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psantos
571 Posts |
 Posted - 05/30/2008 : 05:21:37 AM
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Didn't mean to shout! 
Mathew Hobika- http://www.SalesProspects.com
Raymond or Titan?
Hard to choose, we haven't had much luck with adj rate mailers in the past.
We are in the Northeast, but have some flexibility, as to states. FLA seems saturated!
Its amazing some(mail senders)) are claiming dismal results, some have hit the jackpot!
We just don't want to go broke trying to find a niche, everyone seems to be doing adj rate leads and FHA.
Any advice on the above 3??
thx
Paul |
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LT4
204 Posts |
Posted - 05/30/2008 : 05:55:37 AM
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| I know a guy that mails out "Escrow Refund Elligability" letters, his phones ring like crazy |
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mschwader
99 Posts |
Posted - 06/10/2008 : 8:49:29 PM
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| I have good luck with Raymond. |
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ichibanbroker
705 Posts |
Posted - 06/11/2008 : 05:01:36 AM
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Paul, you can't go wrong with Raymond. He's there for you through the good and the bad.
There is another gentleman (almost) on the board that has mailing down to a science. His posts are somewhat insensitive. But, once you speak with him, you'll find out real quick he knows his stuff. His screen name is johnnyboy38109, John Fowler. Good luck! |
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JEMORTGAGE
338 Posts |
Posted - 06/11/2008 : 07:11:26 AM
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| I get a list from Haines, they seem good an they only charge .05 cents a name |
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bry7982
263 Posts |
Posted - 06/11/2008 : 07:56:24 AM
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| I have done a few campaigns with Raymond and they have worked out real well. Between Zach and Raymond you get all of your questions answered in no time. |
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psantos
571 Posts |
Posted - 06/14/2008 : 2:53:16 PM
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| bump |
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MoneyLenderP
1617 Posts |
Posted - 06/14/2008 : 6:44:39 PM
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| definitely go with Raymond. |
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FLProcessor
429 Posts |
Posted - 06/14/2008 : 11:38:16 PM
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I wasn't aware SalesProspects did the actual mailing?
Between Raymond and Titan you would HAVE to go with Raymond. If for no other reason, he does not limit you to snap-pak's, which is Titan's bread-and-butter. Titan also is not cheap, and if you are mailing to the NE, it's an extra day lag (they mail out of South Florida, unless something has changed). |
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psantos
571 Posts |
Posted - 06/15/2008 : 05:47:48 AM
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[quote]Originally posted by FLProcessor
I wasn't aware SalesProspects did the actual mailing?
[quote]
Nope, they provide the leads!
He referred another source for the mailings! |
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psantos
571 Posts |
Posted - 06/15/2008 : 05:54:51 AM
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quote:
Originally posted by bry7982
I have done a few campaigns with Raymond and they have worked out real well. Between Zach and Raymond you get all of your questions answered in no time.
Can you tell me what kind of results, you have received?
We are thinking of doing this for the owner, and myself, no lo commissions.
We can send 8000, mailers for just under $4000. $600 for data, 41 cents per mailing.
If we can close 6 loans, at $3000 per, we would be happy.
It would seem possible, I just know so many brokers, who gave up on this.
Know a guy in NJ, who sends out 20,000 mailers per month, cost close to $10,000.
He closes about 10 loans, after splits with lo's, doesn't seem to great!
Everone is doing adj rate mailers, very saturated market!
We are also researching, what state?, we have several states, we can mail to.
P
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ichibanbroker
705 Posts |
Posted - 06/15/2008 : 09:14:18 AM
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The thing about mailing is it can be a hit or miss. You will yield a much better return doing a consistent weekly drop over time (say 2000 pieces in your case)as opposed to a one time drop , cross your fingers, and hope for the best; Inevitably you are going to be disappointed. You have to measure your performance on an annual basis. Yes, it is expensive.
I know I have not answered any of your questions, but I think you should reconsider your method. Regardless if you choose a legitimate company, you are gambling with a one time drop approach.
