Delivering value means keeping the home-buying experience in mind

by MPA12 Apr 2016

Part III: Why didn't anyone predict that rates would fall in January? All the predictions had me geared up for purchase business and I was taken by surprise and missed many opportunities. Why can't we get better data?

--Written by several loan officers.

In the past two weeks we spoke about being ready for changes and having a fully locked and loaded system ready to take advantage of marketing changes. Part of being ready is delivering value to your database. Thus we must first define value. Even though you are "selling' home loans, that is not what your sphere is interested in. Your sphere is interested in houses. This means that it is very important that you relate anything having to do with financing to their home or wish for a home. Picture this – no one gets up on a Sunday morning and looks at their spouse and says, “Let's go look for mortgages today, honey.” They look at houses.

We do understand that loans are a way to obtain homes, but the majority of clients would pay cash if they could. Just like if they could get good teeth without going to a dentist, they would. Many relate going to a residential lender to a dentist appointment, or a necessary evil that may hurt. Thus, the value you must provide to them must be related to housing, whether it is updates, articles or newsletters. Yes, financing information is important, but only as it relates to obtaining a home, or making their home more valuable. Or lowering their payment on a home, which is what many are interested in doing now that rates have gone down instead of up. Lowering payments, eliminating mortgage insurance, or perhaps paying off burdensome debts. Next week, let's talk about making it appear less painful.

--Dave Hershman

Dave Hershman has been the leading author and a top speaker for the industry for decades with six books authored and hundreds of articles published. His website is If you have a reaction to this commentary or another question you would like answered in this column? Email Dave directly at


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