Mortgage brokers who want to increase their business need to reach out to refinance eligible prospects.
According to Black Knight, a mortgage technology and analytics provider, nearly 19 million or 43% of 30 year mortgage holders are refi-eligible,
That means they have a minimum 720 credit score, at least 20% equity and can reduce their mortgage rate by at least 0.75%. Most of these homeowners could save about $300 each month by refinancing. That monthly savings can be a powerful incentive.
What states have refinance eligible prospects?
Mortgage marketers can focus on the States with the most Refi-Eligible Homeowners. Those states include CA, FL, TX, NY and IL. Or, we can look at the states where Borrowers can save the most. HI, DC, CA, NY and NJ are good examples.
Some States might not have as many Homeowners who are Refi-Eligible but have a high % of Refi-Eligible Homeowners such as OR, AZ & CO.
And remember, when you target your best prospects, it doesn’t matter what states they live in. You will be selecting homeowners in your own market who meet your specific criteria.
Personalize your marketing
If there are so many good potential refi candidates out there, why aren’t they all jumping on the historically low rates? Some just aren’t sure of the savings that they would have. Other are wary of the costs of refinancing. Smart Mortgage Marketers will stress the extra savings while offering incentives to cut down on closing costs.
Mortgage marketers need to let Homeowners know just how much they can save each month. They need to create a well thought out marketing piece or script that stresses the benefit of those savings. Talk about what they can do with those savings – fix up the house, pay off bills, send the kid to college.
Remember, your mail piece or script should talk about the benefits – not the features of the loan itself. After all, it’s your job to make the loan process go smoothly. It’s their job to spend the money wisely.
Closing lots of refinance deals
It’s a numbers game. The more people you reach with your message, the higher the likelihood of your success.
After all, if there are 19 million homeowners who are eligible to refinance, a savvy mortgage marketer should be able to secure lots of new refinance deals.