate loan.
October 3rd, 2008 | Posted in Articles | Read More »
You hear the term all the time, but most people don?t know exactly what a ?hard money? loan is. The truth of the matter, is that a bit of time should be invested in understanding this unique loan type since it is an effective tool in a broker?s arsenal of possible commercial lending types. Brokers that have a strong relationship with a hard money lender simply make themselves available to assist their clients and earn a fee that they ordinarily would not.
But what exactly is a hard money loan? Let?s look at the attributes of this loan, review some examples of how and why it?s used and further explore how lenders make these unique loans happen.
October 3rd, 2008 | Posted in Articles | Read More »
Sixty million years ago, dinosaurs roamed the world. Then their environment changed. They could not adapt, and they did not make it.
Just a short year ago, the mortgage industry offered a friendly environment. Lenders? guidelines were more relaxed and loan prospects plentiful. Low FICOs and high LTV combinations weren?t an issue. There were plenty of lenders to choose from, rates were good, refinances were easy and money was to be made.
Needless to say, the lending environment has changed dramatically. FICO requirements have been raised, LTV limits have been lowered, HELOCs are nearly nonexistent, and it is much more difficult to qualify for stated income loans. In general, the pool of qualified borrowers has shrunk considerably.
October 3rd, 2008 | Posted in Articles | Read More »
In the lending industry we spend a great deal of time building business relationships and performing product analyses for our client?s financing needs. The last thing we want to occur after spending months researching funding options, getting approvals, gathering supporting documentation and submitting packages to underwriters is for the deal to fall through; also, commonly known as ?fall out.? Many times loan officers find themselves bewildered because the loan scenario makes sense. Why can?t it be closed? What could have been done to preempt the fall out? How could expectations have been managed better? How will the fall out affect the relationship with the borrower(s)? It is very important to know when to sever the ties with these flailing loans. Understand when you have truly exhausted all reasonable avenues and move on to the next loan scenario. Otherwise, you will create a ?blockage? in your profit pipeline and possibly frustrate your client even more. Spending too much time on any one deal will ultimately hinder your marketing efforts and bring your hourly rate way down!
October 3rd, 2008 | Posted in Articles | Read More »
Introduction / Overview:
LoanAce, initially released in August 2006, is loan origination software (LOS) developed by Teravendo, Inc. LoanAce was designed for ease of use, simple navigation and provides every feature and function that a processor or loan officer would need. Most industry professionals pay a significant amount of money each year for their LOS, but LoanAce delivers its quality LOS solution to mortgage originators FREE of charge.
How was LoanAce originated?
LoanAce was originally the idea of a wholesale lender; it was primarily to offer a free LOS as a means to advertise. At first, it was intended to be a ?bare-bones? functional LOS ? I believe the developer quoted a cost of $65K.
During development, we knew it wouldn?t matter what we thought the industry should want; success would ultimately be determined by the market ? so we gave originators what they wanted. Before deciding what would be integrated, we polled originators about what was important and truly valuable to them. $2 million dollars later, LoanAce turned out to be a fully-functional LOS with many robust features ? everything loan officers and processors would need. There are even a few luxuries many wouldn?t have thought of.
October 3rd, 2008 | Posted in Archive,Articles,Center Stage | Read More »
The sales industry has changed. The sales professional will only be successful by building a business based on integrity, hard work and an understanding of business relationships. Real estate, like any investment market, rotates through business cycles on a regular basis. Being successful in this industry is more about staying on top of your game rather than making excuses for the downfalls. Albert Einstein said ?Imagination is more important than knowledge?. In times of difficult selling, it takes imagination and determination to become successful in your field.
Often, sales professionals allow certain myths to impair their ability to sell. Let?s explore a few of the more common objections and related myths:
October 3rd, 2008 | Posted in Articles | Read More »
People. Our business is all about people. Your success is all about satisfying these people. Their satisfaction starts with your meeting them. If you do not impress people with your initial contact, you may not have a second chance to impress, and then satisfy these people. Ultimately, not developing a reputation of being successful by creating a list of people you served to their satisfaction and beyond will be the consequence. None of us can afford this. So how do you meet, impress and capture the attention of people at first contact? The ?elevator speech.?
October 3rd, 2008 | Posted in Articles | Read More »
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