Mortgage leads are like a box of chocolates, you never know what youre going to get. That is why it is so important to do your research before you invest.
When shopping around for a lead company, you want to ask yourself six easy questions about the leads you are going to invest in.
WHO, WHAT, WHERE, WHEN, HOW, and WHY.
Who is the person trying to obtain the mortgage? Are they serious about their purchase, or are they looking to buy six to eight months down the road once their lease is up, and they save some money?
Look for lead companies that weed out these types of leads, and will send you only potential customers looking to purchase within thirty to forty-five days.
What exactly is it that they are looking for? Are they looking to purchase, refinance, obtain a construction loan, or purchase land?
Make sure the lead companies have parameters on their applications to make sure the potential customer can be specific about what they want.
For instance, if a customer wants to refinance their home to purchase a new roof, because their existing roof has caved in, chances are, the appraisal wont come in. We all have compassion, but this is not a good situation for a loan officer spending their hard earned money.
Where are the leads coming from? If a lead company is buying their leads from other companies, then these leads are considered old or recycled. They will however be very cheap, but remember, quantity is not always as good as quality.
When is your customer looking to purchase? If they are looking to purchase thirty to forty-five days from now, great! If not, then you might be waiting a long time for your ROI.
How many other loan officers have contacted your customer? Most lead companies sell their leads up to four times if they are being sold non exclusively. Make sure you find out the amount of times your lead company sells their leads to loan officers, and if they recycle them to other lead companies.
Why is this person applying for a loan? When you receive a lead from a lead company, there should always be a comment section where the potential customer can state the purpose for the loan and ultimately describe their needs. This way you can do a little research to discuss the programs you can offer that would be suited to their needs.
It is important to do as much research as you can about mortgage lead companies before you start investing your hard earned money.
Visit their web sites, and check out their return policy. Call and speak with a representative, and ask if they will allow for a free trial.
When you are ready to commit to making an investment, do it with a lead company you are comfortable with that has a reasonable minimum deposit to start with.
The more research you do, the better return on investment you will receive.
Good luck with your leads!
Jay Conners is a former loan officer with more than fifteen years of experience in the mortgage business. You can learn more about the mortgage lead industry and how he became involved in it by visiting his site at http://www.jconners.com a mortgage resource center. He also owns http://www.callprospect.com a mortgage lead company.