I had mentioned in a previous post you should consult with John Fowler. Again, he has mailing down to a science. I would rather pay a couple of hundred dollars in consulting fees to be informed than a couple thousand dollars on blind faith. I don't think he charges for the initial consultation. My 2 cents. Best of luck! |
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mortgagemessiah
8003 Posts |
Posted - 06/15/2008 : 10:31:19 AM
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| Paul call me on Monday I give you the name and company I used and had great luck with. |
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johnnyboy38109
3057 Posts |
Posted - 06/15/2008 : 1:35:03 PM
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Using the right vendor is certainly important, but there are many components to a successful campaign, or, even more important, the ability to generate successful campaigns for years to come.
One very, very important thing to keep in mind regardless of whom you choose:
never, EVER, use the same vendor to provide list, craft a letter and serve as a mailhouse.
I will personally guarantee you that you will fail.
Best wishes. |
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FLProcessor
429 Posts |
Posted - 06/15/2008 : 1:54:07 PM
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This is interesting:
QUOTE: never, EVER, use the same vendor to provide list, craft a letter and serve as a mailhouse.
Why do you say that? We've been doing direct mail for a long time, and I've never gone to a "turnkey" house like this; however, for the person like psantos who definitely has a great deal to learn -- why would this be a bad route?
I'm sure you're on to something, I'm just interested in the logic behind it? |
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johnnyboy38109
3057 Posts |
Posted - 06/15/2008 : 2:43:30 PM
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quote:
Originally posted by FLProcessor
This is interesting:
QUOTE: never, EVER, use the same vendor to provide list, craft a letter and serve as a mailhouse.
Why do you say that? We've been doing direct mail for a long time, and I've never gone to a "turnkey" house like this; however, for the person like psantos who definitely has a great deal to learn -- why would this be a bad route?
I'm sure you're on to something, I'm just interested in the logic behind it?
1) the mailhouse if it acts as the list provider also has no incentive to purchase on your behalf a new list........why, when they have literally thousands upon thousands of lists already...? They'll just bill you for it as if they did then use a list on-hand. Therefore, you start out with at best mediocre data, and recipients who have seen the same copy from the same vendor over and over again, with the names of the mortgage company just changing.......
2) the mailhouse if it acts as copy provider also similarly has no incentive to craft on your behalf an original piece. They have templates on hand, they'll just supplant your company info on an existing template and bill you as if they stayed up all night designing one just for you. The result is your piece looks like everyone else's, you'll pay an unnecessary and unencumbered expense, and they'll have a good laugh behind the curtain about it.
3) It is impossible to police a remote mailhouse. You cannot usually be sure that the mailpieces go out when they say they go out unless you get an acknowledgment from USPS within that same order, and most mail houses wont do that. This is because most of them batch most orders and that leaves for no individual accounting of what exactly happened with your drop.
4) you lose control over timing, which is a critical issue.
5) mailhouses from remote are notorious for sloppy follow-up and I have numerous examples I can point to. Once they receive your cc info, they just plug in your stuff to their templates and you get in line and wait......one client of mine, against my strong admonitions and using a vendor on my "do not use" list, waited 8 weeks for his campaign to be sent.............8 weeks............the editing was sloppy, the usual dance once they've been paid of not returning calls, constant repetitive corrections, and the end result was the campaign cost more, resulted in less, and ended with my client agreeing he'd made a mistake not following my advice. It is always demonstrably easier to use someone local who knows you can visit him if its mishandled. And you do enough campaigns something will be mishandled along the way.
6) you always run the increasesd risk of unscrupulous mailhouses sharing your methods and concepts with competitors. Happens routinely.
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SalesProspects
63 Posts |
Posted - 06/16/2008 : 08:28:52 AM
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Yes, we currently only provide the data. I cannot really speak to whether this makes us better or worse, but I can say we provide excellent lists.
If you check out any of the posts pertaining to SalesProspects.com, I think you will only see positive things. We also obviously have many, many clients that never visit this board and it is quite rare that we receive complaints of any kind.
Until the company is 100% comfortable that we are doing the best job we can servicing the data clients, this will remain the focus (I do not make the decisions here lol).
