Mortgage Marketing Compliance 2013 Webinar.
Highly Effective (and Compliant!) Marketing Strategies Of Today's Top Originators
Thursday, February 21, 2012 2:00 PM EST
In this interactive Webinar sponsored by TagQuest we'll cover:
- Living in a world of predatory regulating
- What communications are covered
- Compliance mistakes that many BIG lenders make
- How can you stay current? ...
- Key factors to consider before marketing.
- How to stay ahead of the competition
There will also be a live Q&A session.
Sign-up for this FREE WEBINAR here
Home Equity Lending on the Upswing
As home prices began their long slide, banks pulled the plug on home-equity lending. Homeowners who had already snagged home-equity lines of credit lost out, too, as many received notice that their lines of credit had been frozen. Home-equity loan originations are still 80% below their peak, according to a recent report from Moody's Analytics and Equifax. But as the housing market emerges from the doldrums, home-equity borrowing is beginning to perk up, too.
Read the whole article here
Mortgage Refi Boom is Expected
to Benefit Banks
As the government expands its support of the housing market, analysts expect that mortgage profits at banks will rise in third-quarter earnings reports and will continue well into next year.
Click here to read the full Deal Book article.
A Drop in Unemployment may Cause a Rise Mortgage interest Rates
September U.S. unemployment rates dropped over 1 percent from the month before and over 100,000 jobs were added, this will likely increase the mortgage interest rates.
Read more here
New credit scoring system aims to benefit
consumers for mortgage lending
The nation’s leading credit scoring company FICO has created a new credit scoring system aimed specifically for mortgage lenders with the goal to attract more qualified home loan consumers.The new system creates a more complete credit evaluation of a consumer’s risk file to help lenders better manage risk. By combining traditional credit data along with property transactions, borrower data, landlord/tenant reports and other credit information, the idea is that the new scoring will help more people qualify for home loans.The upside? A lender may be pleased that a marginal borrower is keeping up with common life occurrences such as child alimony or spousal support. And of course, previous monthly on-time payments on your rent/mortgage is a positive in the eyes of a lender.Banks still tend to be interested only in the traditional indicators of the credit report.It’s not for certain yet whether this new scoring system is to qualify more people for mortgages or simply another tool to pick apart one’s credit history. With a more predictive future based on the consumer’s credit history, the average Joe with a marginal score of 680 was able to bump it up slightly. In some cases it went much higher, thereby qualifying the consumer for a lower interest rate or even a mortgage at all. Currently, the average FICO score loan in the second quarter was 757. Just under 10% of this population would score even higher with the new system. Roughly 3% of borrowers would score above 714. With this new information, a positive is the result as negative credit information is absent.This is not yet approved by Freddie Mac or Fannie Mae. About 25 lenders use this new scoring system for approving private lending and for their own use. It is predicted there will be widespread use of this product in the coming months.
Cross-examining the USPS POStPlan
Jeffrey Day, the USPS Manager of Retail Operations, testified before the Postal Regulatory Commission last week. Day was the only witness for the Post Office Structure Plan, he was there to be cross-examined about the details in the plan to reduce hours at 13,000 post offices.
Read all about the POStPlan and Jeffrey Day's testimony here
Promoted Posts, Marketing on Facebook
Recently, Facebook launched a new feature called promoted posts for pages that have 400 or more likes. With this feature you can take a post and promote it to everyone who has liked your page. Normally, your post will only show on a fraction of the feeds of who've liked your page. Overall, promoting your post can be a great way to market.
For more information, follow this link.
FHA's Mortgage Delinquencies are on the Rise
Stress is being put on the mortgage market by loans that are insured by FHA. The rest of the mortgage market is finally stabilizing, except for the Federal Housing Administration who's mortgage delinquencies are up 26.6% We can help mortgage professionals move away from FHA.
Click here to learn more.
HARP 3.0 is Gaining Traction!
The Home Affordable Refinance Program (HARP) is rumored to expand once again! HARP 2 was designed to remove financial hurdles. The HARP 3 program, also known as #MyRefi, is said to have all the same requirement as HARP 2, excluding the requirement of being backed by Fannie Mar or Freddie Mac. Millions of homeowners in the U.S. woul meet the eligibility standards, opening a door to today's low mortgage rates for all of them!
Click here for a detailed look at the #MyRefi program.
Sales are up on new Autos!
Unexpected lowered gas prices, along with a surge of interest in the new car models have caused sales to exceed expectations for this year. Low interest rates, promotions and price incentives are all encouraging buyers to purchase new vehicles. The annual sales rate in the United States has increased 22 percent and is now on course to have its best year since 2007!!! Auto sales are an early sign of consumer spending and have been one of the bright spots in the economy for much of the year.
Below is a link to Reuters with much statistics:
June auto sales
The HARP program is here!
Finding and attracting good customers isn't easy...
In fact, at times it seems to be a business owners nemesis. There are a few things one MUST consider before setting out to accomplish this task.
First, you have to be willing to pay for good customers. To find out how much, do the math... Total dollars spent with your company, subtract cost of goods sold. Subtract your desired profit margin, what you should have left is reasonable amount you could spend to acquire a new customer!
Second, take a look at your sales approach. Do you hard sell people your product or do you wait for them to ask you how they buy it? If you’re a salesperson, you'll be able to keep your acquisition cost's low. If not, well then you’re just going to have to come to terms with spending more money to get someone else to do it for you. Maybe it's the marketing piece. Maybe you'll have to hire sales people. Either way it's more cost effective to do the work yourself.
Now that you know where you stand you can start asking around about what marketing programs fit within your acquisition cost. You’ll find that the conversations are a lot different than you’re used to. You’ll have shorter conversations with vendors that will prove quickly to be much more efficient. You'll be able to rule out certain types of marketing and advertising because they are out of your realm. Better to know up front than after you've spent a bunch of your hard earned money.
Once you find the right program. Test it a few times on a small level. Don’t blow your whole marketing budget on a trial. Test, test, and re-test. Once you prove it's profitable, well NOW go blow your budget on it. In fact, you might want to consider getting another credit card because you’re going to earn a lot more money than you'll pay in interest.
Bottom line: you pay $XXX per customer and you need XXX number of customers per month. Now you know your budget and you can finally, truly, plan for your marketing and feel good about the future of your organization.