Dear Brian: I am struggling right now as I am sure many others are. My business is awful and every day, I consider whether to stay in the business or just get out. Every other originator and title company I speak to feels the same way. My refi business has dried up, and I am really not sure what to do next to bring in new business. My budget is just about zero, and I basically feel defeated.
I have been a fan of yours for many years and have always heard you say, “Pick a niche, become the expert and let everyone know about it.” That seems like decent advice, but with all the problems in our industry of wholesalers closing, programs going away (permanently) and a total lack of overall business—is it now impossible to follow your advice? What should I be doing right now that can bring me business?
I love this business, but am at the absolute end of my rope.
—J. Foster, New York
Dear J.:
Wow … I thank you for summing up how we all seem to be feeling these days. Most companies seem more like funeral homes, filled with sadness and depression, than like mortgage companies. Yes, we are experiencing the worst of times in our industry and many people have jumped ship and companies are closing their doors. Vendors are going out of business, and on and on.
So, you have a right to be depressed. Before I answer your question, I want you to promise me that you will go out and get a copy of Psycho-Cybernetics by Dr Maxwell Maltz. See, no matter what good advice I give you, it cannot work unless and until your mind is receptive and in the right place. I am, by no means, telling you it’s easy to keep positive right now, but I am telling you that you must try to be!
Now … on to your question …
You must find a group of people who are now in desperate need of your services, are easily reachable and few are going after. Today, that niche is the Baby Boomers and senior markets.
Let’s break it down (please use senior and Baby Boomer interchangeably) …
► This is a niche that has 75 million eligible candidates with 5,000-7,500 new people being added each and every day.
► This is the fastest-growing niche to ever hit our industry.
► This is a niche that is easily reached. Think senior centers, senior radio and television shows, senior publications, etc.
Fewer than one in 100 originators offer the program or understand how to properly originate and market for it. You must market differently to this group and you must speak to them differently if you are going to be successful. These folks are in a ton of pain. Imagine working hard all of your life and being conservative so you can one day retire and enjoy life. Just as you finally achieve that goal, your hard-earned retirement money is cut in half—or worse!
The property that you worked so hard for has decreased in value, and worst of all, even though you thought you could work part-time and earn a few bucks, you find yourself in the middle of the biggest crash since the Great Depression, fueled by businesses closing left and right, and growing unemployment.
How’s that for some bad news?
Talk about a group in severe pain. This spells “opportunity” for you. This is a group of people you can build a career from. So, my suggestion right now is to become the reverse expert in your area and then let everyone know about it. In fact, I dedicated eight hours of training on the topic of reverse mortgages in the Loan Officer Formula, along with the marketing materials that have been field tested and are generating these deals (www.loanofficerformula.com/join).
Many of these Baby Boomers and seniors are starting to fall behind, which again, spells “opportunity” especially since there is no formal credit report required for these deals.
So, there you have it. A great niche, and one that is even better in today’s market. One that has easily reachable clients who are in pain and need your help. Now go after them and you will quickly start seeing success. When you do, please write back and share your experiences with me.
Brian Sacks is CEO of www.loanofficerformula.com. He has been an industry expert for more than 25 years, closing 6,000-plus loans totaling $1 billion. You can read Brian’s 32-page special report entitled “The Death of Mortgage Origination as We Know It” and “The 10 Things You Must Do Now to Survive and Thrive” at www.loanofficerformula.com/mp. This report sells for $97 and has been downloaded by more than 9,200 originators and company owners, but is free for a limited time for readers of National Mortgage Professional Magazine.
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