in Florida, Texas and California. For survivors of natural disasters whose homes
are salvageable, a renovation loan can be
exactly the kind of assistance they badly
need.
Even in areas where natural-disaster
damage is not a factor, however, low
housing inventory also can create a
strong need for renovation loan experts.
When homebuyers cannot find a home
that meets their needs, it’s often possible
to modify an existing home to fulfill
their expectations.
In the case of low housing inventory,
it’s beneficial to team up with a reputa-
ble and trusted Realtor in your market
— or several Realtors. If your Realtor
partners are facing the challenge of
in. By offering renovation loan options,
a “just OK” house can become a dream
home for many homebuyers.
Perfect your pitch
Similar to construction loans, develop-
ing expertise in renovation financing will
give you a significant competitive edge.
A few of the ways you can market renovation loans through Realtors include:
n Address lack of inventory. Explain
to your Realtor partners that a renovation loan can help homebuyers who
aren’t finding many options. Whether
a home has outdated features (such as
green kitchen cabinets), or is in need of
standard renovations (like a new roof),
a renovation loan can open up possibilities that didn’t exist otherwise.
n Focus on location. Borrowers
should not have to decide between
an ideal house in a bad location and
a less-than-perfect house in an amazing location. Although the location
of a home cannot be changed, the
home itself can be updated to reflect
a borrower’s preferences and needs.
n Eliminate the “but.” When Realtors watch homebuyers walk through
properties, they hear a familiar chorus
of statements such as: “The house is
great, but the kitchen is out of date”;
“I love this home, but the master bedroom is too small”; or “I really like this
one, but the roof is in bad shape.” You
can help Realtor partners eliminate
the “but” by focusing on renovation
loan options.
Don’t forget to remind Realtors that
renovation loans close just like any
other loan and aren’t as complicated as some believe. Also, renovation
work is completed after a loan closes,
so Realtors receive their commissions
at closing, just like they would with
any other loan.
n n n
Offering your customers and business
partners a variety of products is one of
the best ways to earn more business.
By becoming an expert on construction
and renovation loans — and working
with a lender that offers those products
— you will be one of the few mortgage
originators who has put the effort into
understanding what are not only niche
products, but also niche processes. Your
business partners and customers will
appreciate your knowledge, expertise,
and dedication — especially when it
leads to their loans closing in a smooth
and timely manner. n
<< Amplify continued from Page 52 “Offering your customers and business partners
a variety of products is one of the best ways to
earn more business.”
