8 Tips for Training Loan Officers
Properly training new loan officers is paramount to the success of any mortgage company or mortgage broker. Because loan agents join the industry from various backgrounds, you may discover that they could already have or not have the necessary sales and marketing experience required to be effective.
Even when a person has prior sales background, that doesn’t always turn them into a successful loan agent. Training is still required to recognize when we’re in a refinance or purchase market to help LO’s close more loans!
Training Loan Originators to Increase Closing Ratios
If you’re a branch manager who oversees loan officer or brokers, it’s necessary to understand that there are quite a few explanations why loan officers don’t have great results – issues that need to be resolved in your training programs.
To help you get your group prepared for action, the following are eight recommendations from industry professionals for educating loan agents to help them thrive.
1. Nurturing Leads and Prospects
Just like real estate, loan origination is a numbers game and originators live by feast or famine according to how well they build on a relationship with their leads and potential clients. Needless to say, clients need to find a home to buy or sell their home can be a process that can take months.
Within the house hunting process each client is at a distinct stage. Training loan agents to think into the future, maintain a relationship with their prospects and keep them engaged can keep a consistent flow in the pipeline.
2. Perseverance
In contrast to lots of professions, mortgage originators usually work on their own, regardless if they are on a team. With no one being anxious about their work, being a determined person is important and is closely associated with looking after leads over a prolonged and difficult effort.
It is tough to teach someone perseverance. Yet it is an essential training aspect. Some people have this aspect and inner drive within their personality while others do not.
3. Everyday Communication Skills
Not everyone can write a clear actionable message advertising rate or products or communicate clearly and effectively on the phone or face to face. Communication is a skill that calls for practice, particularly when there is a precise message that has to be expressed.
If you have very good blogging skills you may have a leg up on fellow loan officers. When you instruct an agent to communicate, inspire them to practice their message with the most fundamental skills to speak with prospects and clients.
4. Technology
Nowadays, technology has made it much easier for loan officers to help prospective borrowers. However, not every loan originator is tech knowledgeable.
At times, technology can be complicated and intimidating where you cannot grasp the concept. No matter the subject matter or tool, training loan officers is important to helping them understand the technology versus being afraid of it.
5. Loan Originator Software Platform
Every loan officer will need to understand and know how to use either the popular programs such as Calyx Point or Encompass to input loan information for the processor to handle the rest. Some companies do have their own proprietary software but the previously mentioned programs are what you’ll likely use.
6. Marketing
Among the principal keys to successful loan closings is marketing. While technology has made marketing a lot more involved, the basics of marketing have remained the same.
Training loan originators to market themselves and their loan products puts them in front of more potential partners and generates more prospects. Loan officers can get themselves in front of realtors and homebuyers with an affiliate MLS membership.
This mean thousands of prospects will see you in the area they are searching based on your state licensing. Because the average person has never used an MLS before, training loan agents about the benefits is very important.
7. Planning and Time Management
New loan officers with not many potential borrowers and candidates may not have to block out time to schedule meeting or manage their time. However, once their book of business increases and they are constantly working at a hectic pace, they will have to monitor their schedules a lot better. Teaching loan originators how to manage their time and plan provides them a model to aspire to.
8. Ongoing Training
Obtaining your license as an originator is an rigorous process whereby an individual studies and prepares, in some cases for months. Passing the NMLS exam and getting state licensed as an MLO is an achievement and a one more off your bucket list. However, simply holding an NMLS license doesn’t mean you are a real estate expert.
The component that is vital to an agent’s success is continuous training. Alongside continuing education, every now and then reviewing all the tips listed above helps loan originators keep on course and advance their professional development.