Exploring Branch Opportunities
Considering industry changes, some independent brokers may find value in branch partnerships
By Joe Ramis, branch-recruitment director, Inlanta Mortgage
For independent mortgage brokers, this has been a year to remember, as well as a year that’s
tough to figure out.
Most experienced brokers are decidedly positive about the prospects for
long-term success in mortgage lending.
But they’re still undecided about the best
way to position themselves in the marketplace. Although the industry’s largest players once focused their efforts on
establishing wholesale relationships with
independent brokers, the wholesale channel is now less-populated.
The wisest advice? Brush up on your yoga
because flexibility likely will be an attribute
mortgage professionals will need most in
dealing with tomorrow’s market changes.
Flexibility and responsiveness to market change also will be more important to
maintain and grow a customer base. The
Joe Ramis is branch-recruitment director at
Inlanta Mortgage, a mortgage banker since 1993.
Reach him at partner@
inlanta.com or (262)
513-9853.
broker’s traditional referral sources demand a quicker turnaround time because
customer demand and lender products can
change from one day to the next.
Given these trends, brokers who depended on wholesale relationships could
consider looking at branch partnerships
and other alternatives to the traditional
way of doing business.
Although branch relationships may not
be the solution for every mortgage broker,
they can offer competitive advantages to
some brokers. These include:
■ Quick turnaround: A company that does
its underwriting in-house can process a new
loan in as few as two to five days. Turnaround speed is a top concern for the real
estate agents, builders and financial planners
who are a broker’s primary source of referral
business. Industry professionals appreciate a
mortgage partner who can complete a deal
quickly before the economy dips and a hot
prospect turns cold.
■ Market responsiveness: It imperative
to consider changes in mortgage offerings,
regulatory rules and market conditions.
New loan programs are introduced constantly. Lender guidelines seem to change
daily. Mortgage-insurance criteria are in a
perpetual state of adjustment. Keeping up
with all this is a full-time job, which can
draw mortgage brokers away from the essential task of finding borrowers and writing
new mortgage business.
It’s a big advantage to have a network
of fellow loan originators to whom you can
turn for advice. It can be easier when these
advisers are co-workers, rather than competitors, and this typically is the case in a
branch-office setting. A well-built network
can function as an early warning system, allowing problems to be discussed, addressed
and potentially solved in time to respond to
the same occurrence in other offices.
■ Superior support: An increasingly complex world demands greater attention to detail. Coping with new compliance issues, legal
mandates and administrative concerns takes
time away from the personal-sales-contact
work that is brokers’ bread and butter. Add
the need to implement marketing programs
to the mix, and back-office support can end
up helping facilitate future growth.
■ Access to investors: To have the most-at-tractive terms and the quickest turnaround,
brokers must open the door to as many mort-gage-financing sources as possible. In terms
of product access, branching partnerships
can provide a practical strategy for short-term success and long-term growth.
While the choice of affiliation can play
an important role in helping adapt to an
uncertain market, other career attributes
can help independent and branch-affiliated
mortgage professionals respond to change.
Among the most-important are hard
work and a commitment to the industry.
Professionalism, industry knowledge and
long-term commitment are more impressive
now than ever. A dedicated stance positions
you as a true mortgage professional, which
lets referral sources know that they can
trust you as a partner for the long haul.
In a sense, the industry’s current difficulties create an unprecedented market
opportunity for professionals who can stay
the course. By providing a stock of ready
knowledge and good advice, you are laying the groundwork for long-term relationships that will pay dividends through many
years and business cycles to come.
We may not look back on 2009 as the
year we would wish to live over again, but
we are bound to remember it as the year
we learned lessons of adaptability that will
set the stage for personal and industry-wide success.
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29 Scotsman Guide | Residential |
scotsmanguide.com | August 2009
