When it comes to developing referral sources, make sure that all your eggs aren’t in one basket
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You recently commented upon divorce attorneys as an alternative source of business. What other alternative sources would you recommend?
–Brian from Iowa
Great question. There are many alternative sources, from human resource departments to banks that don't originate home loans – or don't originate a particular type of home loan, such as FHA. The first rule is not to pick a source and then go after that niche. You need to look within your sphere – which is a compendium of life – and determine which alternative sources would best fit the needs of who you serve. For example, if you served in the military, I might focus upon businesses that also serve the military, such as property managers and insurance agents. If you were an accountant before you moved into the residential finance industry, then your focus might be accountants or other finance professionals.
Secondly, your business model should be diversified. While you could have ten divorce attorneys that you serve, it makes more sense to go deeper with one or two and also have other contacts in different fields such as an insurance agent and a home-improvement contractor. These other professionals can help you serve your clients and develop relationships with the other businesses you are serving. Next week I will cover more on a few specific alternative sources which I believe are essential for loan officers to have as part of their business model.
–Dave
Dave Hershman has been the leading author and a top speaker for the industry for decades with six books authored and hundreds of articles published. His website is www.originationpro.com. If you have a reaction to this commentary or another question you would like answered in this column? Email Dave directly at [email protected].
Related stories:
Alternative referral sources are important – but make sure you’re prepared
Wooing new referral partners
–Brian from Iowa
Great question. There are many alternative sources, from human resource departments to banks that don't originate home loans – or don't originate a particular type of home loan, such as FHA. The first rule is not to pick a source and then go after that niche. You need to look within your sphere – which is a compendium of life – and determine which alternative sources would best fit the needs of who you serve. For example, if you served in the military, I might focus upon businesses that also serve the military, such as property managers and insurance agents. If you were an accountant before you moved into the residential finance industry, then your focus might be accountants or other finance professionals.
Secondly, your business model should be diversified. While you could have ten divorce attorneys that you serve, it makes more sense to go deeper with one or two and also have other contacts in different fields such as an insurance agent and a home-improvement contractor. These other professionals can help you serve your clients and develop relationships with the other businesses you are serving. Next week I will cover more on a few specific alternative sources which I believe are essential for loan officers to have as part of their business model.
–Dave
Dave Hershman has been the leading author and a top speaker for the industry for decades with six books authored and hundreds of articles published. His website is www.originationpro.com. If you have a reaction to this commentary or another question you would like answered in this column? Email Dave directly at [email protected].
Related stories:
Alternative referral sources are important – but make sure you’re prepared
Wooing new referral partners
