Take Dead Aim on an Easier Way
Industry experts have been warning originators for months that in order to survive in this business over the next year or two you need to target Realtors and purchase money loans; I disagree with that thinking completely. Those of you, who were trained as I was, realize there’s a significant difference between making loans to solve customer problems, and financing the acquisition of something. People need money for all sorts of reasons, month in and month out; house buying isn’t as frequent, and is far more anxiety filled too!
Financing the purchase of real property, with all its moving parts, ample extra opportunities for things to go wrong, and then there's those real estate agent personality issues that arise from time to time. Historically it has been a roller coaster ride, not necessarily consistent all year long like lending money is. Purchase transactions have always been best in steady or rising home value markets, along with stable or falling interest rates - neither of those conditions are anticipated anytime soon for our industry.
Given the seemingly destined collapse (or at a minimum a significant slide) of property values in countless areas all across the Country, and a high foreclosure rate which many are expecting this year, a focus on purchase transactions seems to be illogical. Possible those “industry experts,” have little concrete experience actually origination transactions during periods when staying in business is challenging, instead of the easy-street way things have been the past six to 8 years.
My suggestion is for you to put on your marketing hat and advertise so new customers will bring their money needs to the party,
and you'll actually bring the money!
January 21st here in Los Angeles, you're invited to our Special Live Event and we can discuss this issue! Learn more by clicking this -->
http://www.americasmoneycenter.com/conversation.htm 