I definitely will not get into a debate about who is best out of every provider (I have no right to since I really do not know many), but I will say I am 100% confident that we provide good lists at a good price. |
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RockSexton
536 Posts |
Posted - 07/02/2008 : 1:34:40 PM
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| We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results. |
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RGK2394
1224 Posts |
Posted - 07/02/2008 : 2:47:01 PM
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quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate- |
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dsullivan
82 Posts |
Posted - 07/02/2008 : 2:47:04 PM
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I'm a big believer in doing consistent and professional mailings ONLY to people you know. Build a list of 200-400 people and send them something on a regular basis. The average homeowner still gets a mortgage loan once every 5 years (source: ALTA).
If you have 400 people in your database, 80 of those people are getting a new mortgage loan this year because of life events (birth, death, promotion, divorce, marriage, etc.). It should cost you about $17-$20 per year, per household or $6800-$8000 per year to get the chance at 80 loans per year.
Dan |
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RockSexton
536 Posts |
Posted - 07/02/2008 : 2:52:17 PM
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quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate-
My boss orders data from 2006 .........this past month we sent out 1600 and have gotten 53 returned calls. Just an absolute mess of people who are upside down, tons of mortgage lates, ridiculous DTI's (with no co-borrowers and not enough value to consolidate) ..... I cannot stress just how bad it is.
These people did themselves no favors by getting into a house they could barely afford and the proceededing to start amassing more monthly debt. A good portion of the metro Phoenix market is this way. |
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RGK2394
1224 Posts |
Posted - 07/02/2008 : 2:55:32 PM
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quote:
Originally posted by RockSexton
quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate-
My boss orders data from 2006 .........this past month we sent out 1600 and have gotten 53 returned calls. Just an absolute mess of people who are upside down, tons of mortgage lates, ridiculous DTI's (with no co-borrowers and not enough value to consolidate) ..... I cannot stress just how bad it is.
These people did themselves no favors by getting into a house they could barely afford and the proceededing to start amassing more monthly debt. A good portion of the metro Phoenix market is this way.
Gotcha, so primarily an AZ issue. Are you in any other states? |
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RockSexton
536 Posts |
Posted - 07/02/2008 : 3:00:07 PM
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quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate-
My boss orders data from 2006 .........this past month we sent out 1600 and have gotten 53 returned calls. Just an absolute mess of people who are upside down, tons of mortgage lates, ridiculous DTI's (with no co-borrowers and not enough value to consolidate) ..... I cannot stress just how bad it is.
These people did themselves no favors by getting into a house they could barely afford and the proceededing to start amassing more monthly debt. A good portion of the metro Phoenix market is this way.
Gotcha, so primarily an AZ issue. Are you in any other states?
It's definately an AZ issue. We're licensed in four other states, but as it stands my boss is sticking to only these direct mailers as a source for business. He hasn't purchased internet leads in nearly 6 months. Our referral business as shrunken next to nil.
I'm starting to get the impression that if anyone wants to stick it out in this business, if they're located in distressed markets (i.e. AZ, FL, CA, NV) they absolutely have to be able to originate loans in other states. |
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RGK2394
1224 Posts |
Posted - 07/02/2008 : 3:05:19 PM
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quote:
Originally posted by RockSexton
quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate-
My boss orders data from 2006 .........this past month we sent out 1600 and have gotten 53 returned calls. Just an absolute mess of people who are upside down, tons of mortgage lates, ridiculous DTI's (with no co-borrowers and not enough value to consolidate) ..... I cannot stress just how bad it is.
These people did themselves no favors by getting into a house they could barely afford and the proceededing to start amassing more monthly debt. A good portion of the metro Phoenix market is this way.
Gotcha, so primarily an AZ issue. Are you in any other states?
It's definately an AZ issue. We're licensed in four other states, but as it stands my boss is sticking to only these direct mailers as a source for business. He hasn't purchased internet leads in nearly 6 months. Our referral business as shrunken next to nil.
I'm starting to get the impression that if anyone wants to stick it out in this business, if they're located in distressed markets (i.e. AZ, FL, CA, NV) they absolutely have to be able to originate loans in other states.
