Do you know the business you are really in?

by MPA21 Jan 2015
By Brian Sacks

We all think we are in the "mortgage business" but the truth is that no one really wants a mortgage. No one I know will ever wake up in the morning and say "WOW - I want a mortgage"

People do want a home.

People do want security for their family.

People do want an asset that will hopefully grow in value.

People do want to enjoy a pool- a basement- a fireplace- etc.

People do want to feel like they have achieved the American Dream.

The lesson here- is always sell benefits not features

Most of the advertising  that is done in our industry revolves around rates we offer, terms of loans, and other “technical” aspects of the mortgage itself.  We then get frustrated and wonder why everyone we speak to ONLY wants to know our rates and points.

When we use this type of advertising of product features and costs we invite the question we all hate the most. You might even want to stop here and write that one down. Paste it to your computer and read it BEFORE you do any advertising initiatives.
The truth is that we are NOT even in the mortgage business

 Mortgages are simply a feature of what we sell. We are selling money and the best ways people can use their money wisely when purchasing a home.
You  are  actually in the Marketing of Mortgages business. When you approach this business as a consultant with the understanding that I have laid out above your business will change.  You will generate more business, it will become much easier and your clients will be more loyal and happier.
But how?

Yes, I realize that what you have read so far seems logical but you may be wondering how to actually do this in your own business. The first step of course is understanding the differences between features and benefits.

As an example, you will see ads like this:
FHA loans at ___ (rate) 30 year fixed call for details

Now you understand that no one is waking up to say “Gee , I really need an FHA loan today. I better respond to this ad immediately.” Instead what if you said:

“Looking to buy a home but don’t have a large down payment?”

We have program that allows you to put as little as 3.5% down. This program may work for you even if you have less than perfect credit” call ____ for details.

The person reading the first ad is ONLY thinking about rates and may even have no idea what FHA is or means.  The second ad highlights the benefits of the FHA program and solves the challenges some buyers have. 

Let’s sum this all up and see the reasons why you need to focus your advertising and your initial conversations on benefits and asking questions rather than features.
First: people will see that you truly understand them and that is a critical step in bonding with them. People will only buy from those they know, like, and trust. Don’t think you are NOT a salesperson because that is exactly how the consumer sees you. Our product is money but we are still selling it.

Second: The rate question will rarely come up since the borrower will see that you understand their needs.

Third: You will be seen as an expert by using this approach since you are offering solutions and have established their needs.

Try it- don't discuss ARMS- FIXED- LIBOR - 30-15-20  - APR

All your borrower hears is "BLAH BLAH BLAH"

Instead- Ask about them

Ask about their goals

Ask about their comfort levels with payments

Ask about their fears and concerns

Then - and only then Show them a solution and tell them the solution and the way they can understand it that is full of benefits - never ever features.
Brian Sacks is a national mortgage expert who has career closing of over 5924 transactions for over $1 billion.  He has trained, consulted and coached, tens of thousands of loan officers and company owners over the past 29 years on how to close more loans – make more money – and still have a life.  You can download his free report  The 4 Tools You Can Use To Immediately Grow Your Business at


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