Cash-Out Refinance Marketing List

Mortgage marketers looking for new business should consider our new Cash-Out Refinance Marketing List.

This new marketing list lets mortgage brokers reach homeowners who are looking to pay off their old mortgage and keep some extra cash at the same time.

Cash-out refinances are surging in popularity jumping 42% in 2020 compared to 2019. This has been fueled by rising home prices combined with lower mortgage rates and the need for ready cash.

A cash-out refinancing enables homeowners to trade the equity in their homes for a lump sum of cash. In this case, homeowners pay off their old mortgage with a new one, and keep the extra cash that’s left over. Last year that averaged about $50,000 per transaction.

Now that Cash-Out Refinances have become an important strategy for today’s homeowner, mortgage companies are searching for the right prospects to market these loans.

Sophisticated Variables Get Results

Dataman Group’s new Cash-Out Refinance Marketing List incorporates many variables, including estimated equity in the home, revolving debt, presence of children, length of residence, homeowner age and income.

Experts say that the current record low mortgage rates are one reason for the rise in cash-out refis. With mortgage rates so low, it’s possible to obtain a nice lump sum of cash and also organize cheaper repayments with the new mortgage. Meanwhile, home equity has been on the rise. In many areas, home values have increased by double-digits in the last year.

According to Daryl Fairweather, chief economist at real estate brokerage Redfin Corp., many homeowners are taking advantage of the low rates to afford larger homes, second homes or spend the equity on home renovations.  Some borrowers chose not to take out extra cash. In that case, they saw an average savings of $200 on their monthly mortgage payment. This kind of savings can really improve a homeowner’s monthly household cash flow.

Lots of Marketing Options for Mortgage Brokers

The Cash-Out Refinance Marketing List is great for all the direct marketing channels – direct mail, telemarketing, email marketing and digital advertising.

Direct Mail – a top lead generator

Direct mail is still the only marketing channel that reaches 100% of your prospects. While direct mail may feel “old school” –it really works, especially in the financial and mortgage industries.

Just look at these statistics are from SmallBizGenius.

  • 42.2% of direct mail recipients either read or scan the mail they get.
  • Direct mail requires 21% less cognitive effort to process than email.
  • Recipients purchase 28% more items and spend 28% more money than people who don’t get that same piece of direct mail.
  • Direct mail offers a 29% return on investment.
  • 73% of American consumers say they prefer being contacted by brands via direct mail because they can read it whenever they want.

Telemarketing  – still generates leads

Many mortgage brokers still do very well with telemarketing. Your list can be appended with scrubbed telephone #s. If you work with a reliable list company, they will provide you with scrubbed data. That means the list is purged against the Do Not Call.

Nowadays, many homeowners are “untethered”. This means they do not have a landline. If your mortgage company generates leads through telemarketing, you may want to consider a list of homeowners with Cell Phone numbers.

Email – part of your lead generation strategy

Email response increased in 2020. That’s because everyone was home glued to their phones or laptops. A well-crafted email to the right people can definitely generate leads for your mortgage business.

Make sure your subject line entices people to open your email. Give them a good reason to click on your Call to Action button. This way you can drive them your website where you can capture their information, develop a real time lead.

Email addresses can be appended to about 40% of your targeted lead list. As a reminder, before you embark on an email marketing campaign, make sure you double check to make sure you can important rented or appended lists into your CRM system.

Reaching your top cash-out refi prospects digitally

Digital display advertising is a form of advertising that utilizes custom or branded images to reach a specific audience. These ads are also known as internet banners. They typically use photos, videos and graphics to attract users to click and be taken to a landing page. That landing page is where your mortgage company can capture real time leads.

It doesn’t matter if you are scrolling through your social media feed or shopping online. Maybe you’re listening to music or watching the news on your I-phone.  During your session, a display banner may appear in sight. The banner might be displayed on the top, bottom, or side of your screen. These are digital ads.

With addressable geo-fencing, you can serve digital ads to the same qualified homeowners from your cash-out refinance marketing list. By reaching these qualified prospects via another channel, your visibility, branding and chance for success improves.