I would think so man. how are you making ends meet now? |
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darkstar
18289 Posts |
Posted - 07/02/2008 : 3:12:15 PM
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melissadata.com
infousa.com
listsource.com
All offer cheap lists YOU can filter many ways for mailings... |
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RockSexton
536 Posts |
Posted - 07/02/2008 : 3:16:33 PM
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quote:
I would think so man. how are you making ends meet now?
Well put it this way - all my reserves are now depleted. This was a make or break month for me. I've been interviewing for other positions (the lone few chances I've gotten to) and they've been very unfruitful. Honestly they spent more time tring to grill me with questions that were of the "is he going to go back to the mortgage industry at some point" or "is he one of THOSE brokers" variety than actually conducting a real interview with me. And those were jobs I could do in my sleep, yet they passed me up yada yada yada.
It's sad to think I can't scrape up at least 3 deals at the moment.
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RGK2394
1224 Posts |
Posted - 07/02/2008 : 3:22:18 PM
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quote:
Originally posted by RockSexton
quote:
I would think so man. how are you making ends meet now?
Well put it this way - all my reserves are now depleted. This was a make or break month for me. I've been interviewing for other positions (the lone few chances I've gotten to) and they've been very unfruitful. Honestly they spent more time tring to grill me with questions that were of the "is he going to go back to the mortgage industry at some point" or "is he one of THOSE brokers" variety than actually conducting a real interview with me. And those were jobs I could do in my sleep, yet they passed me up yada yada yada.
It's sad to think I can't scrape up at least 3 deals at the moment.
Best of luck man. I would think in your situation, utlizing your licensing in the other add'l states is crucial. Depending on your split, have you considered buying your own leads for some of the other states you're licensed in? Depending on your success, I would try to get your broker to chip in on some of the cost once some fundings start rolling in. If AZ is as bad as you say, and i certainly don't doubt you, I would try to capitalize on some of the other states, depending of course what those other states are. |
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cla
46 Posts |
Posted - 07/02/2008 : 4:52:26 PM
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| I have worked for many data companies.... be sure to check their deliverability guarantees. And their BBB. The data industry is not perfect and never will be. This helps when trying to track down the people who had a bad experiene with them. If someone on this board has good reviews with their lists, I would look into it. |
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johnnyboy38109
3057 Posts |
Posted - 07/02/2008 : 5:15:30 PM
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quote:
Originally posted by RockSexton
quote:
Originally posted by RGK2394
quote:
Originally posted by RockSexton
We've been using adjustable rate riders out here in AZ. The past 4 months have produced horrible results.
Why? Because it's AZ, your mailer company, other? Please elaborate-
My boss orders data from 2006 .........this past month we sent out 1600 and have gotten 53 returned calls. Just an absolute mess of people who are upside down, tons of mortgage lates, ridiculous DTI's (with no co-borrowers and not enough value to consolidate) ..... I cannot stress just how bad it is.
These people did themselves no favors by getting into a house they could barely afford and the proceededing to start amassing more monthly debt. A good portion of the metro Phoenix market is this way.
If ANYONE is making 06 mortgagors a staple of marketng efforts, the only thing they'll close is the door behind them on the way to the umemployment office.
I see these posts on here and I just shake my head.
Its just not that hard, folks, you just have to spend some time in researching where to market, which is what most mortgage brokers wont do, thats why they struggle.
I have taught my clients for years not to lock themselves into any one marketing segment for a variety of reasons. Those who do lock in on one area will not survive, and it is probably too late to start all over again by doing it the right way if they are out of reserves.
Its just not that hard. I send out about 1000 per month now and my phone rings off the hook all day and all night.
Ask the person who decided to send ARM solicits out for the last 4 months what are they thinking?
To the poster I'd say this is such an easy correction. A simple, 3 step process. Able, trained, legitimate competition is few and far between.
No reason to be struggling, none at all. Just a few corrects, some significant research, and a properly delivered campaign.
You CAN succeed, you just need a few changes.
