Realtors and lenders may work in the same industry, but they’re anything but competition. In fact, because of the distinct assets that both roles bring, loan officers and realtors prove to work together more successfully. At Northpoint Mortgage, we’ve seen opportunities to help our realtor partners increase their profits in at least five different partnership payoffs.
Unlike sales for investment properties, second homes, and distressed sales, first-time buyers are much less likely to pay in cash. This means that around 80 percent of the time — and when working with first-time buyers, the number is significantly higher — a realtor will work closely with a loan officer to help a buyer fund their purchase.
When a realtor gets support from a loan officer beyond basic funding, a special synergy can happen. This partnership may come with benefits like:
1. Increased business.
One of the biggest sources of a realtor’s business should be referrals from past clients. Eighty-two percent of residential real estate sales come from previous clients, referrals, friends and family, and personal contacts.
The most important key to getting referrals is to provide a great experience. Partnering with a great lender is probably the most important way to ensure a consistent and smooth experience for the homebuyer. People will forget a lot of things after they move into a house, but they won’t forget how they felt.
As loan officers and realtors working side-by-side, we can ask ourselves these questions on behalf of the buyer:
- Were we polite and encouraging?
- Was the process quick and efficient?
- Did the buyer feel informed and confident as the transaction progressed?
2. Thorough prequalification.
Nothing can be more stressful for the realtor than getting a buyer prequalified, preapproved, and funded to close on a house. It’s often a waiting game with expected delays.
3. Fast prequalification.
When working in a competitive seller’s market, speed can be the difference between making the sales and missing out on an offer to a faster buyer. When working with our realtor partners and our borrowers, we pay exceptional attention to detail, while keeping an eye on the clock. During the early prequalification phase in particular, we recognize the “need for speed.” Realtors want to get their buyers prequalified quickly to find out how much house they can afford so they can start hunting.
4. Marketing support.
In a word-of-mouth profession like real estate, marketing support can be invaluable. Aggressive marketing is a ‘must have’ in today’s real estate market, Today, 88 percent of first-time buyers use a realtor and 33 percent of these first-time buyers start researching online — whether for a house, a realtor, or a lender. Connecting the dots in the housing search can increase a homebuyer’s purchase power while making for a simpler and more positive buying experience. Whether it’s providing co-branded marketing materials or loan status updates through our robust CRM, Northpoint gives their loan officers the resources to engage in realtors’ businesses.
5. Going the extra mile.
With the countless local and national lenders available, how can a realtor know which partner to pick? Every lender represents that they have great rates, compensation, and closes their loan on time. At Northpoint Mortgage, we have all those things and more! This is a company built on a foundation of a common sense approach to getting loans closed and backed by a culture of cooperation and service.
If you’re in need of support from a lender, we’d love to welcome you to Northpoint Mortgage . . . Where People Matter Most. This is reflected in the relationships we cultivate with our team members, our industry partners, and our borrowers. Call us today.