There are so many home loan scenarios loan officers must manage today, it can be daunting. You must be aware of each member’s uniqueness to fully serve them successfully. Sometimes it’s a slam-dunk, while other times it’s a delicate, high wire act.
The matchmaking happens when the loan officer is able to understand the members goals and needs and provide all the options relevant to that situation priced concise and accurately. Here are some tips to help you match members and mortgages for higher member satisfaction.
Understand Your Member
To show the member all their options, you must dig deep into the member’s life story to understand their goals, financial capabilities, and long term plans.
Take the time to sit down with them and soak in their stories. Listen to what their long term plans are and their short term goals. Buying a home isn’t something anyone takes lightly – especially first-time homebuyers. Let them know your efforts are focused on achieving their dreams, but also setting them up to reach their goals.
Educate Your Member
Next, concentrate on educating them on what options they have. By understanding the different mortgage products and terms that fit their scenario, the member will have all the information they need to select the proper loan and ultimately feel more confident in their loan and your credit union. This starts the loan off right by building trust with the member from the beginning of the transaction, but you must know all the options available, how to price them right and how to communicate thoroughly with the member throughout the transaction.
Finding financial balance
To find the right home loan product, you need to not only understand your member, but be well-versed in all products, guidelines, pricing, and adjustments. These details all affect your member and their experience as well.
Part of that, is reaching the ideal monthly payment by balancing the rate with down payment, monthly income, future scenarios, etc. One of the most important factors is initial out of pocket costs. As there are many costs to consider all the way up to closing, how much can they initially afford to be out of pocket?
You will also want to ask if they expect their income to increase over time. In most cases, they will say yes. Ask them if their expenses are expected to increase over time. Most often, this is also yes. Make sure the member is able to honestly evaluate their finances to consider what they want and what they can afford. Ultimately, you don’t want to leave your member in a situation where they are stressed about their payments afterwards. If they are realistic about what expenses they will have when they move in and are able to face them with ease, they will be much more satisfied in their loan experience.
It’s important to understand that the loan process doesn’t run perfectly smoothly all the time. Rates can change if you don’t get locked in, buyers’ situations change, sellers situations change, etc. It runs the gamut, which can result in financial losses if you’re not careful. Patience, compassion, and experience are a virtue in this instance, and communication is a necessity to keep things running. Set proper expectations, communicate often and clearly and you’ll all be happier.
The more thorough you are, the better the experience for the member. There are so many items to juggle throughout the lending process and it seems as if loans are becoming more challenging each day.
Be organized. Keep the real estate agents and others on your team in the know. Don’t just keep members informed, set the expectations from the beginning. Stay on top of the changing marketplace and how that will impact your business. Close those cracks and don’t let anything slip through. A thorough loan officer, is a successful member-to-mortgage matchmaker.
A Member Mortgage Matchmaker boils down to just a few essentials: communication, calculation, understanding, and thoroughness. Consistently try to perfect these attributes and you’ll master the member-to-mortgage matchmaker equation.