Best wishes. |
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RockSexton
536 Posts |
Posted - 07/02/2008 : 5:31:04 PM
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quote:
If ANYONE is making 06 mortgagors a staple of marketng efforts, the only thing they'll close is the door behind them on the way to the umemployment office.
I see these posts on here and I just shake my head.
Its just not that hard, folks, you just have to spend some time in researching where to market, which is what most mortgage brokers wont do, thats why they struggle.
I have taught my clients for years not to lock themselves into any one marketing segment for a variety of reasons. Those who do lock in on one area will not survive, and it is probably too late to start all over again by doing it the right way if they are out of reserves.
Its just not that hard. I send out about 1000 per month now and my phone rings off the hook all day and all night.
Ask the person who decided to send ARM solicits out for the last 4 months what are they thinking?
To the poster I'd say this is such an easy correction. A simple, 3 step process. Able, trained, legitimate competition is few and far between.
No reason to be struggling, none at all. Just a few corrects, some significant research, and a properly delivered campaign.
You CAN succeed, you just need a few changes.
Best wishes.
I know what you're saying. 2006 ARM resets in AZ are a dead end.....and yet I haven't been able to get it thru my supervisors skull. The one time he dared venture out of the AZ market, he added some NM mailers to our batch. It proved unfruitful so he went right back to the local stuff.
I just don't think this guy is that committed to getting thru these rought times in this industry. He's got another business going on and that's what takes all his time. We're a 5 person office btw. |
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johnnyboy38109
3057 Posts |
Posted - 07/02/2008 : 5:33:49 PM
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quote:
Originally posted by RockSexton
quote:
If ANYONE is making 06 mortgagors a staple of marketng efforts, the only thing they'll close is the door behind them on the way to the umemployment office.
I see these posts on here and I just shake my head.
Its just not that hard, folks, you just have to spend some time in researching where to market, which is what most mortgage brokers wont do, thats why they struggle.
I have taught my clients for years not to lock themselves into any one marketing segment for a variety of reasons. Those who do lock in on one area will not survive, and it is probably too late to start all over again by doing it the right way if they are out of reserves.
Its just not that hard. I send out about 1000 per month now and my phone rings off the hook all day and all night.
Ask the person who decided to send ARM solicits out for the last 4 months what are they thinking?
To the poster I'd say this is such an easy correction. A simple, 3 step process. Able, trained, legitimate competition is few and far between.
No reason to be struggling, none at all. Just a few corrects, some significant research, and a properly delivered campaign.
You CAN succeed, you just need a few changes.
Best wishes.
I know what you're saying. 2006 ARM resets in AZ are a dead end.....and yet I haven't been able to get it thru my supervisors skull. The one time he dared venture out of the AZ market, he added some NM mailers to our batch. It proved unfruitful so he went right back to the local stuff.
I just don't think this guy is that committed to getting thru these rought times in this industry. He's got another business going on and that's what takes all his time. We're a 5 person office btw.
Sounds like you need to hang your hat elsewhere.
Hang in there, man. Any legitimate consultant will tell you he's struggled at times, myself included.
Just a few little dance steps in corrections and you can make it.
Best, man. |
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darkstar
18289 Posts |
Posted - 07/02/2008 : 5:50:28 PM
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>>>>Ask the person who decided to send ARM solicits out for the last 4 months what are they thinking?
Depends on the ARM list...If it's one of the usual ones that just because it has an adjustment date means it's an ARM list, than you can expect the same results as you would mailing to title data...
If you get rid of the ones that:
- have a combined margin/index that will not let loan adjust, unless the loan is starting at 6.5% for example so you can offer benefit, otherwise, waste of time
- high ltvs you can't refi
- low starter rates not adjusting or adjusting to a lower rate than you can offer
- prepays 3 months out giving the person too much time to shop you,
- and take away all the ones not on the DNC and
you have a well filtered list of people that you can help, credit pending...And if you have enough of them, you can even append credit score to them to really tighten it up...
It's not the list, it's how you use it!... |
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FLProcessor
429 Posts |
Posted - 07/02/2008 : 5:58:08 PM
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I absolutely agree. It's funny, though, you wouldn't know ARM leads are dead by the price the lead companies charge!
John, I always like your input. I'm curious, did you ever finish writing that book you had mentioned some time back?
By changing steps, I assume you're talking about an entirely new niche (eg reverse)... I haven't seen many people radically change things simply by buying different data/targeting a different borrower profile. |
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johnnyboy38109
3057 Posts |
Posted - 07/02/2008 : 6:02:19 PM
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quote:
Originally posted by FLProcessor
I absolutely agree. It's funny, though, you wouldn't know ARM leads are dead by the price the lead companies charge!
John, I always like your input. I'm curious, did you ever finish writing that book you had mentioned some time back?
By changing steps, I assume you're talking about an entirely new niche (eg reverse)... I haven't seen many people radically change things simply by buying different data/targeting a different borrower profile.
I haven't. I have been appointed to the BOD for a local theatre troupe and for the last year or so I have either been on stage, producing, or directing activities for that entity and just have not had the time.
I do have the time now to finish it.
Care to proof-read when its done?
No new niches, not mods, just following time-tested proven methods.
I started doing this in 89 selling mortgages at ITT at 18% and have been thru 2 recessions since, so my frame of reference is greater than most here. So I have that advantage of knowing what will sustain and what wont.
What will is fundamental marketing.
What wont is panic and not being able to see the forest for the trees. |
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courtneyyounghan
76 Posts |
Posted - 07/02/2008 : 8:10:15 PM
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For Data.... Fastforeclosuredata.com (they do more than foreclosures), realtytrac, defaultresearch.
For a MailHouse... USmailHouse... they are great people! |
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jjohns
23 Posts |
Posted - 07/29/2008 : 3:13:51 PM
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Two true stories about Direct Mail nightmares that happened to me:
Story 1 - I carefully crafted a wonderful letter, painstakingly choosing every word, designed the envelope, ink color, paper color, etc......and work with a new data provider to mail out 10k pieces (using the data providers mail house). We get a great response, 3-4% percent, we are really happy with everything. A few weeks later we start getting returned mail from another mortgage company's mailers........the data company basically gave our letter to another company (luckily they did not compete with us geographically) and the mail house screwed up and used our left over envelopes with our return address.....so all his undeliverable mail came to me. I called him and scared the crap out of him (the other mortgage broker) and then called the data provider.....he admitted and apologized. We don't use them anymore. I will not mention names, but if you want a to MAKE a good RESPONSE, avoid these guys.
Story 2 - Much worse because it cost me almost 10 grand in costs and probably 100k in profits from a wasted month. All-in-one data/mailer company mailed 15k pieces for use, all very specific (credit data)....very specific mailer with specific details about their mortgage/debt balance. Mailing company used the same mortgage amount (192,576) on all 15k pieces.....so most everyone threw it in the trash, we got maybe 3 calls compared to the 300 we should have gotten. Provider lied his butt off, and then later said they were no longer able to actually get the credit data (that we paid 3x as much for as the generic data), so that's why they did it that way. if you want to have a PRECISE campaign, don't use these guys either.
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dsullivan
82 Posts |
Posted - 07/29/2008 : 3:17:00 PM
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| For direct mail, look at Velma.com |
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missymgm
21 Posts |
Posted - 07/29/2008 : 5:13:27 PM
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| I used Titan in the past and had good results. I dealt with Justin....very responsive and good service. |
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SolarMTG
393 Posts |
Posted - 07/29/2008 : 5:21:32 PM
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| Direct mail is a waste of money. Think about it. Anyone who has an adjustable rate knows they are in an ARM. Anyone who could have refinanced out of the ARM more than likely has done it by now. The ones that have not done it are either behind on the mortgage, have no income, or there is no value. Even for FHA or VA streamlines a VERY small percentage have a rate of 7% and up. What rate are you going to give those? A 6.5% is barely paying over a point. So what else is there? Please enlighten me. I am struggling to find a solution myself. Even purchases are dead. The agents are dying more than we are. Forget the CPA's and their self employed referrals. NO MORE STATED. Rates are going up by the end of the year more than likely. Trying to hang on by a thread, but realistically, what can you do? Try to find a niche? What niche is left? Even commercial loans are drying up. |
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darkstar
18289 Posts |
Posted - 07/29/2008 : 5:28:12 PM
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>>>Anyone who has an adjustable rate knows they are in an ARM.
I wish, sorry it's not the case....
>>>Anyone who could have refinanced out of the ARM more than likely has done it by now. The ones that have not done it are either behind on the mortgage, have no income, or there is no value.
This is true if they know it's adjusting and are still in it within 30 days of adjustment, usually...
>>>Even for FHA or VA streamlines a VERY small percentage have a rate of 7% and up
True with FHA/VA, with ARMs, it's about a 35:65(7% and higher : under 7%) ratio...The largest % are those with rates so low we can't offer a benefit, they're like Salt, I throw those out... |
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johnnyboy38109
3057 Posts |
Posted - 07/29/2008 : 5:30:33 PM
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quote:
Originally posted by SolarMTG
Direct mail is a waste of money. Think about it. Anyone who has an adjustable rate knows they are in an ARM. Anyone who could have refinanced out of the ARM more than likely has done it by now. The ones that have not done it are either behind on the mortgage, have no income, or there is no value. Even for FHA or VA streamlines a VERY small percentage have a rate of 7% and up. What rate are you going to give those? A 6.5% is barely paying over a point. So what else is there? Please enlighten me. I am struggling to find a solution myself. Even purchases are dead. The agents are dying more than we are. Forget the CPA's and their self employed referrals. NO MORE STATED. Rates are going up by the end of the year more than likely. Trying to hang on by a thread, but realistically, what can you do? Try to find a niche? What niche is left? Even commercial loans are drying up.
1) there are other segments to market other than ARMs
2) there are PLENTY of mortgages at 8-9% and UP that are held by creditworthy mortgagors that can be re-done. If you challenge this, take a look at my pendings
3) FHA and USDA/RURAL DEV are viable products and available with little or no (in the case of USDA) down payments
4) Consumer dollars are stretched, and D/C leads and cash outs are available, if you know how to market them and where to go to get the info.
You need to re-shuffle your cards before you ask for a new deck.
Fortunes are made in difficult times. |
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johnnyboy38109
3057 Posts |
Posted - 07/29/2008 : 5:33:39 PM
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An excerpt:
2) Even more frequently I have heard originators say “I asked them what list to send to start a sub-prime campaign, then they selected it for me and sent out 10K pieces. The phone rang twice, both callers were renters with sub-500 scores, I am out $3500, and they wont return my calls.” Unfortunately, this happens all the time. List providers have yet to figure out that the way to prosper is to do good work and then have repeat customers, apparently. They seem to want to burn everyone once then move to Argentina!
You should never, ever throw yourselves at the feet of a list provider and say “help me, select a good list for me.” This is because there is no incentive for them to provide you with a good list, since they have literally thousands of lists already on file. They’ll just sell you the same old, tired list they’ve sold over and over to your competitors. Then they’ll use the same templates for your mail pieces they use for everyone else and what you are left with is a letter that looks like everyone else’s, sent to the same people, with the same dreary results.
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FLProcessor
429 Posts |
Posted - 07/29/2008 : 7:30:04 PM
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John-
Excellent post. Are you doing more with USDA marketing or DC/CO leads? In FL, there is barely anything that qualifies for USDA ... and as far as low-LTV CO leads, my experience has been that the LTV in most databases is worthless.
For example, our LTV included with the Equifax prescreen data, I recently did a test of respondents and the accuracy of their LTV. There was absolutely no statistical significance related to LTV. For example, if I select only 60% LTV and below, 50% (+/- 5%) of them are under 80% LTV and 50% of them are over 80% LTV. If I select over 100%, 50% of them are under 80% LTV and 50% of them are over.
So when you wrote "if you know where to get the info" I wondered if you were referring specifically to this, and if so, if you're spending the big bucks on FirstAm (ugh).
Thank you :-)! |
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